Carvana Is Down 89% This Year -- Time to Buy the Dip on This Pandemic Favorite?

2022 has been brutal for some previous high-flying stocks. There might be no better example than Carvana (NYSE: CVNA), a stock that was once up 500% over the last three years but is now down 54%.

The online used-car marketplace that is trying to disrupt the dealership model saw phenomenal growth over the last few years but has recently run into a huge slowdown and liquidity concerns, causing investors to sour on the stock. The company also made a poorly timed acquisition of ADESA's physical auction business and just raised debt with an annual interest payment of more than 10%.

Carvana is now down almost 90% this year in a brutal wipeout to its share price. Is this the perfect time to buy the dip? Let's take a look.

Source Fool.com