Viewing a single comment thread. View all comments

Bryguy3k t1_j9l43sl wrote

Reply to comment by DYTTIGAF in Got an email from CVNA, they can be banned in Illinois. by NeitherMedicine4327

Overpaying for inventory wasn’t a problem when used car prices were going up 10% a month during the pandemic but now that they’re falling month over month they’re looking at awful write downs in their future.

9

DYTTIGAF t1_j9lb379 wrote

It's their whole balance sheet. You destroy that inventory value the company is essentially bankrupt.

Amazing level of debt, stupidity, and bad luck.

8

fenriswulfwsb t1_j9m51i9 wrote

Used car prices aren't falling anymore.

6

Bryguy3k t1_j9m81th wrote

It’s a temporary pause. This summer is a perfect storm of economic conditions that will have a record number of lease returns and repos.

7