ACV Auctions (NASDAQ:ACVA) Posts Quarterly Earnings Results, Misses Expectations By $0.10 EPS

ACV Auctions (NASDAQ:ACVA) posted its quarterly earnings data on Monday. The company reported ($0.11) EPS for the quarter, missing analysts’ consensus estimates of ($0.01) by ($0.10), Briefing.com reports. ACV Auctions had a negative return on equity of 12.94% and a negative net margin of 12.51%.The firm had revenue of $183.65 million during the quarter, compared to analyst estimates of $181.96 million. During the same period in the prior year, the business posted ($0.16) EPS. The company’s revenue for the quarter was up 15.2% on a year-over-year basis.

Here are the key takeaways from ACV Auctions’ conference call:

• Q4 revenue came in at $184 million (+15% YoY) with 193,000 vehicles sold, adjusted EBITDA of $8 million (+36% YoY) and a non‑GAAP net loss of $1 million, beating the high end of guidance.
• 2026 guidance targets $845–855 million in revenue (11–13% growth) and $73–77 million in adjusted EBITDA (~28% growth) while investing ~$11M in go‑to‑market spend plus additional VIPER CapEx (total incremental investment approaching ~$20M) and expecting adjusted EBITDA margin to expand ~100 bps.
• Product and AI traction is driving adoption — ACV Guarantee mix rose to 19% in Q4, ClearCar customers boosted wholesale volumes >50% after launch, ACV MAX cohorts increased wholesale ~40% in one quarter, and VIPER has 200+ hand‑raisers with plans to deploy 100–200 early units to expand rooftop TAM.
• Non‑GAAP cost of revenue increased ~400 bps YoY due to elevated arbitration costs in a specific customer cohort; management has implemented litigation and operational steps that show early improvement in 2026, but arbitration remains a material near‑term risk.
• Operational scale and monetization levers are strengthening — ACV Transportation grew 20% in Q4 with margins at the midterm low‑20s target and ACV Capital grew 48% in Q4 while the company is adding inspectors and territory managers to accelerate regional growth.

ACV Auctions Trading Down 15.4%

Shares of NASDAQ ACVA opened at $5.64 on Tuesday. The business has a 50 day simple moving average of $7.89 and a 200 day simple moving average of $8.82. ACV Auctions has a 52 week low of $4.95 and a 52 week high of $17.79. The stock has a market cap of $970.36 million, a price-to-earnings ratio of -11.50 and a beta of 1.63. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.56 and a current ratio of 1.56.

Insider Transactions at ACV Auctions

In other ACV Auctions news, CEO George Chamoun bought 14,286 shares of the firm’s stock in a transaction on Monday, January 12th. The stock was bought at an average cost of $8.81 per share, with a total value of $125,859.66. Following the completion of the transaction, the chief executive officer directly owned 2,598,383 shares of the company’s stock, valued at approximately $22,891,754.23. The trade was a 0.55% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 2.90% of the stock is owned by company insiders.

Institutional Investors Weigh In On ACV Auctions

Several institutional investors and hedge funds have recently modified their holdings of the business. Caitong International Asset Management Co. Ltd increased its position in ACV Auctions by 2,573.8% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 3,770 shares of the company’s stock worth $30,000 after buying an additional 3,629 shares during the last quarter. Los Angeles Capital Management LLC acquired a new stake in shares of ACV Auctions in the fourth quarter worth about $57,000. Focus Partners Advisor Solutions LLC bought a new stake in shares of ACV Auctions during the 4th quarter worth about $83,000. Stifel Financial Corp acquired a new position in shares of ACV Auctions during the 4th quarter valued at about $85,000. Finally, Abel Hall LLC bought a new position in shares of ACV Auctions in the 4th quarter valued at approximately $87,000. Institutional investors and hedge funds own 88.55% of the company’s stock.

Key Stories Impacting ACV Auctions

Here are the key news stories impacting ACV Auctions this week:

• Positive Sentiment: Revenue beat and healthy growth: Q4 revenue came in at $183.65M, about 15% year‑over‑year growth and slightly above consensus estimates — a sign demand for ACV’s digital auto marketplace remains intact. ACV Auctions beats Q4 revenue estimates but misses on earnings
• Positive Sentiment: Stronger near‑term guidance and margin roadmap: ACV issued Q1 revenue guidance well above Street expectations ($200–204M vs. ~$182M) and reiterated FY revenue guidance (~$845–855M). Management also expects ~28% adjusted EBITDA growth in 2026 and is accelerating AI‑driven product rollouts — catalysts for margin expansion if execution holds. ACV Auctions expects 28% adjusted EBITDA growth in 2026 while accelerating AI-driven product launches
• Neutral Sentiment: Management framed results as at/above guidance: the company said revenue landed at the high end of guidance and adjusted EBITDA came in above guidance, with a slide deck and transcript available for details — useful for investors wanting to parse unit economics and guidance sensitivity. ACV Announces Fourth Quarter and Full-Year 2025 Results
• Neutral Sentiment: Full earnings call / transcript published: the call provides color on share‑gain dynamics, product cadence and AI investments — worth reviewing for conviction on management’s EBITDA roadmap. ACV Auctions Inc. (ACVA) Q4 2025 Earnings Call Transcript
• Negative Sentiment: EPS miss and profitability concerns: reported EPS of ($0.11) missed the consensus (about ($0.01)), and the company still shows negative net margins and return on equity — the EPS surprise likely drove the intraday selloff despite the revenue beat. ACV Auctions (NYSE:ACVA) Falls on Earnings NYSE Composite Active Indices

Analyst Ratings Changes

Several analysts have recently commented on the company. JPMorgan Chase & Co. decreased their target price on ACV Auctions from $18.00 to $11.00 and set an “overweight” rating for the company in a research report on Thursday, November 6th. Jefferies Financial Group downgraded ACV Auctions from a “buy” rating to a “hold” rating and set a $9.00 price objective for the company. in a research note on Thursday, December 11th. The Goldman Sachs Group lowered their target price on ACV Auctions from $21.00 to $13.00 and set a “buy” rating on the stock in a research note on Friday, November 7th. Barclays increased their price target on shares of ACV Auctions to $8.00 and gave the stock an “equal weight” rating in a research report on Wednesday, January 21st. Finally, Citigroup restated a “market outperform” rating on shares of ACV Auctions in a report on Tuesday. Seven analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, ACV Auctions presently has an average rating of “Moderate Buy” and an average price target of $11.85.

About ACV Auctions

ACV Auctions operates a digital marketplace that connects automotive dealers through a mobile-first platform for wholesale vehicle auctions. The company’s software enables dealers to list, inspect and bid on used vehicles in real time, leveraging smartphone-based condition reporting, high-resolution imagery and data analytics to streamline the buying and selling process. ACV Auctions also offers subscription-based access to its auction platform, supplemental reconditioning services and financing tools designed to help dealers optimize inventory turn and reduce risk.

Since its founding in 2014, ACV Auctions has expanded its technology offerings beyond core auction services to include dealer management integrations, transportation logistics coordination and title management solutions.