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Even if you've been following markets for decades, you've likely never seen anything as crazy as the comeback that online used-car company Carvana (CVNA) has experienced in the last couple of years. Big stocks like Netflix (NFLX) and Meta (META) saw massive drawdowns of 75%+ during the bear market of 2021 and 2022, but Carvana (CVNA) was on another level with a decline of 99% from a peak of $370/share to its closing low of $3.72 made on 12/27/22.

As shown below, a stock that falls 70% needs to gain 233% to get back to even. That's a tall task, but it at least seems do-able. A stock that falls 99%, however, needs to gain 9,900% to get back to even.  That seems downright impossible!

Below is a price chart of Carvana (CVNA) over the last five years. As of today, with the stock currently up 17% on earnings to $393/share, CVNA has not only fully recovered its 99% drawdown, but it has also eclipsed its prior highs. In less than three years, the stock has gained 10,460%!  Maybe you have, but we've never seen any recovery quite this remarkable.

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