CarMax, Inc. (NYSE:KMX) Receives Average Recommendation of "Moderate Buy" from Brokerages

CarMax, Inc. (NYSE:KMX - Get Free Report) has received an average rating of "Moderate Buy" from the twelve brokerages that are covering the company, Marketbeat.com reports. Two analysts have rated the stock with a sell rating, two have given a hold rating, seven have given a buy rating and one has given a strong buy rating to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $85.10.

Several research firms recently issued reports on KMX. Royal Bank Of Canada raised their price target on CarMax from $80.00 to $81.00 and gave the stock an "outperform" rating in a research report on Monday, June 23rd. Wedbush restated an "outperform" rating and set a $90.00 price target on shares of CarMax in a research report on Wednesday, June 18th. Cfra Research upgraded CarMax to a "strong-buy" rating in a report on Thursday, April 10th. Stephens upgraded CarMax from an "equal weight" rating to an "overweight" rating and increased their price objective for the stock from $86.00 to $90.00 in a report on Wednesday, March 26th. Finally, Robert W. Baird dropped their price objective on CarMax from $95.00 to $90.00 and set an "outperform" rating for the company in a report on Friday, April 11th.

CarMax Price Performance

Shares of CarMax stock opened at $66.50 on Friday. The business's 50-day moving average price is $65.78 and its 200-day moving average price is $74.76. The company has a current ratio of 2.39, a quick ratio of 0.80 and a debt-to-equity ratio of 2.86. CarMax has a 12 month low of $61.34 and a 12 month high of $91.25. The firm has a market capitalization of $10.15 billion, a PE ratio of 18.37, a price-to-earnings-growth ratio of 1.09 and a beta of 1.38.

CarMax (NYSE:KMX - Get Free Report) last posted its quarterly earnings results on Friday, June 20th. The company reported $1.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.18 by $0.20. CarMax had a return on equity of 9.11% and a net margin of 2.09%. The business had revenue of $7.55 billion for the quarter, compared to analyst estimates of $7.58 billion. During the same period last year, the company earned $0.97 EPS. CarMax's revenue for the quarter was up 6.1% compared to the same quarter last year. Sell-side analysts forecast that CarMax will post 3.23 EPS for the current fiscal year.

Insider Activity

In related news, Director Mitchell D. Steenrod acquired 1,300 shares of CarMax stock in a transaction that occurred on Thursday, April 24th. The stock was bought at an average price of $65.49 per share, with a total value of $85,137.00. Following the transaction, the director now directly owns 33,577 shares in the company, valued at approximately $2,198,957.73. This represents a 4.03% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 1.70% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Zions Bancorporation National Association UT bought a new position in CarMax during the 1st quarter valued at approximately $27,000. Accent Capital Management LLC bought a new position in CarMax during the 1st quarter valued at approximately $34,000. Strengthening Families & Communities LLC increased its position in CarMax by 93.1% during the 1st quarter. Strengthening Families & Communities LLC now owns 531 shares of the company's stock valued at $39,000 after buying an additional 256 shares in the last quarter. Ameriflex Group Inc. bought a new stake in shares of CarMax in the 4th quarter worth $53,000. Finally, Quarry LP increased its holdings in shares of CarMax by 50.5% in the 1st quarter. Quarry LP now owns 694 shares of the company's stock worth $54,000 after purchasing an additional 233 shares in the last quarter.

About CarMax

CarMax, Inc, through its subsidiaries, operates as a retailer of used vehicles and related products in the United States. It operates in two segments: CarMax Sales Operations and CarMax Auto Finance. The CarMax Sales Operations segment offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; used vehicle auctions; extended protection plans to customers at the time of sale; and reconditioning and vehicle repair services.

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