CarMax (NYSE:KMX) Reaches New 12-Month Low - Here's Why

CarMax, Inc. (NYSE:KMX - Get Free Report) hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $62.52 and last traded at $62.73, with a volume of 315598 shares. The stock had previously closed at $64.59.

Analyst Ratings Changes

A number of equities research analysts have issued reports on KMX shares. Wedbush reiterated an "outperform" rating and issued a $90.00 target price on shares of CarMax in a research note on Monday, April 21st. StockNews.com downgraded shares of CarMax from a "hold" rating to a "sell" rating in a report on Friday, April 11th. Cfra Research raised shares of CarMax to a "strong-buy" rating in a research note on Thursday, April 10th. Evercore ISI lowered their price target on shares of CarMax from $107.00 to $105.00 and set an "outperform" rating on the stock in a report on Tuesday, March 11th. Finally, Robert W. Baird dropped their price target on shares of CarMax from $95.00 to $90.00 and set an "outperform" rating on the stock in a research note on Friday, April 11th. Four analysts have rated the stock with a sell rating, three have assigned a hold rating, seven have assigned a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $87.73.

CarMax Stock Performance

The stock has a market cap of $9.93 billion, a price-to-earnings ratio of 22.05, a PEG ratio of 1.67 and a beta of 1.58. The firm has a fifty day simple moving average of $74.28 and a 200 day simple moving average of $78.49. The company has a current ratio of 2.30, a quick ratio of 0.55 and a debt-to-equity ratio of 2.92.

Insider Transactions at CarMax

In related news, Director Mitchell D. Steenrod purchased 1,300 shares of CarMax stock in a transaction that occurred on Thursday, April 24th. The shares were acquired at an average price of $65.49 per share, for a total transaction 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 transaction was disclosed in a filing with the SEC, which is available through this link. Also, SVP Tyler Tuite sold 4,869 shares of the stock in a transaction that occurred on Tuesday, January 28th. The shares were sold at an average price of $84.58, for a total transaction of $411,820.02. Following the sale, the senior vice president now directly owns 227 shares in the company, valued at $19,199.66. This trade represents a 95.55 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.66% of the stock is owned by insiders.

Institutional Investors Weigh In On CarMax

A number of institutional investors and hedge funds have recently made changes to their positions in KMX. Norges Bank acquired a new stake in CarMax during the 4th quarter worth $423,187,000. Kovitz Investment Group Partners LLC lifted its position in CarMax by 348.0% in the 4th quarter. Kovitz Investment Group Partners LLC now owns 6,595,067 shares of the company's stock valued at $539,213,000 after acquiring an additional 5,122,850 shares in the last quarter. AQR Capital Management LLC boosted its position in shares of CarMax by 82.9% during the fourth quarter. AQR Capital Management LLC now owns 1,400,012 shares of the company's stock worth $114,465,000 after buying an additional 634,390 shares during the period. GAMMA Investing LLC grew its stake in shares of CarMax by 8,675.6% during the 1st quarter. GAMMA Investing LLC now owns 515,830 shares of the company's stock worth $40,193,000 after acquiring an additional 509,952 shares in the last quarter. Finally, ThornTree Capital Partners LP acquired a new stake in CarMax in the 4th quarter valued at $35,612,000.

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.