CarMax (NYSE:KMX) Upgraded at Argus

Key Points

• Argus upgraded CarMax to a "hold"; overall analyst coverage is mixed (1 Buy, 13 Hold, 5 Sell) with an average rating of "Reduce" and an average price target of $41.21.
• In the latest quarter CarMax beat expectations, reporting $0.34 EPS vs. $0.22 expected and $5.95B revenue vs. $5.65B expected, though revenue was down 1% year-over-year and net margin was just 0.96%.
• The stock opened at $40.90 with a market cap of $5.8 billion and a 12‑month trading range of $30.26 to $71.99, with 50- and 200-day moving averages near $42.64 and $41.93 respectively.

CarMax (NYSE:KMX - Get Free Report) was upgraded by stock analysts at Argus to a "hold" rating in a research note issued on Thursday,Zacks.com reports.

Several other brokerages have also recently issued reports on KMX. Mizuho reduced their price objective on CarMax from $46.00 to $36.00 and set a "neutral" rating for the company in a research note on Friday, December 19th. Wall Street Zen cut CarMax from a "hold" rating to a "sell" rating in a research note on Saturday. Truist Financial raised their price objective on CarMax from $35.00 to $37.00 and gave the stock a "hold" rating in a research note on Thursday, December 18th. Robert W. Baird lifted their price target on CarMax from $44.00 to $48.00 and gave the company an "outperform" rating in a research report on Wednesday, February 18th. Finally, Wedbush reduced their price target on CarMax from $40.00 to $36.00 and set a "neutral" rating for the company in a research report on Friday, December 19th. One investment analyst has rated the stock with a Buy rating, thirteen have issued a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Reduce" and an average price target of $41.21.

CarMax Stock Performance

KMX stock opened at $40.90 on Thursday. The firm has a market cap of $5.80 billion, a price-to-earnings ratio of 25.56, a PEG ratio of 1.12 and a beta of 1.30. The company has a quick ratio of 0.51, a current ratio of 2.20 and a debt-to-equity ratio of 2.93. CarMax has a twelve month low of $30.26 and a twelve month high of $71.99. The business's fifty day simple moving average is $42.64 and its two-hundred day simple moving average is $41.93.

CarMax (NYSE:KMX - Get Free Report) last issued its quarterly earnings data on Tuesday, April 14th. The company reported $0.34 earnings per share for the quarter, beating analysts' consensus estimates of $0.22 by $0.12. The company had revenue of $5.95 billion for the quarter, compared to the consensus estimate of $5.65 billion. CarMax had a return on equity of 7.00% and a net margin of 0.96%.The firm's revenue for the quarter was down 1.0% compared to the same quarter last year. During the same quarter last year, the company earned $0.58 earnings per share. Analysts predict that CarMax will post 3.23 earnings per share for the current year.

Hedge Funds Weigh In On CarMax

Several hedge funds have recently bought and sold shares of KMX. Krilogy Financial LLC increased its holdings in CarMax by 13.6% during the 1st quarter. Krilogy Financial LLC now owns 21,202 shares of the company's stock worth $858,000 after purchasing an additional 2,533 shares during the period. Kirr Marbach & Co. LLC IN grew its stake in CarMax by 12.4% during the 1st quarter. Kirr Marbach & Co. LLC IN now owns 125,479 shares of the company's stock worth $5,217,000 after buying an additional 13,820 shares during the last quarter. Evolve Private Wealth LLC grew its stake in CarMax by 6.4% during the 1st quarter. Evolve Private Wealth LLC now owns 19,678 shares of the company's stock worth $818,000 after buying an additional 1,188 shares during the last quarter. World Investment Advisors grew its stake in CarMax by 1.5% during the 4th quarter. World Investment Advisors now owns 111,013 shares of the company's stock worth $4,290,000 after buying an additional 1,643 shares during the last quarter. Finally, Midway Capital Research & Management purchased a new position in CarMax during the 4th quarter worth approximately $1,625,000.

CarMax Company Profile

CarMax NYSE: KMX is a leading retailer of used vehicles in the United States, offering customers a streamlined, no-haggle purchasing experience. The company's inventory spans a broad range of makes and models, each of which undergoes a comprehensive inspection process before being offered for sale. Customers can shop in person at CarMax's retail locations or browse the company's online platform, which provides detailed vehicle histories, virtual tours and contactless purchasing options.

Originally launched in 1993 as a division of Circuit City, CarMax became an independent, publicly traded company in 1997.

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