CarMax, Inc. $KMX Shares Acquired by Gabelli Funds LLC

Key Points

• Gabelli Funds LLC increased its stake in CarMax, Inc. by 14.1% to own a total of 73,000 shares worth $5.69 million, according to its recent SEC filing.
• CarMax reported quarterly earnings of $1.38 per share, surpassing estimates, while revenue reached $7.55 billion, slightly below expectations.
• Multiple large investors, including Comerica Bank and Smartleaf Asset Management, significantly boosted their positions in CarMax during the first quarter, indicating growing institutional interest in the stock.

Gabelli Funds LLC lifted its stake in shares of CarMax, Inc. (NYSE:KMX - Free Report) by 14.1% during the first quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 73,000 shares of the company's stock after acquiring an additional 9,000 shares during the quarter. Gabelli Funds LLC's holdings in CarMax were worth $5,688,000 at the end of the most recent reporting period.

A number of other large investors have also recently modified their holdings of KMX. Fuller & Thaler Asset Management Inc. raised its position in CarMax by 626.1% during the 1st quarter. Fuller & Thaler Asset Management Inc. now owns 903,024 shares of the company's stock valued at $70,364,000 after purchasing an additional 778,652 shares in the last quarter. GAMMA Investing LLC lifted its stake in CarMax by 8,675.6% in the first 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 during the period. ThornTree Capital Partners LP bought a new position in CarMax during the 4th quarter worth about $35,612,000. Nuveen LLC bought a new position in CarMax during the 1st quarter worth about $33,872,000. Finally, Freestone Grove Partners LP bought a new stake in shares of CarMax in the 4th quarter valued at about $20,504,000.

CarMax Stock Performance

Shares of NYSE KMX traded down $1.56 during mid-day trading on Tuesday, hitting $59.79. The stock had a trading volume of 1,175,023 shares, compared to its average volume of 2,905,827. The firm has a market cap of $8.97 billion, a PE ratio of 16.50, a PEG ratio of 1.00 and a beta of 1.35. The company has a debt-to-equity ratio of 2.86, a quick ratio of 0.80 and a current ratio of 2.39. The company has a 50 day moving average of $61.87 and a two-hundred day moving average of $67.70. CarMax, Inc. has a twelve month low of $54.53 and a twelve month high of $91.25.

CarMax (NYSE:KMX - Get Free Report) last posted its quarterly earnings results on Friday, June 20th. The company reported $1.38 earnings per share for the quarter, beating 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 the consensus estimate of $7.58 billion. During the same quarter in the previous year, the business earned $0.97 EPS. The company's quarterly revenue was up 6.1% compared to the same quarter last year. Research analysts predict that CarMax, Inc. will post 3.23 EPS for the current fiscal year.

Insider Transactions at CarMax

In other CarMax news, EVP Jon G. Daniels sold 1,540 shares of CarMax stock in a transaction that occurred on Wednesday, July 2nd. The shares were sold at an average price of $70.64, for a total transaction of $108,785.60. Following the completion of the sale, the executive vice president directly owned 2,779 shares in the company, valued at approximately $196,308.56. The trade was a 35.66% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Corporate insiders own 1.70% of the company's stock.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on KMX. Evercore ISI cut their price objective on shares of CarMax from $82.00 to $80.00 and set an "outperform" rating on the stock in a report on Tuesday, August 12th. Truist Financial increased their target price on CarMax from $72.00 to $74.00 and gave the company a "hold" rating in a research report on Monday, June 23rd. Wedbush restated an "outperform" rating and set a $84.00 price objective on shares of CarMax in a research note on Tuesday, August 19th. Mizuho dropped their price objective on CarMax from $80.00 to $78.00 and set a "neutral" rating on the stock in a research report on Thursday, July 3rd. Finally, Wall Street Zen raised shares of CarMax from a "sell" rating to a "hold" rating in a research report on Wednesday, May 7th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $81.50.

CarMax Profile

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.