CarMax, Inc. (NYSE:KMX) Shares Sold by Townsquare Capital LLC

Key Points

• Townsquare Capital LLC reduced its stake in CarMax, Inc. by 21.7%, selling 6,234 shares, bringing its total holdings to 22,452 shares valued at approximately $1.75 million.
• CarMax reported $1.38 earnings per share for the last quarter, exceeding analysts' expectations of $1.18, despite a slight revenue miss of $7.55 billion against estimates of $7.58 billion.
• Analyst ratings for CarMax show a consensus of "Moderate Buy" with a target price averaging $82.75, with one sell rating and multiple buy and hold ratings from various firms.

Townsquare Capital LLC lessened its position in shares of CarMax, Inc. (NYSE:KMX - Free Report) by 21.7% during the 1st quarter, according to the company in its most recent disclosure with the SEC. The firm owned 22,452 shares of the company's stock after selling 6,234 shares during the quarter. Townsquare Capital LLC's holdings in CarMax were worth $1,749,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Mirae Asset Global Investments Co. Ltd. grew its position in CarMax by 13.0% during the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 20,678 shares of the company's stock valued at $1,571,000 after buying an additional 2,375 shares during the period. Teacher Retirement System of Texas acquired a new stake in CarMax during the first quarter valued at $1,753,000. Sequoia Financial Advisors LLC grew its position in CarMax by 5.5% during the first quarter. Sequoia Financial Advisors LLC now owns 3,367 shares of the company's stock valued at $262,000 after buying an additional 176 shares during the period. Asset Management One Co. Ltd. grew its position in CarMax by 3.5% during the first quarter. Asset Management One Co. Ltd. now owns 60,653 shares of the company's stock valued at $4,726,000 after buying an additional 2,078 shares during the period. Finally, GAMMA Investing LLC grew its position in CarMax by 12.6% during the first quarter. GAMMA Investing LLC now owns 6,620 shares of the company's stock valued at $516,000 after buying an additional 742 shares during the period.

Insider Activity

In related news, EVP Jon G. Daniels sold 1,540 shares of the company's stock in a transaction dated Wednesday, July 2nd. The shares were sold at an average price of $70.64, for a total value of $108,785.60. Following the completion of the sale, the executive vice president owned 2,779 shares of the company's stock, valued at approximately $196,308.56. This represents a 35.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Corporate insiders own 1.70% of the company's stock.

CarMax Price Performance

Shares of NYSE KMX traded down $0.46 during mid-day trading on Thursday, reaching $58.16. The company's stock had a trading volume of 2,542,695 shares, compared to its average volume of 2,987,724. The company has a debt-to-equity ratio of 2.86, a quick ratio of 0.80 and a current ratio of 2.39. CarMax, Inc. has a 1-year low of $54.53 and a 1-year high of $91.25. The stock has a 50-day moving average of $63.41 and a two-hundred day moving average of $70.11. The stock has a market capitalization of $8.73 billion, a P/E ratio of 16.07, a P/E/G ratio of 0.95 and a beta of 1.36.

CarMax (NYSE:KMX - Get Free Report) last announced its quarterly earnings data on Friday, June 20th. The company reported $1.38 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.18 by $0.20. CarMax had a net margin of 2.09% and a return on equity of 9.11%. The firm had revenue of $7.55 billion during the quarter, compared to analyst estimates of $7.58 billion. During the same quarter in the prior year, the firm posted $0.97 earnings per share. CarMax's quarterly revenue was up 6.1% on a year-over-year basis. On average, equities research analysts anticipate that CarMax, Inc. will post 3.23 EPS for the current fiscal year.

Analyst Ratings Changes

KMX has been the topic of several recent analyst reports. Royal Bank Of Canada increased their price objective on shares of CarMax from $80.00 to $81.00 and gave the company an "outperform" rating in a report on Monday, June 23rd. Wedbush reaffirmed an "outperform" rating and set a $90.00 price objective on shares of CarMax in a report on Wednesday, June 18th. Wall Street Zen raised shares of CarMax from a "sell" rating to a "hold" rating in a report on Wednesday, May 7th. Mizuho decreased their price objective on shares of CarMax from $80.00 to $78.00 and set a "neutral" rating on the stock in a report on Thursday, July 3rd. Finally, Truist Financial increased their price objective on shares of CarMax from $72.00 to $74.00 and gave the company a "hold" rating in a report on Monday, June 23rd. One analyst has rated the stock with a sell rating, four have issued a hold rating, nine have issued a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $82.75.

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.