Zacks Research Estimates CarMax's Q1 Earnings (NYSE:KMX)

Key Points

• Zacks Research$1.03 (from $1.18) and maintains a "Hold" rating, while projecting FY2027 EPS of $2.41.
• Analyst sentiment is mixed-to-cautious with an average MarketBeat rating of "Reduce" and a consensus price target of $41.21, as broker targets range from $26 to $45 following recent updates.
• Despite guidance cuts, CarMax recently beat quarterly expectations with $0.34 EPS and $5.95 billion in revenue (revenue down 1% YoY), and the stock trades near $38.63 with a market cap around $5.5 billion.

CarMax, Inc. (NYSE:KMX - Free Report) - Research analysts at Zacks Research lowered their Q1 2027 earnings estimates for CarMax in a report released on Tuesday, April 28th. Zacks Research analyst Team now forecasts that the company will post earnings per share of $1.03 for the quarter, down from their previous estimate of $1.18. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for CarMax's current full-year earnings is $2.41 per share. Zacks Research also issued estimates for CarMax's Q2 2027 earnings at $0.67 EPS, Q3 2027 earnings at $0.48 EPS, FY2027 earnings at $2.41 EPS and Q1 2028 earnings at $1.12 EPS.

Several other analysts have also weighed in on the stock. Royal Bank Of Canada reiterated a "sector perform" rating and set a $41.00 target price on shares of CarMax in a research note on Wednesday, April 15th. Stephens boosted their price target on shares of CarMax from $39.00 to $43.00 and gave the company an "equal weight" rating in a report on Thursday, April 2nd. Argus raised shares of CarMax to a "hold" rating in a report on Thursday, April 16th. Evercore set a $45.00 price target on shares of CarMax in a report on Friday, April 10th. Finally, Barclays reduced their price objective on shares of CarMax from $28.00 to $26.00 and set an "underweight" rating for the company in a report on Thursday, April 16th. One 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 company currently has an average rating of "Reduce" and a consensus price target of $41.21.

CarMax Trading Up 1.2%

KMX opened at $38.63 on Wednesday. The company has a quick ratio of 0.49, a current ratio of 2.20 and a debt-to-equity ratio of 2.93. The firm's 50 day moving average is $42.02 and its 200-day moving average is $41.58. The firm has a market capitalization of $5.48 billion, a P/E ratio of 24.14, a P/E/G ratio of 1.38 and a beta of 1.30. CarMax has a 52-week low of $30.26 and a 52-week high of $71.99.

CarMax (NYSE:KMX - Get Free Report) last announced its quarterly earnings results 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 firm had revenue of $5.95 billion for the quarter, compared to analysts' expectations of $5.65 billion. CarMax had a net margin of 0.96% and a return on equity of 7.00%. CarMax's revenue was down 1.0% compared to the same quarter last year. During the same period in the previous year, the company posted $0.58 earnings per share.

Institutional Trading of CarMax

Institutional investors and hedge funds have recently bought and sold shares of the stock. Integrated Advisors Network LLC acquired a new position in shares of CarMax in the 1st quarter valued at about $234,000. Stephens Inc. AR acquired a new position in shares of CarMax in the 1st quarter valued at about $299,000. Praxis Investment Management Inc. acquired a new position in shares of CarMax in the 1st quarter valued at about $236,000. Revisor Wealth Management LLC increased its holdings in shares of CarMax by 8.8% in the 1st quarter. Revisor Wealth Management LLC now owns 7,843 shares of the company's stock valued at $326,000 after purchasing an additional 634 shares during the period. Finally, HB Wealth Management LLC increased its holdings in shares of CarMax by 85.6% in the 1st quarter. HB Wealth Management LLC now owns 15,234 shares of the company's stock valued at $633,000 after purchasing an additional 7,025 shares during the period.

About CarMax

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.