CarMax - KMX Stock Forecast, Price & News

CarMax, Inc., together with its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates through two segments, CarMax Sales Operations and CarMax Auto Finance. It offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; and extended protection plans to customers at the time of sale, as well as sells vehicles that are approximately 10 years old and has more than 100,000 miles through wholesale auctions. The company also provides reconditioning and vehicle repair services; and financing alternatives for retail customers across a range of credit spectrum through its CarMax Auto Finance and arrangements with various financial institutions. As of February 28, 2022, it operated approximately 230 used car stores. CarMax, Inc. was founded in 1993 and is based in Richmond, Virginia.

CarMax Price Performance

Shares of KMX traded up $2.80 during mid-day trading on Tuesday, reaching $104.22. The company had a trading volume of 1,336,233 shares, compared to its average volume of 1,664,045. The company's 50 day simple moving average is $94.91 and its 200 day simple moving average is $97.80. The company has a market capitalization of $16.59 billion, a price-to-earnings ratio of 17.69, a P/E/G ratio of 1.11 and a beta of 1.39. CarMax has a 1-year low of $84.37 and a 1-year high of $155.98. The company has a debt-to-equity ratio of 3.29, a quick ratio of 0.63 and a current ratio of 2.72.

CarMax (NYSE:KMX - Get Rating) last issued its earnings results on Friday, June 24th. The company reported $1.56 earnings per share for the quarter, beating analysts' consensus estimates of $1.51 by $0.05. The firm had revenue of $9.31 billion for the quarter, compared to analyst estimates of $9.38 billion. CarMax had a net margin of 2.88% and a return on equity of 18.40%. During the same quarter last year, the business posted $2.63 earnings per share. Analysts expect that CarMax will post 5.72 EPS for the current year.

Wall Street Analyst Weigh In

Several analysts recently weighed in on the company. JPMorgan Chase & Co. dropped their price target on CarMax from $110.00 to $105.00 in a report on Tuesday, June 7th. Needham & Company LLC assumed coverage on shares of CarMax in a research note on Monday, May 2nd. They issued a "hold" rating on the stock. Wedbush lifted their price objective on shares of CarMax from $90.00 to $105.00 and gave the stock a "neutral" rating in a research note on Monday, June 27th. Morgan Stanley lowered their target price on shares of CarMax from $140.00 to $124.00 and set an "overweight" rating on the stock in a report on Thursday, July 14th. Finally, Royal Bank of Canada boosted their price target on CarMax from $104.00 to $108.00 and gave the company an "outperform" rating in a research note on Monday, June 27th. One analyst has rated the stock with a sell rating, five have assigned a hold rating and seven have issued a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $126.89.

Insider Buying and Selling

In other CarMax news, EVP Mohammad Shamim sold 3,456 shares of the stock in a transaction dated Monday, July 18th. The stock was sold at an average price of $93.91, for a total value of $324,552.96. Following the completion of the transaction, the executive vice president now directly owns 8,769 shares in the company, valued at $823,496.79. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. In related news, EVP Diane L. Cafritz sold 15,555 shares of the stock in a transaction on Thursday, July 21st. The stock was sold at an average price of $94.75, for a total value of $1,473,836.25. Following the completion of the sale, the executive vice president now directly owns 4,988 shares in the company, valued at $472,613. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Mohammad Shamim sold 3,456 shares of CarMax stock in a transaction dated Monday, July 18th. The stock was sold at an average price of $93.91, for a total value of $324,552.96. Following the transaction, the executive vice president now directly owns 8,769 shares in the company, valued at $823,496.79. The disclosure for this sale can be found here. Insiders have sold 37,103 shares of company stock worth $3,445,847 in the last 90 days. Insiders own 1.65% of the company's stock.