CarMax’s (KMX) “Neutral” Rating Reiterated at Wedbush

Wedbush reiterated their neutral rating on shares of CarMax (NYSE:KMX – Get Rating) in a research note issued to investors on Thursday, Benzinga reports. The firm currently has a $55.00 price objective on the stock. Wedbush also issued estimates for CarMax’s FY2023 earnings at $2.78 EPS, Q3 2024 earnings at $0.26 EPS, Q4 2024 earnings at $0.24 EPS and FY2026 earnings at $3.06 EPS.

Other research analysts have also issued reports about the company. Stephens dropped their price objective on CarMax from $64.00 to $53.00 in a research note on Friday, December 23rd. StockNews.com started coverage on CarMax in a research note on Thursday. They set a sell rating for the company. Truist Financial began coverage on CarMax in a research note on Thursday, February 23rd. They set a hold rating and a $66.00 price objective for the company. JPMorgan Chase & Co. decreased their target price on CarMax from $60.00 to $55.00 and set an underweight rating on the stock in a report on Friday, March 10th. Finally, Robert W. Baird decreased their target price on CarMax from $82.00 to $65.00 in a report on Friday, December 23rd. Three analysts have rated the stock with a sell rating, six have given a hold rating and four have issued a buy rating to the stock. According to MarketBeat.com, CarMax currently has an average rating of Hold and a consensus target price of $62.50.

CarMax Stock Performance

Shares of NYSE KMX opened at $56.26 on Thursday. The business has a fifty day simple moving average of $68.87 and a 200 day simple moving average of $68.92. The company has a current ratio of 2.57, a quick ratio of 0.81 and a debt-to-equity ratio of 3.21. The firm has a market capitalization of $8.89 billion, a price-to-earnings ratio of 15.76, a PEG ratio of 7.77 and a beta of 1.43. CarMax has a one year low of $52.10 and a one year high of $106.24.

CarMax (NYSE:KMX – Get Rating) last released its quarterly earnings data on Thursday, December 22nd. The company reported $0.24 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.58 by ($0.34). CarMax had a return on equity of 10.69% and a net margin of 1.82%. The company had revenue of $6.51 billion for the quarter, compared to analyst estimates of $7.18 billion. During the same quarter in the prior year, the company earned $1.63 earnings per share. The business’s revenue was down 23.7% compared to the same quarter last year. Sell-side analysts expect that CarMax will post 2.78 EPS for the current year.

Insider Activity at CarMax

In other news, President & CEO William D. Nash purchased 8,220 shares of the firm’s stock in a transaction that occurred on Friday, December 30th. The shares were acquired at an average price of $60.98 per share, for a total transaction of $501,255.60. Following the completion of the acquisition, the insider now directly owns 165,128 shares in the company, valued at $10,069,505.44. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 1.65% of the stock is owned by company insiders.

Hedge Funds Weigh In On CarMax

Several hedge funds have recently added to or reduced their stakes in the company. Alpha Omega Wealth Management LLC lifted its stake in CarMax by 2.8% in the third quarter. Alpha Omega Wealth Management LLC now owns 53,784 shares of the company’s stock valued at $3,551,000 after buying an additional 1,460 shares during the period. Triad Investment Management lifted its stake in CarMax by 34.8% in the third quarter. Triad Investment Management now owns 31,948 shares of the company’s stock valued at $2,109,000 after buying an additional 8,256 shares during the period. Ethic Inc. lifted its stake in CarMax by 34.0% in the third quarter. Ethic Inc. now owns 4,681 shares of the company’s stock valued at $309,000 after buying an additional 1,189 shares during the period. Inspire Investing LLC lifted its stake in CarMax by 35.0% in the third quarter. Inspire Investing LLC now owns 4,409 shares of the company’s stock valued at $291,000 after buying an additional 1,142 shares during the period. Finally, Atria Investments LLC lifted its stake in CarMax by 5.2% in the third quarter. Atria Investments LLC now owns 36,685 shares of the company’s stock valued at $2,422,000 after buying an additional 1,808 shares during the period.

CarMax Company Profile

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CarMax, Inc is a holding company, which engages in the retail of used vehicles and wholesale of vehicle auction operators. It operates through the CarMax Sales Operations and CarMax Auto Finance (CAF) segments. The CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations.