Royal Bank Of Canada Issues Positive Forecast for CarMax (NYSE:KMX) Stock Price

CarMax (NYSE:KMX) had its target price lifted by equities research analysts at Royal Bank Of Canada from $80.00 to $81.00 in a note issued to investors on Monday,Benzinga reports. The firm presently has an “outperform” rating on the stock. Royal Bank Of Canada’s price target suggests a potential upside of 23.51% from the company’s current price.

A number of other equities research analysts have also recently weighed in on the stock. JPMorgan Chase & Co. dropped their price target on shares of CarMax from $72.00 to $65.00 and set an “underweight” rating for the company in a research report on Thursday, March 27th. Cfra Research raised CarMax to a “strong-buy” rating in a research note on Thursday, April 10th. Stephens raised CarMax from an “equal weight” rating to an “overweight” rating and lifted their price objective for the company from $86.00 to $90.00 in a report on Wednesday, March 26th. Wedbush reiterated an “outperform” rating and issued a $90.00 price objective on shares of CarMax in a research note on Wednesday, June 18th. Finally, Evercore ISI decreased their price objective on shares of CarMax from $85.00 to $84.00 and set an “outperform” rating on the stock in a research report on Wednesday, May 28th. Two research analysts have rated the stock with a sell rating, four have issued a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $86.50.

CarMax Trading Down 4.4%

KMX stock traded down $2.99 during trading on Monday, hitting $65.58. The company had a trading volume of 1,427,708 shares, compared to its average volume of 2,330,131. The company has a quick ratio of 0.80, a current ratio of 2.39 and a debt-to-equity ratio of 2.86. The firm has a market capitalization of $10.01 billion, a P/E ratio of 18.09, a PEG ratio of 1.14 and a beta of 1.38. The company has a 50 day simple moving average of $65.60 and a 200-day simple moving average of $75.35. CarMax has a 52-week low of $61.34 and a 52-week high of $91.25.

CarMax (NYSE:KMX) last announced its earnings results on Friday, June 20th. The company reported $1.38 earnings per share for the quarter, topping the consensus estimate of $1.18 by $0.20. The firm had revenue of $7.55 billion for the quarter, compared to the consensus estimate of $7.58 billion. CarMax had a return on equity of 9.11% and a net margin of 2.09%. The firm’s revenue for the quarter was up 6.1% on a year-over-year basis. During the same period in the previous year, the business earned $0.97 EPS. As a group, research analysts forecast that CarMax will post 3.23 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Mitchell D. Steenrod acquired 1,300 shares of the stock in a transaction dated Thursday, April 24th. The stock was bought at an average price of $65.49 per share, with a total value of $85,137.00. Following the completion of the transaction, the director now directly owns 33,577 shares of the company’s stock, valued at approximately $2,198,957.73. The trade was a 4.03% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.70% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of KMX. Zions Bancorporation National Association UT bought a new position in CarMax in the 1st quarter valued at about $27,000. Accent Capital Management LLC bought a new stake in CarMax in the first quarter valued at $34,000. Strengthening Families & Communities LLC grew its position in CarMax by 93.1% in the 1st quarter. Strengthening Families & Communities LLC now owns 531 shares of the company’s stock valued at $39,000 after purchasing an additional 256 shares during the period. Allworth Financial LP raised its holdings in shares of CarMax by 62.7% in the 4th quarter. Allworth Financial LP now owns 646 shares of the company’s stock worth $51,000 after acquiring an additional 249 shares during the last quarter. Finally, Ameriflex Group Inc. bought a new position in shares of CarMax in the fourth quarter valued at approximately $53,000.

About CarMax

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.