Primecap Management Co. CA Cuts Stock Holdings in CarMax, Inc. $KMX

Primecap Management Co. CA cut its position in shares of CarMax, Inc. (NYSE:KMX) by 0.7% during the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 4,737,911 shares of the company’s stock after selling 31,395 shares during the period. Primecap Management Co. CA owned 3.16% of CarMax worth $318,435,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Baird Financial Group Inc. boosted its stake in shares of CarMax by 7.1% during the 1st quarter. Baird Financial Group Inc. now owns 3,093,632 shares of the company’s stock worth $241,056,000 after acquiring an additional 206,106 shares in the last quarter. Invesco Ltd. raised its holdings in CarMax by 4.9% in the 1st quarter. Invesco Ltd. now owns 2,863,594 shares of the company’s stock worth $223,131,000 after purchasing an additional 133,629 shares during the period. First Pacific Advisors LP boosted its position in CarMax by 0.6% during the second quarter. First Pacific Advisors LP now owns 2,431,244 shares of the company’s stock worth $163,404,000 after purchasing an additional 15,270 shares in the last quarter. Envestnet Asset Management Inc. grew its holdings in CarMax by 2.6% in the second quarter. Envestnet Asset Management Inc. now owns 1,561,516 shares of the company’s stock valued at $104,950,000 after purchasing an additional 39,812 shares during the period. Finally, AQR Capital Management LLC increased its position in shares of CarMax by 7.8% in the first quarter. AQR Capital Management LLC now owns 1,509,344 shares of the company’s stock valued at $115,887,000 after buying an additional 109,332 shares in the last quarter.

CarMax Stock Performance

NYSE:KMX opened at $33.44 on Wednesday. CarMax, Inc. has a fifty-two week low of $30.26 and a fifty-two week high of $91.25. The company has a debt-to-equity ratio of 2.87, a quick ratio of 1.06 and a current ratio of 2.46. The company has a 50 day moving average price of $45.39 and a 200 day moving average price of $57.01. The stock has a market capitalization of $4.91 billion, a P/E ratio of 9.81, a PEG ratio of 0.81 and a beta of 1.26.

CarMax (NYSE:KMX) last released its quarterly earnings results on Thursday, September 25th. The company reported $0.64 EPS for the quarter, missing the consensus estimate of $1.03 by ($0.39). The firm had revenue of $6.70 billion for the quarter, compared to analysts’ expectations of $7.07 billion. CarMax had a return on equity of 8.51% and a net margin of 1.98%.The company’s quarterly revenue was down 6.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.85 earnings per share. Equities research analysts forecast that CarMax, Inc. will post 3.23 EPS for the current year.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on KMX shares. Oppenheimer reissued a “market perform” rating on shares of CarMax in a research note on Friday, September 26th. Benchmark lowered shares of CarMax from a “buy” rating to a “hold” rating in a research report on Thursday, November 6th. Mizuho cut their target price on shares of CarMax from $78.00 to $46.00 and set a “neutral” rating for the company in a research note on Thursday, October 16th. Truist Financial decreased their price target on shares of CarMax from $47.00 to $35.00 and set a “hold” rating on the stock in a research note on Friday, November 7th. Finally, Morgan Stanley reiterated an “equal weight” rating and set a $35.00 price objective (down from $56.00) on shares of CarMax in a research note on Monday, November 10th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, twelve have assigned a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Reduce” and an average target price of $41.54.

CarMax Company 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.