Wedbush Weighs in on CarMax, Inc.’s Q1 2023 Earnings (NYSE:KMX)

CarMax, Inc. (NYSE:KMX – Get Rating) – Analysts at Wedbush dropped their Q1 2023 EPS estimates for CarMax in a report released on Wednesday, April 13th. Wedbush analyst S. Basham now forecasts that the company will post earnings of $1.44 per share for the quarter, down from their previous estimate of $1.70. Wedbush also issued estimates for CarMax’s Q3 2023 earnings at $1.42 EPS and FY2023 earnings at $6.00 EPS.

CarMax (NYSE:KMX – Get Rating) last released its quarterly earnings data on Tuesday, April 12th. The company reported $0.98 EPS for the quarter, missing the consensus estimate of $1.34 by ($0.36). The business had revenue of $7.69 billion during the quarter, compared to analysts’ expectations of $7.58 billion. CarMax had a net margin of 3.61% and a return on equity of 22.74%. The firm’s revenue was up 48.8% on a year-over-year basis. During the same period last year, the company earned $1.27 earnings per share.

KMX has been the topic of several other reports. Robert W. Baird dropped their price objective on shares of CarMax from $140.00 to $120.00 in a report on Wednesday. Bank of America downgraded shares of CarMax from a “buy” rating to a “neutral” rating and lowered their price target for the stock from $195.00 to $165.00 in a report on Wednesday, April 6th. StockNews.com assumed coverage on shares of CarMax in a report on Thursday, March 31st. They set a “sell” rating on the stock. Oppenheimer lowered their price target on shares of CarMax from $158.00 to $125.00 and set an “outperform” rating on the stock in a report on Friday, April 8th. Finally, JPMorgan Chase & Co. downgraded shares of CarMax from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $130.00 to $110.00 in a report on Wednesday. Two research analysts have rated the stock with a sell rating, four have issued a hold rating and eight have issued a buy rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $130.64.

KMX stock opened at $91.79 on Thursday. The firm’s fifty day simple moving average is $102.77 and its 200-day simple moving average is $122.40. The company has a market capitalization of $14.84 billion, a P/E ratio of 13.19, a price-to-earnings-growth ratio of 0.86 and a beta of 1.45. The company has a debt-to-equity ratio of 3.47, a current ratio of 3.20 and a quick ratio of 0.63. CarMax has a 12 month low of $90.55 and a 12 month high of $155.98.

Hedge funds and other institutional investors have recently modified their holdings of the company. Mark Sheptoff Financial Planning LLC acquired a new stake in shares of CarMax in the third quarter valued at about $26,000. NewSquare Capital LLC acquired a new stake in shares of CarMax in the third quarter valued at about $32,000. Ten Capital Wealth Advisors LLC acquired a new stake in shares of CarMax in the fourth quarter valued at about $36,000. NEXT Financial Group Inc raised its position in shares of CarMax by 51.8% in the fourth quarter. NEXT Financial Group Inc now owns 290 shares of the company’s stock valued at $38,000 after buying an additional 99 shares during the last quarter. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main acquired a new stake in shares of CarMax in the fourth quarter valued at about $38,000. Institutional investors and hedge funds own 94.32% of the company’s stock.

About CarMax (Get Rating)

CarMax, Inc, through its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates in 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; 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 whole auctions.

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