CarMax, Inc. Expected to Earn Q1 2025 Earnings of $1.08 Per Share (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) – Research analysts at Seaport Res Ptn dropped their Q1 2025 earnings estimates for shares of CarMax in a research report issued on Friday, April 19th. Seaport Res Ptn analyst G. Chin now anticipates that the company will earn $1.08 per share for the quarter, down from their previous estimate of $1.22. The consensus estimate for CarMax’s current full-year earnings is $3.30 per share. Seaport Res Ptn also issued estimates for CarMax’s Q2 2025 earnings at $0.87 EPS, Q4 2025 earnings at $0.66 EPS, FY2025 earnings at $3.20 EPS and FY2026 earnings at $3.85 EPS.

CarMax (NYSE:KMX) last posted its earnings results on Thursday, April 11th. The company reported $0.32 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.45 by ($0.13). The company had revenue of $5.63 billion for the quarter, compared to the consensus estimate of $5.76 billion. CarMax had a net margin of 1.81% and a return on equity of 7.26%. CarMax’s revenue was down 1.7% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.44 EPS.

Several other equities analysts have also recently issued reports on the stock. Evercore ISI lowered their target price on shares of CarMax from $85.00 to $74.00 and set an “in-line” rating on the stock in a research note on Friday, April 12th. JPMorgan Chase & Co. lowered their price objective on shares of CarMax from $60.00 to $55.00 and set an “underweight” rating on the stock in a research note on Monday, April 15th. Royal Bank of Canada reiterated an “outperform” rating and issued a $83.00 price objective on shares of CarMax in a research note on Monday, April 8th. Needham & Company LLC lowered their price objective on shares of CarMax from $99.00 to $91.00 and set a “buy” rating on the stock in a research note on Friday, April 12th. Finally, Bank of America increased their price objective on shares of CarMax from $44.00 to $50.00 and gave the stock an “underperform” rating in a research note on Thursday, February 29th. Three equities research analysts have rated the stock with a sell rating, five have assigned a hold rating and five have assigned a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $77.42.

CarMax Price Performance

KMX opened at $68.34 on Monday. The company has a debt-to-equity ratio of 2.96, a quick ratio of 0.67 and a current ratio of 2.26. The stock has a market capitalization of $10.76 billion, a P/E ratio of 22.55, a P/E/G ratio of 1.09 and a beta of 1.61. The company’s 50-day simple moving average is $78.42 and its two-hundred day simple moving average is $72.08. CarMax has a 52-week low of $59.66 and a 52-week high of $88.22.

Institutional Investors Weigh In On CarMax

A number of institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. grew its holdings in CarMax by 1.2% during the 4th quarter. Vanguard Group Inc. now owns 18,076,909 shares of the company’s stock valued at $1,387,222,000 after buying an additional 222,132 shares in the last quarter. BlackRock Inc. grew its holdings in CarMax by 1.8% during the 1st quarter. BlackRock Inc. now owns 10,633,886 shares of the company’s stock valued at $683,546,000 after buying an additional 184,104 shares in the last quarter. Akre Capital Management LLC grew its holdings in CarMax by 0.7% during the 1st quarter. Akre Capital Management LLC now owns 7,339,952 shares of the company’s stock valued at $708,159,000 after buying an additional 49,780 shares in the last quarter. State Street Corp grew its holdings in CarMax by 3.2% during the 2nd quarter. State Street Corp now owns 6,220,212 shares of the company’s stock valued at $520,632,000 after buying an additional 193,111 shares in the last quarter. Finally, Diamond Hill Capital Management Inc. grew its holdings in CarMax by 3.9% during the 3rd quarter. Diamond Hill Capital Management Inc. now owns 5,548,673 shares of the company’s stock valued at $392,458,000 after buying an additional 210,440 shares in the last quarter.

Insiders Place Their Bets

In other CarMax news, VP Jill A. Livesay sold 14,199 shares of the firm’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $70.89, for a total transaction of $1,006,567.11. Following the sale, the vice president now owns 9,068 shares in the company, valued at approximately $642,830.52. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In other CarMax news, EVP Diane L. Cafritz sold 2,730 shares of the stock in a transaction that occurred on Tuesday, January 23rd. The shares were sold at an average price of $70.54, for a total transaction of $192,574.20. Following the completion of the sale, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at approximately $357,849.42. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, VP Jill A. Livesay sold 14,199 shares of the stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $70.89, for a total transaction of $1,006,567.11. Following the sale, the vice president now directly owns 9,068 shares of the company’s stock, valued at $642,830.52. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 38,929 shares of company stock worth $2,740,901. Company insiders own 1.66% of the company’s stock.

CarMax Company Profile

CarMax, Inc, together with its subsidiaries, operates as a retailer of used vehicles in the United States. It operates in two segments, CarMax Sales Operations and CarMax Auto Finance. The company 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.