CarMax, Inc. Forecasted to Post Q1 2025 Earnings of $1.15 Per Share (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) – Equities researchers at Zacks Research lowered their Q1 2025 earnings per share estimates for shares of CarMax in a research report issued on Thursday, April 25th. Zacks Research analyst R. Singhi now forecasts that the company will earn $1.15 per share for the quarter, down from their prior estimate of $1.23. The consensus estimate for CarMax’s current full-year earnings is $3.30 per share. Zacks Research also issued estimates for CarMax’s Q2 2025 earnings at $0.90 EPS, Q3 2025 earnings at $0.58 EPS, FY2025 earnings at $3.31 EPS, Q1 2026 earnings at $0.92 EPS, Q2 2026 earnings at $0.81 EPS, Q3 2026 earnings at $1.01 EPS, Q4 2026 earnings at $1.12 EPS and FY2027 earnings at $4.75 EPS.

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

A number of other equities analysts have also recently commented on the company. Needham & Company LLC lowered their target price on CarMax from $99.00 to $91.00 and set a “buy” rating for the company in a report on Friday, April 12th. Wedbush restated an “outperform” rating and set a $90.00 target price on shares of CarMax in a report on Tuesday, April 16th. Evercore ISI lowered their target price on CarMax from $85.00 to $74.00 and set an “in-line” rating for the company in a report on Friday, April 12th. Mizuho lowered their target price on CarMax from $80.00 to $75.00 and set a “neutral” rating for the company in a report on Friday, April 12th. Finally, Bank of America lifted their price objective on CarMax from $44.00 to $50.00 and gave the company 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 given a hold rating and five have issued a buy rating to the company. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $77.42.

CarMax Stock Performance

Shares of CarMax stock opened at $69.59 on Friday. The business has a 50-day moving average of $77.98 and a 200 day moving average of $72.10. CarMax has a 12 month low of $59.66 and a 12 month high of $88.22. The stock has a market capitalization of $10.95 billion, a price-to-earnings ratio of 22.97, a price-to-earnings-growth ratio of 1.16 and a beta of 1.61. The company has a debt-to-equity ratio of 2.96, a current ratio of 2.26 and a quick ratio of 0.67.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in KMX. Allworth Financial LP increased its position in CarMax by 153.3% during the fourth quarter. Allworth Financial LP now owns 342 shares of the company’s stock worth $26,000 after buying an additional 207 shares during the period. Creative Financial Designs Inc. ADV increased its position in CarMax by 1,081.1% during the fourth quarter. Creative Financial Designs Inc. ADV now owns 437 shares of the company’s stock worth $34,000 after buying an additional 400 shares during the period. Mendota Financial Group LLC acquired a new position in CarMax during the fourth quarter worth approximately $37,000. MCF Advisors LLC acquired a new position in CarMax during the fourth quarter worth approximately $46,000. Finally, Lindbrook Capital LLC increased its position in CarMax by 32.8% during the fourth quarter. Lindbrook Capital LLC now owns 628 shares of the company’s stock worth $48,000 after buying an additional 155 shares during the period.

Insider Transactions at CarMax

In other news, VP Jill A. Livesay sold 14,199 shares of the firm’s stock in a transaction dated Monday, January 29th. The stock was 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 of the company’s stock, valued at approximately $642,830.52. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. In other news, EVP Diane L. Cafritz sold 15,356 shares of the firm’s stock in a transaction dated Tuesday, April 23rd. The stock was sold at an average price of $69.53, for a total transaction of $1,067,702.68. Following the sale, the executive vice president now owns 6,977 shares of the company’s stock, valued at approximately $485,110.81. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Jill A. Livesay sold 14,199 shares of the firm’s stock in a transaction dated Monday, January 29th. The stock was sold at an average price of $70.89, for a total value of $1,006,567.11. Following the sale, the vice president now directly owns 9,068 shares in the company, valued at approximately $642,830.52. The disclosure for this sale can be found here. Corporate insiders own 1.66% of the company’s stock.

About CarMax

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.