CarMax, Inc. (NYSE:KMX) Receives Average Rating of “Hold” from Brokerages

CarMax, Inc. (NYSE:KMX) has been given an average recommendation of “Hold” by the twelve brokerages that are presently covering the stock, Marketbeat Ratings reports. Two research analysts have rated the stock with a sell recommendation, five have assigned a hold recommendation and five have given a buy recommendation to the company. The average twelve-month price objective among brokers that have updated their coverage on the stock in the last year is $77.42.

A number of brokerages have recently weighed in on KMX. Bank of America lifted their price target on CarMax from $44.00 to $50.00 and gave the company an “underperform” rating in a report on Thursday, February 29th. Mizuho dropped their price objective on shares of CarMax from $80.00 to $75.00 and set a “neutral” rating on the stock in a research note on Friday, April 12th. Truist Financial lowered their price target on shares of CarMax from $75.00 to $72.00 and set a “hold” rating on the stock in a report on Friday, April 12th. Needham & Company LLC reduced their price objective on CarMax from $99.00 to $91.00 and set a “buy” rating for the company in a research report on Friday, April 12th. Finally, Evercore ISI cut their price target on CarMax from $85.00 to $74.00 and set an “in-line” rating for the company in a research note on Friday, April 12th.

CarMax Trading Down 0.3 %

Shares of KMX opened at $69.35 on Tuesday. The company has a current ratio of 2.26, a quick ratio of 0.67 and a debt-to-equity ratio of 2.96. CarMax has a 1-year low of $59.66 and a 1-year high of $88.22. The stock has a market capitalization of $10.91 billion, a P/E ratio of 22.89, a P/E/G ratio of 1.16 and a beta of 1.61. The business’s 50-day moving average price is $77.93 and its 200 day moving average price is $72.14.

CarMax (NYSE:KMX) last issued its quarterly earnings results on Thursday, April 11th. The company reported $0.32 EPS for the quarter, missing the consensus estimate of $0.45 by ($0.13). CarMax had a net margin of 1.81% and a return on equity of 7.26%. The firm had revenue of $5.63 billion during the quarter, compared to analysts’ expectations of $5.76 billion. During the same quarter last year, the company posted $0.44 EPS. The firm’s revenue was down 1.7% compared to the same quarter last year. Analysts expect that CarMax will post 3.27 earnings per share for the current year.

Insider Buying and Selling at CarMax

In related news, EVP Diane L. Cafritz sold 15,356 shares of the company’s stock in a transaction on Tuesday, April 23rd. The shares were sold at an average price of $69.53, for a total transaction of $1,067,702.68. Following the completion of the sale, the executive vice president now directly owns 6,977 shares of the company’s stock, valued at approximately $485,110.81. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Corporate insiders own 1.66% of the company’s stock.

Hedge Funds Weigh In On CarMax

Several large investors have recently made changes to their positions in KMX. Allworth Financial LP increased its position in CarMax by 153.3% in the 4th 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 raised its stake in CarMax by 1,081.1% during the 4th quarter. Creative Financial Designs Inc. ADV now owns 437 shares of the company’s stock valued at $34,000 after purchasing an additional 400 shares during the last quarter. Mendota Financial Group LLC bought a new stake in CarMax in the 4th quarter valued at $37,000. MCF Advisors LLC acquired a new stake in CarMax in the 4th quarter worth $46,000. Finally, Lindbrook Capital LLC increased its holdings in shares of CarMax by 32.8% during the 4th quarter. Lindbrook Capital LLC now owns 628 shares of the company’s stock worth $48,000 after purchasing an additional 155 shares during the period.

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.