CarMax’s (KMX) “Outperform” Rating Reaffirmed at Wedbush

Wedbush reissued their outperform rating on shares of CarMax (NYSE:KMX) in a research note released on Tuesday morning,Benzinga reports. They currently have a $84.00 target price on the stock.

Several other equities research analysts have also issued reports on KMX. Morgan Stanley began coverage on shares of CarMax in a report on Tuesday, July 1st. They issued an “overweight” rating and a $80.00 price target on the stock. Needham & Company LLC reissued a “buy” rating and issued a $92.00 price target on shares of CarMax in a report on Monday, June 23rd. Benchmark began coverage on shares of CarMax in a report on Thursday, July 17th. They issued a “buy” rating and a $75.00 target price on the stock. Wall Street Zen upgraded shares of CarMax from a “sell” rating to a “hold” rating in a research report on Wednesday, May 7th. Finally, JPMorgan Chase & Co. upgraded shares of CarMax from an “underweight” rating to a “neutral” rating and reduced their price target for the company from $65.00 to $58.00 in a research report on Wednesday, August 6th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, CarMax has a consensus rating of “Moderate Buy” and an average price target of $81.50.

CarMax Trading Up 1.6%

Shares of CarMax stock opened at $59.3880 on Tuesday. The firm has a market capitalization of $8.91 billion, a PE ratio of 16.41, a price-to-earnings-growth ratio of 0.95 and a beta of 1.36. The company has a debt-to-equity ratio of 2.86, a current ratio of 2.39 and a quick ratio of 0.80. The company’s fifty day moving average price is $62.89 and its two-hundred day moving average price is $69.43. CarMax has a 52-week low of $54.53 and a 52-week high of $91.25.

CarMax (NYSE:KMX) last announced its quarterly earnings results on Friday, June 20th. The company reported $1.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.18 by $0.20. The firm had revenue of $7.55 billion for the quarter, compared to analyst estimates of $7.58 billion. CarMax had a net margin of 2.09% and a return on equity of 9.11%. The business’s revenue for the quarter was up 6.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.97 EPS. On average, analysts expect that CarMax will post 3.23 EPS for the current year.

Insider Buying and Selling

In other CarMax news, EVP Jon G. Daniels sold 1,540 shares of the stock in a transaction dated Wednesday, July 2nd. The shares were sold at an average price of $70.64, for a total transaction of $108,785.60. Following the sale, the executive vice president owned 2,779 shares of the company’s stock, valued at $196,308.56. This represents a 35.66% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 1.70% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On CarMax

A number of hedge funds have recently added to or reduced their stakes in KMX. Zions Bancorporation National Association UT bought a new stake in CarMax during the 1st quarter worth about $27,000. CYBER HORNET ETFs LLC bought a new position in shares of CarMax in the 2nd quarter valued at about $28,000. MUFG Securities EMEA plc bought a new position in shares of CarMax in the 2nd quarter valued at about $30,000. Accent Capital Management LLC bought a new position in shares of CarMax in the 1st quarter valued at about $34,000. Finally, Strengthening Families & Communities LLC boosted its stake in shares of CarMax by 93.1% in the 1st quarter. Strengthening Families & Communities LLC now owns 531 shares of the company’s stock valued at $39,000 after purchasing an additional 256 shares during the last quarter.

About CarMax

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.