CarMax (NYSE:KMX) Downgraded by Wall Street Zen to “Sell”

CarMax (NYSE:KMX) was downgraded by equities researchers at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued on Saturday.

A number of other analysts also recently commented on KMX. Robert W. Baird boosted their target price on shares of CarMax from $44.00 to $48.00 and gave the stock an “outperform” rating in a report on Wednesday, February 18th. Benchmark restated a “hold” rating on shares of CarMax in a report on Tuesday, December 16th. JPMorgan Chase & Co. decreased their price target on shares of CarMax from $30.00 to $28.00 and set an “underweight” rating on the stock in a research report on Friday, December 19th. Bank of America upped their price target on CarMax from $27.00 to $31.00 and gave the company an “underperform” rating in a report on Friday, December 19th. Finally, Mizuho cut their price objective on CarMax from $46.00 to $36.00 and set a “neutral” rating for the company in a research report on Friday, December 19th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, twelve have issued a Hold rating and five have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and a consensus price target of $39.21.

CarMax Trading Up 2.1%

Shares of KMX stock opened at $41.86 on Friday. The stock has a 50-day simple moving average of $44.39 and a 200 day simple moving average of $44.70. CarMax has a fifty-two week low of $30.26 and a fifty-two week high of $82.79. The stock has a market capitalization of $5.94 billion, a P/E ratio of 13.82, a P/E/G ratio of 0.98 and a beta of 1.35. The company has a quick ratio of 0.51, a current ratio of 1.99 and a debt-to-equity ratio of 2.74.

CarMax (NYSE:KMX) last issued its quarterly earnings results on Thursday, December 18th. The company reported $0.43 EPS for the quarter, topping the consensus estimate of $0.31 by $0.12. CarMax had a net margin of 1.77% and a return on equity of 7.72%. The firm had revenue of $5.79 billion for the quarter, compared to analysts’ expectations of $5.66 billion. During the same period in the previous year, the business earned $0.81 earnings per share. CarMax’s revenue for the quarter was down 6.9% compared to the same quarter last year. On average, sell-side analysts expect that CarMax will post 3.23 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the company. World Investment Advisors lifted its position in shares of CarMax by 1.5% in the 4th quarter. World Investment Advisors now owns 111,013 shares of the company’s stock valued at $4,290,000 after acquiring an additional 1,643 shares in the last quarter. Midway Capital Research & Management purchased a new position in CarMax during the 4th quarter worth approximately $1,625,000. Framtiden Holdings Management Co LLC acquired a new stake in CarMax during the 4th quarter valued at $20,866,000. Van Diest Capital LLC acquired a new stake in CarMax during the 4th quarter valued at $226,000. Finally, Alberta Investment Management Corp purchased a new stake in shares of CarMax in the fourth quarter valued at $4,326,000.

CarMax Company Profile

CarMax (NYSE: KMX) is a leading retailer of used vehicles in the United States, offering customers a streamlined, no-haggle purchasing experience. The company’s inventory spans a broad range of makes and models, each of which undergoes a comprehensive inspection process before being offered for sale. Customers can shop in person at CarMax’s retail locations or browse the company’s online platform, which provides detailed vehicle histories, virtual tours and contactless purchasing options.

Originally launched in 1993 as a division of Circuit City, CarMax became an independent, publicly traded company in 1997.