CarMax (NYSE:KMX) Releases Quarterly Earnings Results

CarMax (NYSE:KMX) posted its quarterly earnings results on Thursday. The company reported $0.32 EPS for the quarter, missing the consensus estimate of $0.45 by ($0.13), RTT News reports. The business had revenue of $5.63 billion during the quarter, compared to analyst estimates of $5.76 billion. CarMax had a return on equity of 7.26% and a net margin of 1.81%. The business’s revenue was down 1.7% on a year-over-year basis. During the same quarter last year, the firm earned $0.44 EPS.

CarMax Price Performance

Shares of KMX opened at $71.40 on Friday. CarMax has a 1-year low of $59.66 and a 1-year high of $88.22. The stock has a market cap of $11.27 billion, a PE ratio of 23.56, a price-to-earnings-growth ratio of 1.09 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 0.71. The firm has a fifty day moving average price of $78.80 and a 200 day moving average price of $72.20.

Analysts Set New Price Targets

Several equities analysts have commented on the stock. Truist Financial dropped their price target on shares of CarMax from $75.00 to $72.00 and set a “hold” rating for the company in a research note on Friday. Robert W. Baird dropped their price target on shares of CarMax from $88.00 to $84.00 and set an “outperform” rating for the company in a research note on Friday. Needham & Company LLC dropped their price target on shares of CarMax from $99.00 to $91.00 and set a “buy” rating for the company in a research note on Friday. Oppenheimer reiterated an “outperform” rating and set a $105.00 target price on shares of CarMax in a research note on Tuesday. Finally, Evercore ISI lowered their target price on shares of CarMax from $85.00 to $74.00 and set an “in-line” rating for the company in a research note on Friday. Three equities research analysts have rated the stock with a sell rating, five have issued a hold rating and five have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $78.67.

Insider Activity at CarMax

In related news, EVP Diane L. Cafritz sold 22,000 shares of the business’s stock in a transaction on Friday, January 26th. The shares were sold at an average price of $70.08, for a total value of $1,541,760.00. Following the completion of the sale, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at $355,515.84. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. In other news, EVP Diane L. Cafritz sold 22,000 shares of the company’s stock in a transaction dated Friday, January 26th. The shares were sold at an average price of $70.08, for a total value of $1,541,760.00. Following the completion of the sale, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at $355,515.84. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, VP Jill A. Livesay sold 14,199 shares of the company’s stock in a transaction dated 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 completion of 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. Insiders sold a total of 38,929 shares of company stock valued at $2,740,901 over the last ninety days. Insiders own 1.66% of the company’s stock.

Institutional Investors Weigh In On CarMax

Institutional investors and hedge funds have recently made changes to their positions in the business. ProVise Management Group LLC raised its holdings in CarMax by 31.5% during the third quarter. ProVise Management Group LLC now owns 58,701 shares of the company’s stock worth $4,152,000 after purchasing an additional 14,052 shares in the last quarter. Montag A & Associates Inc. raised its holdings in CarMax by 61.6% during the third quarter. Montag A & Associates Inc. now owns 49,985 shares of the company’s stock worth $3,535,000 after purchasing an additional 19,056 shares in the last quarter. Raymond James Financial Services Advisors Inc. raised its holdings in CarMax by 8.7% during the fourth quarter. Raymond James Financial Services Advisors Inc. now owns 235,544 shares of the company’s stock worth $18,076,000 after purchasing an additional 18,914 shares in the last quarter. Corient Private Wealth LLC raised its holdings in CarMax by 6.9% during the third quarter. Corient Private Wealth LLC now owns 934,259 shares of the company’s stock worth $66,080,000 after purchasing an additional 60,604 shares in the last quarter. Finally, Invesco Ltd. raised its holdings in CarMax by 3.1% during the third quarter. Invesco Ltd. now owns 2,938,541 shares of the company’s stock worth $207,843,000 after purchasing an additional 88,488 shares in the last quarter.

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.