CarMax Sees Unusually Large Options Volume (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) was the recipient of some unusual options trading on Thursday. Stock traders purchased 14,074 put options on the stock. This is an increase of approximately 97% compared to the typical daily volume of 7,146 put options.

Analysts Set New Price Targets

A number of research firms recently issued reports on KMX. Zacks Research downgraded CarMax from a “hold” rating to a “strong sell” rating in a research report on Thursday, October 2nd. Wedbush reissued a “neutral” rating and issued a $40.00 target price on shares of CarMax in a research note on Tuesday, November 18th. BNP Paribas Exane cut their price target on shares of CarMax from $52.00 to $35.00 and set an “underperform” rating for the company in a research note on Friday, September 26th. Evercore ISI lifted their target price on CarMax from $35.00 to $37.00 and gave the stock an “in-line” rating in a research note on Tuesday, December 9th. Finally, Robert W. Baird decreased their price objective on shares of CarMax from $90.00 to $60.00 and set an “outperform” rating on the stock in a report on Friday, September 26th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, twelve have given a Hold rating and five have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Reduce” and a consensus target price of $41.69.

Hedge Funds Weigh In On CarMax

Hedge funds and other institutional investors have recently bought and sold shares of the company. Allworth Financial LP boosted its position in shares of CarMax by 41.3% during the 3rd quarter. Allworth Financial LP now owns 6,086 shares of the company’s stock worth $273,000 after purchasing an additional 1,779 shares in the last quarter. CIBC Bancorp USA Inc. acquired a new stake in CarMax in the third quarter valued at approximately $688,000. Centaurus Financial Inc. increased its holdings in shares of CarMax by 61.9% during the third quarter. Centaurus Financial Inc. now owns 18,184 shares of the company’s stock valued at $816,000 after acquiring an additional 6,953 shares in the last quarter. Wilmington Savings Fund Society FSB increased its stake in CarMax by 18.8% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 5,478 shares of the company’s stock valued at $246,000 after purchasing an additional 865 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd raised its holdings in CarMax by 17,042.9% during the third quarter. Caitong International Asset Management Co. Ltd now owns 3,600 shares of the company’s stock worth $162,000 after buying an additional 3,579 shares during the last quarter.

CarMax Price Performance

CarMax stock traded up $0.49 during mid-day trading on Thursday, reaching $41.56. The company had a trading volume of 3,724,781 shares, compared to its average volume of 3,630,348. CarMax has a fifty-two week low of $30.26 and a fifty-two week high of $91.25. The company has a current ratio of 2.46, a quick ratio of 1.06 and a debt-to-equity ratio of 2.87. The company has a market cap of $6.10 billion, a P/E ratio of 12.12, a P/E/G ratio of 1.00 and a beta of 1.29. The business has a fifty day simple moving average of $39.44 and a 200 day simple moving average of $53.10.

CarMax (NYSE:KMX) last released its quarterly earnings results on Thursday, December 18th. The company reported $0.43 earnings per share for the quarter, topping the consensus estimate of $0.32 by $0.11. The company had revenue of $5.79 billion for the quarter, compared to analysts’ expectations of $5.66 billion. CarMax had a return on equity of 8.51% and a net margin of 1.98%.The business’s quarterly revenue was down 6.9% compared to the same quarter last year. During the same period in the previous year, the business posted $0.81 earnings per share. On average, equities research analysts predict that CarMax will post 3.23 earnings per share for the current year.

CarMax Company Profile

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.