CarMax (NYSE:KMX) Stock Gets Downgrade from Wall Street Zen

CarMax (NYSE:KMX) was downgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued on Saturday, Wall Street Zen reports.

Other equities research analysts also recently issued research reports about the company. Zacks Research upgraded CarMax from a “hold” rating to a “strong-buy” rating in a report on Thursday, October 15th. Barclays upped their target price on CarMax from $61.00 to $67.00 and gave the stock an “equal weight” rating in a report on Wednesday, September 30th. Royal Bank Of Canada boosted their price objective on shares of CarMax from $45.00 to $56.00 and gave the company a “sector perform” rating in a report on Wednesday, September 30th. UBS Group set a $65.00 price objective on shares of CarMax in a report on Thursday, October 15th. Finally, Robert W. Baird boosted their price objective on shares of CarMax from $64.00 to $70.00 and gave the stock an “outperform” rating in a research note on Wednesday, September 30th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, fourteen have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $57.85.

CarMax Price Performance

NYSE:KMX opened at $55.62 on Friday. CarMax has a 12 month low of $30.26 and a 12 month high of $65.28. The company’s 50-day moving average price is $57.09 and its two-hundred day moving average price is $49.47. The company has a quick ratio of 0.57, a current ratio of 2.33 and a debt-to-equity ratio of 2.66. The firm has a market cap of $7.89 billion, a PE ratio of 27.13, a price-to-earnings-growth ratio of 1.54 and a beta of 1.22.

CarMax (NYSE:KMX) last announced its quarterly earnings data on Tuesday, September 29th. The company reported $1.16 EPS for the quarter, topping analysts’ consensus estimates of $0.73 by $0.43. CarMax had a return on equity of 7.76% and a net margin of 1.06%. The business had revenue of $7.88 billion during the quarter, compared to analysts’ expectations of $7.09 billion. During the same period in the previous year, the firm earned $0.64 earnings per share. The firm’s quarterly revenue was up 19.5% compared to the same quarter last year. On average, equities analysts anticipate that CarMax will post 3.15 EPS for the current fiscal year.

Institutional Investors Weigh In On CarMax

Several large investors have recently made changes to their positions in KMX. Chicago Partners Investment Group LLC increased its position in CarMax by 17.7% in the 3rd quarter. Chicago Partners Investment Group LLC now owns 25,899 shares of the company’s stock valued at $1,335,000 after acquiring an additional 3,893 shares in the last quarter. Covestor Ltd increased its holdings in CarMax by 471.1% during the 3rd quarter. Covestor Ltd now owns 514 shares of the company’s stock worth $28,000 after purchasing an additional 424 shares in the last quarter. Provenance Wealth Advisors LLC purchased a new position in CarMax in the third quarter valued at approximately $31,000. Verus Financial Partners Inc. raised its stake in CarMax by 7.0% in the third quarter. Verus Financial Partners Inc. now owns 5,026 shares of the company’s stock valued at $277,000 after purchasing an additional 330 shares in the last quarter. Finally, Profund Advisors LLC bought a new stake in CarMax in the third quarter valued at $201,000.

About CarMax

CarMax, Inc is a specialty retailer of used vehicles and operates one of the largest used-car sales networks in the United States. The company sells a broad selection of pre-owned cars, trucks and SUVs through its retail stores and online platform, offering customers tools for vehicle search, appraisal, financing and purchase.

CarMax also operates a vehicle appraisal and acquisition business, buying vehicles from consumers and other sources for resale through its retail or wholesale channels.