Zacks Research Estimates CarMax’s FY2027 Earnings (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) – Zacks Research upped their FY2027 earnings per share estimates for shares of CarMax in a research report issued to clients and investors on Wednesday, July 1st. Zacks Research analyst Team now forecasts that the company will post earnings per share of $2.58 for the year, up from their previous estimate of $2.24. The consensus estimate for CarMax’s current full-year earnings is $2.64 per share. Zacks Research also issued estimates for CarMax’s Q4 2027 earnings at $0.26 EPS, Q2 2028 earnings at $0.95 EPS, Q3 2028 earnings at $0.82 EPS, FY2028 earnings at $2.96 EPS, Q1 2029 earnings at $0.98 EPS and FY2029 earnings at $3.21 EPS.

CarMax (NYSE:KMX) last announced its quarterly earnings results on Wednesday, June 17th. The company reported $1.31 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.96 by $0.35. The firm had revenue of $8.01 billion during the quarter, compared to the consensus estimate of $7.42 billion. CarMax had a return on equity of 6.64% and a net margin of 0.84%.The firm’s quarterly revenue was up 6.2% compared to the same quarter last year. During the same period in the prior year, the company posted $1.38 earnings per share.

Several other equities analysts also recently issued reports on the stock. Robert W. Baird upped their price objective on shares of CarMax from $48.00 to $55.00 and gave the company an “outperform” rating in a research note on Thursday, June 18th. Weiss Ratings reissued a “sell (d)” rating on shares of CarMax in a report on Wednesday, April 8th. Wall Street Zen upgraded CarMax from a “sell” rating to a “hold” rating in a research note on Saturday, June 13th. Royal Bank Of Canada boosted their price objective on CarMax from $41.00 to $45.00 and gave the company a “sector perform” rating in a research note on Thursday, June 18th. Finally, Evercore set a $45.00 target price on shares of CarMax in a research report on Friday, April 10th. Two research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and five have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Reduce” and a consensus price target of $47.73.

CarMax Price Performance

Shares of NYSE:KMX opened at $50.88 on Friday. The company’s fifty day moving average price is $44.44 and its 200 day moving average price is $43.45. CarMax has a 12 month low of $30.26 and a 12 month high of $71.99. The company has a debt-to-equity ratio of 2.87, a current ratio of 2.70 and a quick ratio of 0.82. The firm has a market capitalization of $7.22 billion, a P/E ratio of 33.25, a P/E/G ratio of 1.70 and a beta of 1.17.

Institutional Trading of CarMax

Several hedge funds have recently made changes to their positions in KMX. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in CarMax by 0.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 31,389 shares of the company’s stock worth $2,446,000 after purchasing an additional 173 shares in the last quarter. Jones Financial Companies Lllp increased its position in CarMax by 3.1% during the 1st quarter. Jones Financial Companies Lllp now owns 5,372 shares of the company’s stock worth $419,000 after purchasing an additional 161 shares during the period. Empowered Funds LLC raised its stake in shares of CarMax by 12.5% during the 1st quarter. Empowered Funds LLC now owns 5,273 shares of the company’s stock worth $411,000 after buying an additional 585 shares in the last quarter. Intech Investment Management LLC raised its stake in shares of CarMax by 61.7% during the 1st quarter. Intech Investment Management LLC now owns 19,143 shares of the company’s stock worth $1,492,000 after buying an additional 7,307 shares in the last quarter. Finally, Acadian Asset Management LLC acquired a new stake in shares of CarMax in the 1st quarter valued at approximately $727,000.

Insiders Place Their Bets

In related news, Director Peter J. Bensen purchased 2,500 shares of the firm’s stock in a transaction that occurred on Monday, June 22nd. The stock was purchased at an average cost of $52.20 per share, with a total value of $130,500.00. Following the completion of the acquisition, the director directly owned 24,796 shares in the company, valued at $1,294,351.20. This trade represents a 11.21% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Sona Chawla acquired 2,000 shares of the stock in a transaction that occurred on Thursday, June 25th. The stock was purchased at an average price of $53.39 per share, for a total transaction of $106,780.00. Following the completion of the transaction, the director owned 21,702 shares in the company, valued at $1,158,669.78. The trade was a 10.15% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last ninety days, insiders purchased 13,900 shares of company stock valued at $735,574. 1.01% of the stock is owned by company insiders.

More CarMax News

Here are the key news stories impacting CarMax this week:

• Positive Sentiment: Zacks Research raised several CarMax earnings estimates, including FY2027 to $2.58 per share from $2.24 and FY2028 to $2.96 from $2.86, signaling improved expectations for profitability. CarMax stock page
• Positive Sentiment: Analysts also increased Q4 2027, Q2 2028, and Q3 2028 EPS forecasts, suggesting confidence in CarMax’s earnings trajectory over the next few years. CarMax stock page
• Positive Sentiment: Four CarMax directors reportedly bought shares after the company’s first-quarter earnings report, which can be viewed as a sign of internal confidence in the turnaround. Barrons article: CarMax’s Turnaround Is a Work in Progress, but Insiders Are Buying Anyway
• Neutral Sentiment: CarMax’s latest reported quarter beat expectations, with EPS of $1.31 versus $0.96 expected and revenue of $8.01 billion versus $7.42 billion estimated, providing a solid operational backdrop for the stock.
• Neutral Sentiment: Some longer-dated estimates were trimmed, including Q2 2027, Q3 2027, Q1 2028, and Q4 2028, plus a cut to FY2029 EPS, which tempers the more bullish near-term revisions. CarMax stock page
• Negative Sentiment: Zacks Research lowered FY2029 EPS estimates to $3.21 from $3.95, indicating some caution about CarMax’s very long-term earnings power. CarMax stock page

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.