CarMax (NYSE:KMX) Stock Rating Upgraded by Zacks Research

CarMax (NYSE:KMX) was upgraded by investment analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued to investors on Tuesday,Zacks.com reports. Zacks Research also issued estimates for CarMax’s Q2 2028 earnings at $0.97 EPS, Q3 2028 earnings at $0.84 EPS, FY2028 earnings at $3.11 EPS and Q1 2029 earnings at $1.13 EPS.

Other equities research analysts also recently issued reports about the company. UBS Group set a $60.00 target price on CarMax in a report on Wednesday, July 29th. Morgan Stanley increased their price target on CarMax from $35.00 to $44.00 and gave the stock an “equal weight” rating in a report on Tuesday, June 23rd. Royal Bank Of Canada raised their price objective on shares of CarMax from $41.00 to $45.00 and gave the stock a “sector perform” rating in a research report on Thursday, June 18th. Truist Financial lifted their price objective on shares of CarMax from $47.00 to $50.00 and gave the company a “hold” rating in a research note on Thursday, June 18th. Finally, Wall Street Zen upgraded shares of CarMax from a “sell” rating to a “hold” rating in a research report on Saturday, June 13th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, fourteen have assigned a Hold rating and three have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, CarMax presently has a consensus rating of “Hold” and an average price target of $51.00.

CarMax Price Performance

KMX stock opened at $58.71 on Tuesday. The company has a quick ratio of 0.82, a current ratio of 2.70 and a debt-to-equity ratio of 2.87. The firm has a market cap of $8.33 billion, a price-to-earnings ratio of 38.37, a PEG ratio of 2.66 and a beta of 1.15. The company’s fifty day simple moving average is $54.11 and its 200 day simple moving average is $46.31. CarMax has a 12-month low of $30.26 and a 12-month high of $62.56.

CarMax (NYSE:KMX) last issued its quarterly earnings results on Wednesday, June 17th. The company reported $1.31 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.35. CarMax had a return on equity of 6.64% and a net margin of 0.84%.The firm had revenue of $8.01 billion during the quarter, compared to the consensus estimate of $7.42 billion. During the same period last year, the business posted $1.38 EPS. The business’s revenue was up 6.2% compared to the same quarter last year. On average, analysts expect that CarMax will post 2.73 earnings per share for the current year.

Insider Activity at CarMax

In related news, Director Sona Chawla acquired 2,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 25th. The stock was acquired at an average price of $53.39 per share, for a total transaction of $106,780.00. Following the completion of the acquisition, the director owned 21,702 shares of the company’s stock, valued at approximately $1,158,669.78. This represents a 10.15% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Peter J. Bensen acquired 2,500 shares of the stock in a transaction on Monday, June 22nd. The stock was bought at an average cost of $52.20 per share, for a total transaction of $130,500.00. Following the transaction, the director owned 24,796 shares of the company’s stock, valued at approximately $1,294,351.20. This trade represents a 11.21% increase in their position. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders purchased 13,900 shares of company stock worth $735,574. 1.01% of the stock is owned by company insiders.

Institutional Investors Weigh In On CarMax

Hedge funds have recently modified their holdings of the stock. Jones Financial Companies Lllp lifted its holdings in shares of CarMax by 3.1% in the 1st quarter. Jones Financial Companies Lllp now owns 5,372 shares of the company’s stock valued at $419,000 after buying an additional 161 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew 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 acquiring an additional 173 shares during the period. Huntington National Bank raised its position in CarMax by 62.4% during the fourth quarter. Huntington National Bank now owns 690 shares of the company’s stock valued at $27,000 after acquiring an additional 265 shares in the last quarter. Ossiam raised its position in CarMax by 19.5% during the second quarter. Ossiam now owns 1,713 shares of the company’s stock valued at $115,000 after acquiring an additional 280 shares in the last quarter. Finally, Lakewood Asset Management LLC lifted its holdings in CarMax by 0.9% in the fourth quarter. Lakewood Asset Management LLC now owns 30,189 shares of the company’s stock valued at $1,167,000 after acquiring an additional 282 shares during the period.

About CarMax

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.