Analysts Issue Forecasts for CarMax’s Q3 Earnings (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) – Investment analysts at William Blair increased their Q3 2025 EPS estimates for shares of CarMax in a research report issued on Thursday, December 12th. William Blair analyst S. Zackfia now anticipates that the company will earn $0.63 per share for the quarter, up from their prior estimate of $0.62. The consensus estimate for CarMax’s current full-year earnings is $3.01 per share. William Blair also issued estimates for CarMax’s FY2025 earnings at $3.05 EPS, Q1 2026 earnings at $1.18 EPS, Q2 2026 earnings at $0.95 EPS, Q3 2026 earnings at $0.79 EPS, Q4 2026 earnings at $0.82 EPS, FY2026 earnings at $3.74 EPS and FY2027 earnings at $4.25 EPS.

CarMax (NYSE:KMX) last issued its quarterly earnings results on Thursday, September 26th. The company reported $0.85 EPS for the quarter, missing analysts’ consensus estimates of $0.86 by ($0.01). The company had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.83 billion. CarMax had a return on equity of 6.83% and a net margin of 1.61%. CarMax’s quarterly revenue was down .9% on a year-over-year basis. During the same period in the previous year, the company earned $0.75 EPS.

Several other equities analysts also recently commented on KMX. BNP Paribas raised shares of CarMax to a “strong sell” rating in a research note on Friday, September 27th. Wedbush reaffirmed an “outperform” rating and issued a $95.00 price target on shares of CarMax in a research note on Wednesday, October 16th. Truist Financial upped their price objective on shares of CarMax from $70.00 to $75.00 and gave the stock a “hold” rating in a report on Monday, September 23rd. Stephens began coverage on CarMax in a research note on Thursday, December 5th. They issued an “equal weight” rating and a $86.00 target price for the company. Finally, Royal Bank of Canada reiterated an “outperform” rating and issued a $82.00 price target on shares of CarMax in a research note on Wednesday, October 16th. Four investment analysts have rated the stock with a sell rating, five have given a hold rating and six have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $81.00.

CarMax Price Performance

KMX stock opened at $85.96 on Monday. The company has a debt-to-equity ratio of 2.93, a quick ratio of 0.68 and a current ratio of 2.25. The firm has a market cap of $13.32 billion, a P/E ratio of 32.32, a P/E/G ratio of 1.76 and a beta of 1.71. The firm’s fifty day moving average is $78.08 and its 200 day moving average is $77.38. CarMax has a 52 week low of $65.83 and a 52 week high of $88.22.

Institutional Investors Weigh In On CarMax

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. State Street Corp raised its stake in shares of CarMax by 0.6% in the third quarter. State Street Corp now owns 6,193,174 shares of the company’s stock valued at $479,228,000 after acquiring an additional 36,959 shares in the last quarter. Janus Henderson Group PLC raised its stake in CarMax by 0.6% during the 3rd quarter. Janus Henderson Group PLC now owns 4,642,235 shares of the company’s stock worth $359,216,000 after acquiring an additional 28,466 shares in the last quarter. Geode Capital Management LLC lifted its stake in CarMax by 0.4% in the third quarter. Geode Capital Management LLC now owns 3,663,209 shares of the company’s stock valued at $282,479,000 after buying an additional 14,903 shares during the last quarter. First Pacific Advisors LP boosted its holdings in shares of CarMax by 2.0% in the second quarter. First Pacific Advisors LP now owns 2,386,210 shares of the company’s stock valued at $175,005,000 after acquiring an additional 47,184 shares during the period. Finally, Dimensional Fund Advisors LP grew its position in CarMax by 2.6% during the 2nd quarter. Dimensional Fund Advisors LP now owns 2,007,426 shares of the company’s stock worth $147,230,000 after purchasing an additional 51,397 shares during the last quarter.

About CarMax

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.