CarMax (NYSE:KMX) Upgraded by StockNews.com to Hold Rating

StockNews.com upgraded shares of CarMax (NYSE:KMX) from a sell rating to a hold rating in a research note published on Friday morning.

Other analysts have also recently issued research reports about the company. BNP Paribas upgraded CarMax to a “strong sell” rating in a report on Friday, September 27th. Mizuho increased their price objective on shares of CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a research report on Friday. Needham & Company LLC lifted their target price on shares of CarMax from $90.00 to $98.00 and gave the company a “buy” rating in a report on Friday. Stephens started coverage on CarMax in a report on Thursday, December 5th. They issued an “equal weight” rating and a $86.00 price target for the company. Finally, Evercore ISI boosted their price objective on CarMax from $83.00 to $85.00 and gave the stock a “market perform” rating in a research note on Thursday. Three analysts have rated the stock with a sell rating, six have issued a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat, CarMax has a consensus rating of “Hold” and a consensus price target of $85.17.

CarMax Stock Performance

NYSE:KMX opened at $84.27 on Friday. The company has a market cap of $13.06 billion, a P/E ratio of 31.68, a P/E/G ratio of 1.76 and a beta of 1.71. The firm’s 50 day moving average is $79.01 and its two-hundred day moving average is $77.69. CarMax has a fifty-two week low of $65.83 and a fifty-two week high of $91.25. The company has a quick ratio of 0.68, a current ratio of 2.25 and a debt-to-equity ratio of 2.93.

CarMax (NYSE:KMX) last issued its earnings results on Thursday, December 19th. The company reported $0.81 earnings per share for the quarter, topping the consensus estimate of $0.62 by $0.19. CarMax had a return on equity of 6.83% and a net margin of 1.61%. The business had revenue of $6.22 billion for the quarter, compared to analyst estimates of $6.05 billion. During the same period last year, the company posted $0.52 EPS. The business’s quarterly revenue was up 1.2% on a year-over-year basis. Analysts expect that CarMax will post 3.01 EPS for the current year.

Hedge Funds Weigh In On CarMax

Institutional investors have recently made changes to their positions in the business. FMR LLC increased its holdings in CarMax by 2,883.1% in the third quarter. FMR LLC now owns 1,772,808 shares of the company’s stock valued at $137,180,000 after buying an additional 1,713,379 shares during the last quarter. Vulcan Value Partners LLC increased its holdings in shares of CarMax by 299.7% in the 2nd quarter. Vulcan Value Partners LLC now owns 1,827,139 shares of the company’s stock valued at $133,773,000 after acquiring an additional 1,369,986 shares during the last quarter. Holocene Advisors LP raised its position in shares of CarMax by 740.2% during the 3rd quarter. Holocene Advisors LP now owns 946,931 shares of the company’s stock valued at $73,274,000 after acquiring an additional 834,232 shares in the last quarter. Marshall Wace LLP lifted its stake in CarMax by 87.6% during the second quarter. Marshall Wace LLP now owns 1,160,601 shares of the company’s stock worth $85,118,000 after purchasing an additional 541,967 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its holdings in CarMax by 41.8% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,479,340 shares of the company’s stock worth $114,471,000 after purchasing an additional 436,342 shares during the period.

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.