CarMax, Inc. (NYSE:KMX) Receives Consensus Rating of “Hold” from Brokerages

CarMax, Inc. (NYSE:KMX) has been given an average recommendation of “Hold” by the fourteen analysts that are presently covering the company, MarketBeat.com reports. Three investment analysts have rated the stock with a sell recommendation, five have issued a hold recommendation and six have issued a buy recommendation on the company. The average 1-year price target among analysts that have covered the stock in the last year is $85.17.

Several equities research analysts have recently weighed in on KMX shares. Evercore ISI upped their price target on CarMax from $83.00 to $85.00 and gave the company a “market perform” rating in a research report on Thursday, December 19th. Royal Bank of Canada upped their target price on shares of CarMax from $92.00 to $99.00 and gave the stock an “overweight” rating in a report on Thursday, December 19th. Truist Financial boosted their price target on shares of CarMax from $72.00 to $88.00 and gave the company a “hold” rating in a research report on Friday, December 20th. Oppenheimer reiterated an “outperform” rating and issued a $105.00 price objective on shares of CarMax in a research report on Friday, October 4th. Finally, Needham & Company LLC boosted their target price on CarMax from $90.00 to $98.00 and gave the stock a “buy” rating in a research report on Friday, December 20th.

Insiders Place Their Bets

In other news, EVP James Lyski sold 57,986 shares of the firm’s stock in a transaction dated Thursday, January 2nd. The stock was sold at an average price of $81.35, for a total transaction of $4,717,161.10. Following the transaction, the executive vice president now directly owns 22,803 shares of the company’s stock, valued at approximately $1,855,024.05. This trade represents a 71.77 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Mohammad Shamim sold 10,000 shares of the business’s stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $83.77, for a total value of $837,700.00. Following the completion of the sale, the executive vice president now directly owns 11,738 shares of the company’s stock, valued at approximately $983,292.26. This trade represents a 46.00 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 228,744 shares of company stock valued at $18,990,227. 1.66% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in KMX. Quarry LP grew its holdings in CarMax by 78.6% in the 2nd quarter. Quarry LP now owns 418 shares of the company’s stock worth $31,000 after acquiring an additional 184 shares during the last quarter. Catalyst Capital Advisors LLC bought a new stake in shares of CarMax in the third quarter worth about $32,000. True Wealth Design LLC raised its position in CarMax by 4,844.4% during the 3rd quarter. True Wealth Design LLC now owns 445 shares of the company’s stock valued at $34,000 after purchasing an additional 436 shares during the last quarter. Studio Investment Management LLC lifted its holdings in CarMax by 176.7% in the 2nd quarter. Studio Investment Management LLC now owns 523 shares of the company’s stock worth $38,000 after buying an additional 334 shares during the period. Finally, Larson Financial Group LLC grew its position in shares of CarMax by 91.9% in the 3rd quarter. Larson Financial Group LLC now owns 737 shares of the company’s stock worth $57,000 after buying an additional 353 shares during the last quarter.

CarMax Stock Performance

NYSE KMX opened at $80.07 on Friday. The company’s 50 day moving average is $80.97 and its 200-day moving average is $78.58. The firm has a market cap of $12.40 billion, a P/E ratio of 30.10, a price-to-earnings-growth ratio of 1.74 and a beta of 1.71. CarMax has a 12-month low of $65.83 and a 12-month 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 posted its earnings results on Thursday, December 19th. The company reported $0.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.19. The firm had revenue of $6.22 billion for the quarter, compared to the consensus estimate of $6.05 billion. CarMax had a return on equity of 6.83% and a net margin of 1.61%. The business’s quarterly revenue was up 1.2% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.52 earnings per share. Sell-side analysts predict that CarMax will post 3.01 earnings per share for the current year.

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.