FY2025 Earnings Forecast for CarMax Issued By Zacks Research

CarMax, Inc. (NYSE:KMX) – Zacks Research lifted their FY2025 earnings estimates for shares of CarMax in a research note issued on Thursday, January 2nd. Zacks Research analyst R. Department now anticipates that the company will post earnings of $3.15 per share for the year, up from their prior forecast of $2.92. The consensus estimate for CarMax’s current full-year earnings is $3.01 per share. Zacks Research also issued estimates for CarMax’s Q1 2026 earnings at $1.17 EPS, Q2 2026 earnings at $0.96 EPS, Q4 2026 earnings at $0.91 EPS, FY2026 earnings at $3.82 EPS, Q1 2027 earnings at $1.15 EPS, Q2 2027 earnings at $0.99 EPS and FY2027 earnings at $4.32 EPS.

CarMax (NYSE:KMX) last posted its quarterly earnings data 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. The company had revenue of $6.22 billion for the quarter, compared to analysts’ expectations of $6.05 billion. CarMax had a net margin of 1.61% and a return on equity of 6.83%. CarMax’s revenue for the quarter was up 1.2% compared to the same quarter last year. During the same period in the prior year, the business earned $0.52 earnings per share.

Several other analysts have also issued reports on KMX. Mizuho upped their target price on CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a research note on Friday, December 20th. JPMorgan Chase & Co. increased their target price on shares of CarMax from $70.00 to $72.00 and gave the company an “underweight” rating in a report on Friday, December 20th. Evercore ISI boosted their price target on shares of CarMax from $83.00 to $85.00 and gave the stock a “market perform” rating in a research note on Thursday, December 19th. Wedbush reaffirmed an “outperform” rating and issued a $95.00 price target on shares of CarMax in a research note on Wednesday, October 16th. Finally, Stephens began coverage on CarMax in a research report on Thursday, December 5th. They issued an “equal weight” rating and a $86.00 price objective on the stock. 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. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $85.17.

CarMax Price Performance

KMX opened at $79.65 on Monday. The company has a current ratio of 2.25, a quick ratio of 0.68 and a debt-to-equity ratio of 2.93. The stock has a market capitalization of $12.34 billion, a P/E ratio of 29.94, a PEG ratio of 1.74 and a beta of 1.71. The stock has a 50-day moving average price of $81.08 and a 200-day moving average price of $78.69. CarMax has a 12-month low of $65.83 and a 12-month high of $91.25.

Insider Buying and Selling at CarMax

In other news, SVP Jon G. Daniels sold 30,245 shares of the stock in a transaction that occurred on Tuesday, December 24th. The shares were sold at an average price of $84.34, for a total transaction of $2,550,863.30. Following the transaction, the senior vice president now directly owns 995 shares in the company, valued at approximately $83,918.30. This trade represents a 96.81 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Mohammad Shamim sold 10,000 shares of the business’s stock in a transaction that occurred on Monday, December 23rd. The stock was sold at an average price of $83.77, for a total transaction of $837,700.00. Following the completion of the transaction, the executive vice president now directly owns 11,738 shares of the company’s stock, valued at $983,292.26. This trade represents a 46.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 228,744 shares of company stock valued at $18,990,227 in the last 90 days. Insiders own 1.66% of the company’s stock.

Institutional Investors Weigh In On CarMax

Institutional investors have recently added to or reduced their stakes in the stock. World Investment Advisors LLC purchased a new stake in shares of CarMax during the third quarter valued at about $6,942,000. Sumitomo Mitsui Trust Group Inc. lifted its position in CarMax by 3.2% during the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 351,361 shares of the company’s stock valued at $27,188,000 after acquiring an additional 10,898 shares during the last quarter. Eagle Rock Investment Company LLC acquired a new stake in CarMax in the third quarter valued at approximately $747,000. Neo Ivy Capital Management purchased a new position in CarMax in the third quarter worth $3,934,000. Finally, iSAM Funds UK Ltd purchased a new position in CarMax in the third quarter worth $537,000.

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.