CarMax (NYSE:KMX) Receives “Outperform” Rating from Wedbush

Wedbush reissued their outperform rating on shares of CarMax (NYSE:KMX) in a report published on Wednesday morning, Marketbeat Ratings reports. The brokerage currently has a $90.00 target price on the stock.

A number of other brokerages have also recently commented on KMX. Wall Street Zen upgraded shares of CarMax from a “sell” rating to a “hold” rating in a research note on Wednesday, May 7th. Robert W. Baird cut their target price on CarMax from $95.00 to $90.00 and set an “outperform” rating for the company in a research report on Friday, April 11th. Royal Bank Of Canada reiterated an “underperform” rating on shares of CarMax in a research report on Monday, April 21st. Evercore ISI dropped their price objective on CarMax from $85.00 to $84.00 and set an “outperform” rating for the company in a research note on Wednesday, May 28th. Finally, JPMorgan Chase & Co. cut their price objective on CarMax from $72.00 to $65.00 and set an “underweight” rating for the company in a report on Thursday, March 27th. Three investment analysts have rated the stock with a sell rating, four have given a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $85.82.

CarMax Price Performance

Shares of NYSE:KMX opened at $68.66 on Wednesday. The firm has a market capitalization of $10.48 billion, a PE ratio of 21.39, a PEG ratio of 1.07 and a beta of 1.38. The company has a current ratio of 2.31, a quick ratio of 0.52 and a debt-to-equity ratio of 2.91. CarMax has a 1-year low of $61.34 and a 1-year high of $91.25. The business’s 50 day moving average is $65.60 and its 200-day moving average is $75.47.

CarMax (NYSE:KMX) last announced its quarterly earnings data on Friday, June 20th. The company reported $1.38 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.18 by $0.20. CarMax had a net margin of 1.90% and a return on equity of 8.22%. The company had revenue of $7.55 billion during the quarter, compared to analysts’ expectations of $7.58 billion. During the same quarter in the prior year, the company posted $0.97 EPS. The business’s revenue was up 6.1% on a year-over-year basis. Sell-side analysts predict that CarMax will post 3.23 earnings per share for the current year.

Insider Activity

In related news, Director Mitchell D. Steenrod bought 1,300 shares of the company’s stock in a transaction on Thursday, April 24th. The stock was bought at an average cost of $65.49 per share, with a total value of $85,137.00. Following the completion of the purchase, the director now owns 33,577 shares in the company, valued at approximately $2,198,957.73. The trade was a 4.03% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. 1.70% of the stock is currently owned by corporate insiders.

Institutional Trading of CarMax

Several hedge funds have recently modified their holdings of the stock. Zions Bancorporation National Association UT bought a new position in CarMax in the 1st quarter worth approximately $27,000. Cromwell Holdings LLC raised its position in shares of CarMax by 104.8% during the fourth quarter. Cromwell Holdings LLC now owns 424 shares of the company’s stock worth $35,000 after acquiring an additional 217 shares during the last quarter. Accent Capital Management LLC bought a new stake in shares of CarMax during the first quarter worth $34,000. Strengthening Families & Communities LLC lifted its stake in shares of CarMax by 93.1% during the first quarter. Strengthening Families & Communities LLC now owns 531 shares of the company’s stock valued at $39,000 after acquiring an additional 256 shares during the period. Finally, Ameriflex Group Inc. bought a new position in CarMax in the fourth quarter valued at about $53,000.

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.