CarMax (NYSE:KMX) Announces Earnings Results

CarMax (NYSE:KMX) released its quarterly earnings results on Thursday. The company reported $0.43 EPS for the quarter, beating the consensus estimate of $0.32 by $0.11, FiscalAI reports. The firm had revenue of $5.79 billion for the quarter, compared to analyst estimates of $5.66 billion. CarMax had a net margin of 1.98% and a return on equity of 8.51%. The business’s revenue for the quarter was down 6.9% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.81 EPS.

CarMax Stock Performance

Shares of NYSE:KMX traded down $0.20 during trading on Thursday, reaching $40.87. 1,826,551 shares of the stock were exchanged, compared to its average volume of 3,620,185. The firm has a market cap of $6.00 billion, a PE ratio of 12.12, a PEG ratio of 1.00 and a beta of 1.29. CarMax has a 12 month low of $30.26 and a 12 month high of $91.25. The company has a current ratio of 2.46, a quick ratio of 1.06 and a debt-to-equity ratio of 2.87. The stock has a 50-day moving average price of $39.44 and a 200-day moving average price of $53.10.

Hedge Funds Weigh In On CarMax

Several large investors have recently made changes to their positions in KMX. CYBER HORNET ETFs LLC purchased a new position in shares of CarMax in the 2nd quarter worth $28,000. MUFG Securities EMEA plc purchased a new position in shares of CarMax during the second quarter worth approximately $30,000. Advisory Services Network LLC acquired a new position in shares of CarMax during the 3rd quarter worth $32,000. Brown Brothers Harriman & Co. raised its holdings in shares of CarMax by 13.6% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 2,573 shares of the company’s stock worth $115,000 after purchasing an additional 309 shares during the period. Finally, Ossiam increased its holdings in shares of CarMax by 19.5% in the 2nd quarter. Ossiam now owns 1,713 shares of the company’s stock valued at $115,000 after acquiring an additional 280 shares during the last quarter.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on the company. Mizuho cut their price objective on CarMax from $78.00 to $46.00 and set a “neutral” rating for the company in a research report on Thursday, October 16th. Evercore ISI raised their price objective on CarMax from $35.00 to $37.00 and gave the stock an “in-line” rating in a research report on Tuesday, December 9th. Royal Bank Of Canada reissued a “sector perform” rating and set a $34.00 price objective (down previously from $59.00) on shares of CarMax in a report on Friday, November 7th. Robert W. Baird lowered their target price on CarMax from $90.00 to $60.00 and set an “outperform” rating on the stock in a research report on Friday, September 26th. Finally, Benchmark reiterated a “hold” rating on shares of CarMax in a research note on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, twelve have issued a Hold rating and five have given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Reduce” and a consensus price target of $41.69.

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.