CarMax (NYSE:KMX) Earns Outperform Rating from Wedbush

CarMax (NYSE:KMX)‘s stock had its “outperform” rating reissued by stock analysts at Wedbush in a note issued to investors on Tuesday, Benzinga reports. They presently have a $90.00 target price on the stock. Wedbush’s price target indicates a potential upside of 31.33% from the stock’s current price.

A number of other analysts have also weighed in on the stock. Bank of America raised their price target on shares of CarMax from $44.00 to $50.00 and gave the company an “underperform” rating in a report on Thursday, February 29th. Evercore ISI lowered their price target on shares of CarMax from $85.00 to $74.00 and set an “in-line” rating for the company in a report on Friday, April 12th. Royal Bank of Canada reissued an “outperform” rating and issued a $83.00 price target on shares of CarMax in a report on Monday, April 8th. Oppenheimer reaffirmed an “outperform” rating and set a $105.00 target price on shares of CarMax in a report on Tuesday, April 9th. Finally, Truist Financial lowered their target price on shares of CarMax from $75.00 to $72.00 and set a “hold” rating for the company in a report on Friday, April 12th. Three investment analysts have rated the stock with a sell rating, five have given a hold rating and five have assigned a buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $77.42.

CarMax Stock Performance

NYSE:KMX opened at $68.53 on Tuesday. CarMax has a 1 year low of $59.66 and a 1 year high of $88.22. The firm has a 50 day moving average of $78.66 and a 200-day moving average of $72.07. The company has a current ratio of 2.26, a quick ratio of 0.67 and a debt-to-equity ratio of 2.96. The stock has a market capitalization of $10.82 billion, a P/E ratio of 22.62, a price-to-earnings-growth ratio of 1.09 and a beta of 1.61.

CarMax (NYSE:KMX) last posted its earnings results on Thursday, April 11th. The company reported $0.32 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.13). CarMax had a net margin of 1.81% and a return on equity of 7.26%. The firm had revenue of $5.63 billion during the quarter, compared to the consensus estimate of $5.76 billion. During the same quarter last year, the firm posted $0.44 EPS. The business’s revenue was down 1.7% on a year-over-year basis. As a group, sell-side analysts anticipate that CarMax will post 3.49 EPS for the current fiscal year.

Insider Activity

In other news, EVP Diane L. Cafritz sold 2,730 shares of the business’s stock in a transaction on Tuesday, January 23rd. The shares were sold at an average price of $70.54, for a total value of $192,574.20. Following the completion of the transaction, the executive vice president now owns 5,073 shares of the company’s stock, valued at approximately $357,849.42. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. In related news, EVP Diane L. Cafritz sold 2,730 shares of the business’s stock in a transaction on Tuesday, January 23rd. The shares were sold at an average price of $70.54, for a total value of $192,574.20. Following the sale, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at approximately $357,849.42. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Diane L. Cafritz sold 22,000 shares of the business’s stock in a transaction on Friday, January 26th. The shares were sold at an average price of $70.08, for a total transaction of $1,541,760.00. Following the completion of the sale, the executive vice president now directly owns 5,073 shares in the company, valued at $355,515.84. The disclosure for this sale can be found here. Insiders sold 38,929 shares of company stock valued at $2,740,901 in the last quarter. Company insiders own 1.66% of the company’s stock.

Institutional Investors Weigh In On CarMax

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. ProVise Management Group LLC lifted its position in CarMax by 31.5% during the 3rd quarter. ProVise Management Group LLC now owns 58,701 shares of the company’s stock worth $4,152,000 after buying an additional 14,052 shares in the last quarter. Montag A & Associates Inc. lifted its position in CarMax by 61.6% during the 3rd quarter. Montag A & Associates Inc. now owns 49,985 shares of the company’s stock worth $3,535,000 after buying an additional 19,056 shares in the last quarter. Raymond James Financial Services Advisors Inc. lifted its position in CarMax by 8.7% during the 4th quarter. Raymond James Financial Services Advisors Inc. now owns 235,544 shares of the company’s stock worth $18,076,000 after buying an additional 18,914 shares in the last quarter. Corient Private Wealth LLC lifted its position in CarMax by 6.9% during the 3rd quarter. Corient Private Wealth LLC now owns 934,259 shares of the company’s stock worth $66,080,000 after buying an additional 60,604 shares in the last quarter. Finally, Invesco Ltd. lifted its position in CarMax by 3.1% during the 3rd quarter. Invesco Ltd. now owns 2,938,541 shares of the company’s stock worth $207,843,000 after buying an additional 88,488 shares in the last quarter.

About CarMax

CarMax, Inc, together with its subsidiaries, operates as a retailer of used vehicles in the United States. It operates in two segments, CarMax Sales Operations and CarMax Auto Finance. The company offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; and extended protection plans to customers at the time of sale, as well as sells vehicles that are approximately 10 years old and has more than 100,000 miles through wholesale auctions.