CarMax (NYSE:KMX) Rating Increased to Sell at StockNews.com

CarMax (NYSE:KMX) was upgraded by StockNews.com to a “sell” rating in a report issued on Monday.

Other equities research analysts also recently issued research reports about the stock. Wedbush reissued an “outperform” rating and issued a $90.00 target price on shares of CarMax in a research report on Tuesday, April 16th. Royal Bank of Canada reissued an “outperform” rating and issued a $83.00 target price on shares of CarMax in a research report on Monday, April 8th. Bank of America boosted their target price on shares of CarMax from $44.00 to $50.00 and gave the stock an “underperform” rating in a research report on Thursday, February 29th. Evercore ISI dropped their target price on shares of CarMax from $85.00 to $74.00 and set an “in-line” rating for the company in a research report on Friday, April 12th. Finally, Robert W. Baird dropped their target price on shares of CarMax from $88.00 to $84.00 and set an “outperform” rating for the company in a research report on Friday, April 12th. Three equities research analysts have rated the stock with a sell rating, five have issued a hold rating and five have assigned a buy rating to the stock. Based on data from MarketBeat, CarMax currently has an average rating of “Hold” and an average price target of $77.42.

CarMax Stock Performance

Shares of KMX stock opened at $69.71 on Monday. CarMax has a 12 month low of $59.66 and a 12 month high of $88.22. The company has a debt-to-equity ratio of 2.96, a current ratio of 2.26 and a quick ratio of 0.67. The firm has a market capitalization of $10.97 billion, a P/E ratio of 23.01, a P/E/G ratio of 1.13 and a beta of 1.61. The company’s fifty day moving average price is $78.18 and its two-hundred day moving average price is $72.12.

CarMax (NYSE:KMX) last issued its quarterly earnings data on Thursday, April 11th. The company reported $0.32 EPS for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.13). CarMax had a return on equity of 7.26% and a net margin of 1.81%. The firm had revenue of $5.63 billion during the quarter, compared to analyst estimates of $5.76 billion. During the same quarter in the prior year, the firm earned $0.44 EPS. The business’s quarterly revenue was down 1.7% compared to the same quarter last year. On average, research analysts anticipate that CarMax will post 3.3 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, VP Jill A. Livesay sold 14,199 shares of the company’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $70.89, for a total value of $1,006,567.11. Following the completion of the sale, the vice president now directly owns 9,068 shares of the company’s stock, valued at approximately $642,830.52. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. In related news, EVP Diane L. Cafritz sold 22,000 shares of the stock in a transaction that occurred 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 of the company’s stock, valued at $355,515.84. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Jill A. Livesay sold 14,199 shares of the company’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $70.89, for a total transaction of $1,006,567.11. Following the completion of the sale, the vice president now owns 9,068 shares of the company’s stock, valued at approximately $642,830.52. The disclosure for this sale can be found here. 1.66% of the stock is owned by insiders.

Institutional Investors Weigh In On CarMax

Hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in CarMax by 1.2% in the 4th quarter. Vanguard Group Inc. now owns 18,076,909 shares of the company’s stock worth $1,387,222,000 after buying an additional 222,132 shares in the last quarter. Diamond Hill Capital Management Inc. raised its holdings in shares of CarMax by 3.9% during the 3rd quarter. Diamond Hill Capital Management Inc. now owns 5,548,673 shares of the company’s stock valued at $392,458,000 after purchasing an additional 210,440 shares in the last quarter. Norges Bank bought a new position in shares of CarMax during the 4th quarter valued at $288,278,000. Invesco Ltd. raised its holdings in shares of CarMax by 3.1% during the 3rd quarter. Invesco Ltd. now owns 2,938,541 shares of the company’s stock valued at $207,843,000 after purchasing an additional 88,488 shares in the last quarter. Finally, Morningstar Investment Services LLC raised its holdings in shares of CarMax by 95.4% during the 4th quarter. Morningstar Investment Services LLC now owns 2,717,326 shares of the company’s stock valued at $211,516,000 after purchasing an additional 1,326,840 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.