CarMax (NYSE:KMX) Stock Rating Upgraded by StockNews.com

CarMax (NYSE:KMX) was upgraded by stock analysts at StockNews.com to a “sell” rating in a note issued to investors on Tuesday.

Several other analysts have also weighed in on the stock. Wedbush reiterated an “outperform” rating and issued a $90.00 price objective on shares of CarMax in a research note on Tuesday, June 18th. Morgan Stanley reaffirmed an “overweight” rating and issued a $80.00 price target on shares of CarMax in a research note on Friday, June 21st. Royal Bank of Canada increased their price objective on shares of CarMax from $73.00 to $75.00 and gave the stock an “outperform” rating in a research report on Monday, June 24th. JPMorgan Chase & Co. decreased their target price on CarMax from $60.00 to $55.00 and set an “underweight” rating for the company in a research report on Monday, April 15th. Finally, Truist Financial increased their price target on CarMax from $66.00 to $70.00 and gave the stock a “hold” rating in a report on Monday, June 24th. Three investment analysts have rated the stock with a sell rating, five have given a hold rating and six have issued a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $75.50.

CarMax Stock Performance

Shares of KMX opened at $76.90 on Tuesday. The company has a current ratio of 2.50, a quick ratio of 0.60 and a debt-to-equity ratio of 2.95. The firm’s fifty day simple moving average is $71.31 and its two-hundred day simple moving average is $73.91. CarMax has a 12 month low of $59.66 and a 12 month high of $88.22. The stock has a market capitalization of $12.00 billion, a P/E ratio of 30.04, a price-to-earnings-growth ratio of 1.45 and a beta of 1.69.

CarMax (NYSE:KMX) last announced its quarterly earnings data on Friday, June 21st. The company reported $0.97 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.94 by $0.03. CarMax had a return on equity of 6.64% and a net margin of 1.55%. The company had revenue of $7.11 billion for the quarter, compared to the consensus estimate of $7.16 billion. During the same period in the previous year, the business earned $1.16 EPS. The firm’s revenue was down 7.5% compared to the same quarter last year. As a group, analysts predict that CarMax will post 3.02 EPS for the current year.

Insiders Place Their Bets

In other news, SVP Jon G. Daniels sold 1,231 shares of the stock in a transaction dated Wednesday, June 26th. The shares were sold at an average price of $72.46, for a total value of $89,198.26. Following the completion of the sale, the senior vice president now owns 995 shares in the company, valued at $72,097.70. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. In other CarMax news, EVP Diane L. Cafritz sold 15,356 shares of the business’s stock in a transaction on Tuesday, April 23rd. The stock was sold at an average price of $69.53, for a total value of $1,067,702.68. Following the transaction, the executive vice president now owns 6,977 shares of the company’s stock, valued at $485,110.81. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, SVP Jon G. Daniels sold 1,231 shares of the company’s stock in a transaction on Wednesday, June 26th. The shares were sold at an average price of $72.46, for a total value of $89,198.26. Following the completion of the transaction, the senior vice president now owns 995 shares of the company’s stock, valued at approximately $72,097.70. The disclosure for this sale can be found here. Insiders own 1.66% of the company’s stock.

Hedge Funds Weigh In On CarMax

Institutional investors have recently added to or reduced their stakes in the stock. Allworth Financial LP increased its position in CarMax by 153.3% in the fourth quarter. Allworth Financial LP now owns 342 shares of the company’s stock worth $26,000 after buying an additional 207 shares during the last quarter. Creative Financial Designs Inc. ADV grew its stake in shares of CarMax by 1,081.1% during the 4th quarter. Creative Financial Designs Inc. ADV now owns 437 shares of the company’s stock worth $34,000 after acquiring an additional 400 shares during the period. Mendota Financial Group LLC purchased a new stake in CarMax in the 4th quarter worth about $37,000. MCF Advisors LLC bought a new stake in CarMax in the 4th quarter valued at about $46,000. Finally, Lindbrook Capital LLC lifted its holdings in CarMax by 32.8% during the fourth quarter. Lindbrook Capital LLC now owns 628 shares of the company’s stock valued at $48,000 after purchasing an additional 155 shares during the last quarter.

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.