Brokers Issue Forecasts for CarMax, Inc.’s Q3 2025 Earnings (NYSE:KMX)

CarMax, Inc. (NYSE:KMX) – Wedbush raised their Q3 2025 earnings estimates for CarMax in a research note issued on Monday, June 24th. Wedbush analyst S. Basham now anticipates that the company will post earnings per share of $0.71 for the quarter, up from their prior forecast of $0.70. Wedbush has a “Outperform” rating and a $90.00 price target on the stock. The consensus estimate for CarMax’s current full-year earnings is $3.06 per share. Wedbush also issued estimates for CarMax’s FY2025 earnings at $3.35 EPS, Q1 2026 earnings at $1.29 EPS, Q2 2026 earnings at $1.09 EPS, Q3 2026 earnings at $0.80 EPS, Q4 2026 earnings at $0.62 EPS and FY2027 earnings at $4.51 EPS.

KMX has been the subject of several other reports. Bank of America lifted their target price on shares of CarMax from $44.00 to $50.00 and gave the stock an “underperform” rating in a research note on Thursday, February 29th. StockNews.com upgraded shares of CarMax to a “sell” rating in a report on Monday, April 22nd. JPMorgan Chase & Co. decreased their price target on shares of CarMax from $60.00 to $55.00 and set an “underweight” rating on the stock in a report on Monday, April 15th. Needham & Company LLC decreased their price target on shares of CarMax from $91.00 to $87.00 and set a “buy” rating on the stock in a report on Monday. Finally, Morgan Stanley reiterated an “overweight” rating and issued a $80.00 price target on shares of CarMax in a report on Friday, June 21st. Three research analysts have rated the stock with a sell rating, four have given a hold rating and six have issued a buy rating to the company. According to MarketBeat.com, CarMax presently has a consensus rating of “Hold” and an average price target of $75.50.

CarMax Trading Up 1.3 %

Shares of KMX opened at $72.73 on Tuesday. The company has a debt-to-equity ratio of 2.95, a current ratio of 2.50 and a quick ratio of 0.60. The firm has a 50 day simple moving average of $70.45 and a 200-day simple moving average of $73.95. CarMax has a 1-year low of $59.66 and a 1-year high of $88.22. The stock has a market cap of $11.45 billion, a price-to-earnings ratio of 28.41, a price-to-earnings-growth ratio of 1.41 and a beta of 1.69.

CarMax (NYSE:KMX) last posted its quarterly earnings results 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 net margin of 1.55% and a return on equity of 6.64%. The company had revenue of $7.11 billion during the quarter, compared to the consensus estimate of $7.16 billion. During the same period last year, the firm earned $1.16 EPS. The company’s revenue for the quarter was down 7.5% on a year-over-year basis.

Insider Buying and Selling at CarMax

In other CarMax news, EVP Diane L. Cafritz sold 15,356 shares of the company’s stock in a transaction dated Tuesday, April 23rd. The shares were sold at an average price of $69.53, for a total value of $1,067,702.68. Following the completion of the transaction, the executive vice president now directly owns 6,977 shares of the company’s stock, valued at approximately $485,110.81. The transaction was disclosed in a filing with the SEC, which is accessible through this link. 1.66% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On CarMax

A number of institutional investors have recently modified their holdings of the stock. Allworth Financial LP raised its stake in CarMax by 153.3% during the fourth quarter. Allworth Financial LP now owns 342 shares of the company’s stock worth $26,000 after acquiring an additional 207 shares during the period. Creative Financial Designs Inc. ADV boosted its holdings in shares of CarMax by 1,081.1% in the fourth quarter. Creative Financial Designs Inc. ADV now owns 437 shares of the company’s stock valued at $34,000 after acquiring an additional 400 shares in the last quarter. Mendota Financial Group LLC bought a new stake in CarMax during the fourth quarter worth approximately $37,000. MCF Advisors LLC bought a new stake in CarMax during the fourth quarter worth approximately $46,000. Finally, Lindbrook Capital LLC boosted its holdings in CarMax by 32.8% during the fourth quarter. Lindbrook Capital LLC now owns 628 shares of the company’s stock worth $48,000 after buying an additional 155 shares in 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.