CarMax (NYSE:KMX) Receives “Outperform” Rating from Royal Bank of Canada

Royal Bank of Canada reaffirmed their outperform rating on shares of CarMax (NYSE:KMX) in a report published on Wednesday, Benzinga reports. They currently have a $82.00 price target on the stock.

Other equities analysts have also recently issued research reports about the stock. Evercore ISI lowered their price objective on shares of CarMax from $79.00 to $76.00 and set an “in-line” rating on the stock in a research note on Thursday, October 3rd. Morgan Stanley reaffirmed an “overweight” rating and issued a $80.00 price target on shares of CarMax in a report on Friday, June 21st. JPMorgan Chase & Co. lifted their target price on CarMax from $55.00 to $65.00 and gave the stock an “underweight” rating in a report on Thursday, September 19th. Argus raised CarMax to a “hold” rating in a research report on Tuesday, June 25th. Finally, Oppenheimer reiterated an “outperform” rating and issued a $105.00 price target on shares of CarMax in a research report on Friday, October 4th. Four investment analysts have rated the stock with a sell rating, four have assigned a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat, CarMax currently has an average rating of “Hold” and an average target price of $79.45.

CarMax Price Performance

Shares of NYSE:KMX opened at $74.81 on Wednesday. The stock’s 50 day moving average price is $78.05 and its 200 day moving average price is $75.39. The company has a debt-to-equity ratio of 2.93, a current ratio of 2.25 and a quick ratio of 0.68. The stock has a market cap of $11.68 billion, a price-to-earnings ratio of 29.22, a PEG ratio of 1.46 and a beta of 1.68. CarMax has a 12 month low of $59.66 and a 12 month high of $88.22.

CarMax (NYSE:KMX) last posted its quarterly earnings data on Thursday, September 26th. The company reported $0.85 EPS for the quarter, missing analysts’ consensus estimates of $0.86 by ($0.01). The firm had revenue of $7.01 billion during the quarter, compared to the consensus estimate of $6.83 billion. CarMax had a return on equity of 6.83% and a net margin of 1.61%. The firm’s quarterly revenue was down .9% on a year-over-year basis. During the same period in the prior year, the firm posted $0.75 EPS. Equities research analysts anticipate that CarMax will post 2.97 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Mohammad Shamim sold 25,000 shares of the business’s stock in a transaction on Friday, July 26th. The shares were sold at an average price of $82.26, for a total transaction of $2,056,500.00. Following the transaction, the executive vice president now directly owns 11,738 shares in the company, valued at $965,567.88. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. In other CarMax news, EVP Mohammad Shamim sold 25,000 shares of the business’s stock in a transaction dated Friday, July 26th. The stock was sold at an average price of $82.26, for a total value of $2,056,500.00. Following the transaction, the executive vice president now owns 11,738 shares in the company, valued at $965,567.88. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, COO Charles Joseph Wilson sold 10,021 shares of the firm’s stock in a transaction dated Tuesday, July 23rd. The stock was sold at an average price of $80.02, for a total value of $801,880.42. Following the sale, the chief operating officer now directly owns 15,609 shares of the company’s stock, valued at $1,249,032.18. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.66% of the company’s stock.

Institutional Trading of CarMax

Several large investors have recently added to or reduced their stakes in KMX. Baker Tilly Wealth Management LLC lifted its stake in shares of CarMax by 4.6% in the 2nd quarter. Baker Tilly Wealth Management LLC now owns 2,959 shares of the company’s stock valued at $217,000 after purchasing an additional 130 shares during the last quarter. GAMMA Investing LLC lifted its position in shares of CarMax by 6.5% in the first quarter. GAMMA Investing LLC now owns 2,156 shares of the company’s stock worth $188,000 after buying an additional 131 shares during the last quarter. Peoples Bank KS boosted its stake in shares of CarMax by 10.0% during the 2nd quarter. Peoples Bank KS now owns 1,479 shares of the company’s stock worth $108,000 after acquiring an additional 135 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its holdings in shares of CarMax by 2.3% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 6,220 shares of the company’s stock valued at $456,000 after acquiring an additional 142 shares during the last quarter. Finally, Allegheny Financial Group LTD raised its stake in shares of CarMax by 4.1% in the 2nd quarter. Allegheny Financial Group LTD now owns 3,597 shares of the company’s stock valued at $264,000 after acquiring an additional 143 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.