CarMax, Inc. (NYSE:KMX) Receives Consensus Rating of “Hold” from Brokerages

Shares of CarMax, Inc. (NYSE:KMX) have received an average recommendation of “Hold” from the fourteen brokerages that are covering the company, Marketbeat.com reports. Three analysts have rated the stock with a sell rating, five have assigned a hold rating and six have given a buy rating to the company. The average 12-month price target among brokers that have issued ratings on the stock in the last year is $85.17.

A number of brokerages have recently commented on KMX. Wedbush reaffirmed an “outperform” rating and set a $95.00 price target on shares of CarMax in a research report on Wednesday, October 16th. Stephens started coverage on shares of CarMax in a research report on Thursday, December 5th. They set an “equal weight” rating and a $86.00 target price for the company. Truist Financial lifted their target price on shares of CarMax from $72.00 to $88.00 and gave the stock a “hold” rating in a research note on Friday, December 20th. Mizuho upped their price target on shares of CarMax from $72.00 to $80.00 and gave the company a “neutral” rating in a research note on Friday, December 20th. Finally, Evercore ISI lifted their price objective on shares of CarMax from $83.00 to $85.00 and gave the company a “market perform” rating in a research note on Thursday, December 19th.

Insiders Place Their Bets

In related news, SVP Jon G. Daniels sold 30,245 shares of the company’s stock in a transaction on Tuesday, December 24th. The shares were sold at an average price of $84.34, for a total value of $2,550,863.30. Following the completion of the transaction, the senior vice president now directly owns 995 shares in the company, valued at approximately $83,918.30. The trade was a 96.81 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Jill A. Livesay sold 13,009 shares of the firm’s stock in a transaction dated Wednesday, January 15th. The shares were sold at an average price of $81.00, for a total value of $1,053,729.00. Following the sale, the vice president now owns 9,448 shares in the company, valued at $765,288. The trade was a 57.93 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 259,598 shares of company stock worth $21,503,625 in the last ninety days. 1.66% of the stock is currently owned by insiders.

Hedge Funds Weigh In On CarMax

Institutional investors have recently modified their holdings of the company. First Hawaiian Bank bought a new position in CarMax during the fourth quarter valued at approximately $273,000. World Investment Advisors LLC bought a new position in shares of CarMax during the 3rd quarter valued at $6,942,000. Sumitomo Mitsui Trust Group Inc. raised its position in CarMax by 3.2% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 351,361 shares of the company’s stock worth $27,188,000 after purchasing an additional 10,898 shares during the period. HF Advisory Group LLC lifted its stake in CarMax by 12.6% in the fourth quarter. HF Advisory Group LLC now owns 28,793 shares of the company’s stock worth $2,354,000 after purchasing an additional 3,222 shares during the last quarter. Finally, Merit Financial Group LLC purchased a new stake in CarMax during the fourth quarter valued at about $600,000.

CarMax Stock Performance

Shares of KMX stock opened at $85.75 on Thursday. The company has a debt-to-equity ratio of 2.92, a quick ratio of 0.55 and a current ratio of 2.30. The firm has a market cap of $13.19 billion, a price-to-earnings ratio of 29.07, a P/E/G ratio of 1.49 and a beta of 1.71. CarMax has a 52 week low of $65.83 and a 52 week high of $91.25. The firm’s 50-day simple moving average is $82.88 and its two-hundred day simple moving average is $79.50.

CarMax (NYSE:KMX) last posted its quarterly earnings results on Thursday, December 19th. The company reported $0.81 EPS for the quarter, topping analysts’ consensus estimates of $0.62 by $0.19. CarMax had a net margin of 1.77% and a return on equity of 7.49%. The company had revenue of $6.22 billion for the quarter, compared to analysts’ expectations of $6.05 billion. During the same quarter in the previous year, the firm posted $0.52 EPS. CarMax’s revenue was up 1.2% on a year-over-year basis. As a group, equities analysts forecast that CarMax will post 3.19 earnings per share for the current year.

CarMax Company Profile

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.