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KMX Overview

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$
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ET
$
0.000
0.000(0.000%)
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0.000(0.000%)Aft-market
ET
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Intellectia

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High
40.430
Open
39.990
VWAP
40.10
Vol
2.31M
Mkt Cap
5.72B
Low
39.520
Amount
92.83M
EV/EBITDA(TTM)
56.92
Total Shares
141.82M
EV
23.81B
EV/OCF(TTM)
13.35
P/S(TTM)
0.23
CarMax, Inc. is a retailer of used autos. The Company operates through two segments: CarMax Sales Operations and CarMax Auto Finance (CAF). The CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations. The CarMax Sales Operations segment sells used vehicles, purchases used vehicles from customers and other sources, sells related products and services, and arranges financing options for customers. The CAF segment consists solely of its own finance operation that provides financing for customers buying retail vehicles from the Company. The CAF segment also services all auto loans, it originates and is responsible for providing billing statements, collecting payments, maintaining contact with delinquent customers, and arranging for the repossession of vehicles securing defaulted loans. It provides customers with a range of other related products and services, including extended protection plan (EPP) products and vehicle repair services.
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Events Timeline

(ET)
2026-04-14
16:20:00
Major Averages Rise on Renewed U.S.-Iran Diplomacy Optimism
select
2026-04-14
12:10:00
CarMax Shares Drop 14.1% to $42.18
select
2026-04-14
12:00:00
Major U.S. Averages Broadly Higher, Nasdaq Up 1.66%
select

News

CNBC
7.5
05-09CNBC
Analysis of Current Auto Loan Market Trends
  • Stable Consumer Burden: Despite rising car prices and interest rates, the percentage of income consumers spend on automotive expenses has remained around 10% since 2019, indicating a stable burden on consumers and reflecting market resilience.
  • Trend of Extended Loan Terms: An increasing number of consumers are opting for longer loan terms to lower monthly payments, with data showing that 90.2% of new vehicle loans involving trade-ins with negative equity have terms of at least 72 months, and 43% extend to 84 months, potentially leading to higher debt risks for consumers when trading in vehicles.
  • Escalating Negative Equity Issues: As of April 2023, approximately 26% of used vehicle purchases involved negative equity, with an average negative equity of $5,105, a 35% increase from 2019, indicating greater financial pressure on consumers when trading in vehicles.
  • Market Price Comparison: According to Cox data, the average listed price of a used vehicle was $25,390 in March, compared to an average new vehicle price of $48,667, highlighting the relative stability of the used car market and reflecting consumers' economic considerations when choosing loans.
Fool
8.5
05-07Fool
Carvana's First Forward Stock Split Sparks Investor Interest
  • Significant Price Surge: Carvana's stock skyrocketed from an all-time low of $3.72 in December 2022 to $379, reflecting a staggering 10,091% increase, showcasing the success of its online used-car sales model and attracting investor interest.
  • First Forward Split: Announced on March 13, Carvana's 5-for-1 forward stock split aims to enhance stock accessibility for all team members while lowering the purchase threshold for retail investors, with an expected post-split price around $76.
  • Remarkable Sales Growth: Carvana achieved a 49% sales growth last year, contrasting sharply with its main competitor CarMax's low single-digit growth, indicating Carvana's competitive edge and growth potential in the market.
  • Shift to Profitability: With nearly $1.9 billion in net income last year, bolstered by tax benefits, Carvana's high valuation premium raises caution among investors, as companies with inflated valuations are often hit hardest during market downturns.
Yahoo Finance
6.5
05-03Yahoo Finance
Analysis of Companies with Varied Cash Flow Performance
  • CarMax Sales Weakness: CarMax (KMX) has experienced disappointing same-store sales over the past two years, indicating poor customer response to its product selection and store experience, resulting in a gross margin of only 6%, with a current stock price of $39.15 and a forward P/E of 16.2, suggesting caution for investors.
  • Matson's Lackluster Growth: Matson (MATX) has shown only 4% annual growth over the past two years, below the industry average, and a 12.9 percentage point decline in free cash flow margin over the last five years indicates increased investments to maintain market position, with a current stock price of $174.50 and a forward P/E of 12.9, reflecting declining returns on capital.
  • Talos Energy's Strong Performance: Talos Energy (TALO) has achieved an exceptional 20.8% annual revenue growth over the past eight years, with a gross margin of 72.3% and a free cash flow margin of 24.4%, allowing for consistent reinvestment or capital return, currently priced at $15.93 with a forward P/E of 493.2, highlighting its market potential.
  • Characteristics of Market Winners: StockStory's analysis indicates that successful stocks often share a common trait of rapidly growing revenues, as seen with companies like Meta, CrowdStrike, and Broadcom, which have all returned over 300%, showcasing strong market performance and investment appeal.
PRnewswire
7.0
05-01PRnewswire
CarMax Under Investigation for Securities Fraud Claims
  • Investigation Launched: Pomerantz LLP is investigating whether CarMax and its executives have engaged in securities fraud or other unlawful business practices, indicating growing investor concerns over corporate governance.
  • Financial Performance: Although CarMax's fourth-quarter results for fiscal year 2026 exceeded expectations for same-store sales and revenue, management's announcement to lower used car prices and target customers with lower credit scores reveals a strategic shift in response to the auto industry's affordability crisis.
  • Stock Price Decline: Following this news, CarMax's stock price fell by $7.42, or 15.12%, closing at $41.66 per share on April 14, 2026, reflecting market apprehension regarding the company's future profitability.
  • Legal Context: Pomerantz LLP, a prominent securities class action law firm with over 85 years of experience, focuses on advocating for victims of securities fraud and corporate misconduct, highlighting the potential legal challenges CarMax may face.
Globenewswire
7.0
04-28Globenewswire
CarMax Under Investigation for Securities Fraud Claims
  • Investigation Launched: Pomerantz LLP is investigating whether CarMax and its executives have engaged in securities fraud or other unlawful business practices, aiming to protect investor rights, which could impact the company's reputation and shareholder confidence.
  • Earnings Report: Although CarMax's fourth-quarter results for fiscal year 2026 exceeded expectations for same-store sales and revenue, management indicated during the earnings call that they would lower used car prices and increase acceptance of customers with lower credit scores to address the affordability crisis in the auto industry.
  • Stock Price Decline: Following this news, CarMax's stock price fell by $7.42, or 15.12%, closing at $41.66 per share, reflecting market concerns regarding the company's future strategy.
  • Legal Implications: Pomerantz LLP, a prominent firm in securities class action litigation with a long history, may impose significant legal and financial repercussions on CarMax, prompting investors to closely monitor further developments.
Fool
9.5
04-18Fool
CarMax Shares Drop 37% Following Earnings Report Amid Transition
  • Disappointing Earnings: CarMax reported net sales of approximately $5.95 billion for fiscal Q4 2026, reflecting a 1% year-over-year decline, although this was an improvement from the 7% drop in Q3, indicating some recovery in sales trends despite overall poor performance.
  • Sales Volume Improvement: Retail used unit sales fell 0.8% year-over-year in Q4, a significant improvement from the 8% decline in Q3, as management implemented price cuts and increased marketing spend to drive sales, demonstrating the company's efforts to seek recovery in challenging conditions.
  • Profitability Under Pressure: Despite the sales volume improvement, CarMax's gross profit margin contracted, with total gross profit falling 9% year-over-year to $605 million, and a net loss of $121 million was reported, heavily impacted by a $141 million non-cash goodwill impairment charge, highlighting severe challenges to the company's profitability.
  • Paused Buyback Program: CarMax repurchased only about $50 million of its stock in Q4 before halting the buyback program, with management citing leverage slightly above the targeted range, reflecting a cautious capital allocation approach during a leadership transition period.
Wall Street analysts forecast KMX stock price to rise
13 Analyst Rating
Wall Street analysts forecast KMX stock price to rise
0 Buy
10 Hold
3 Sell
Hold
Current: 0.000
sliders
Low
24.00
Averages
33.60
High
37.00
Current: 0.000
sliders
Low
24.00
Averages
33.60
High
37.00
Barclays
Underweight
downgrade
$28 -> $26
AI Analysis
2026-04-16
Reason
Barclays
Price Target
$28 -> $26
AI Analysis
2026-04-16
downgrade
Underweight
Reason
Barclays lowered the firm's price target on CarMax to $26 from $28 and keeps an Underweight rating on the shares. The company's Q4 report shows "some early signs of progress," the analyst tells investors in a research note.
BofA
NULL
to
Underperform
initiated
$40
2026-04-15
Reason
BofA
Price Target
$40
2026-04-15
initiated
NULL
to
Underperform
Reason
BofA resumed coverage of CarMax with an Underperform rating and $40 price target after the company reported Q4 sales of $5.96B, down 1% year-over-year but above the Street at $5.74B, and EPS below expectations as unit declines moderate from lower prices. While "constructive" on CarMax's overall long-term strategy, the firm cites continued comp unit declines and market share loss for its Underperform rating.
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Valuation Metrics

The current forward P/E ratio for Carmax Inc (KMX.N) is 15.63, compared to its 5-year average forward P/E of 21.05. For a more detailed relative valuation and DCF analysis to assess Carmax Inc's fair value, Click here.

Forward PE

The forward P/E ratio is a valuation metric that divides a company's current stock price by its estimated future earnings per share over the next 12 months.
StronglyUndervaluedUndervaluedFairOvervaluedStronglyOvervalueddotted line Image
5Y Average PE
21.05
Current PE
15.63
Overvalued PE
26.00
Undervalued PE
16.11

Forward EV/EBITDA

The forward EV/EBITDA ratio is a valuation metric that divides a company's enterprise value (EV) by its estimated future earnings before interest, taxes, depreciation, and amortization (EBITDA) over the next 12 months.
StronglyUndervaluedUndervaluedFairOvervaluedStronglyOvervalueddotted line Image
5Y Average EV/EBITDA
27.06
Current EV/EBITDA
10.04
Overvalued EV/EBITDA
32.06
Undervalued EV/EBITDA
22.07

Forward PS

The forward P/S ratio is a valuation metric that divides a company's current stock price by its estimated future sales (or revenue) per share over the next 12 months.
StronglyUndervaluedUndervaluedFairOvervaluedStronglyOvervalueddotted line Image
5Y Average PS
0.45
Current PS
0.21
Overvalued PS
0.59
Undervalued PS
0.31

Financials

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Whales Holding KMX

A
Apollo Global Management, Inc.
Holding
KMX
+10.92%
3M Return
S
SRS Investment Management, LLC
Holding
KMX
+10.64%
3M Return
K
Kovitz Investment Group Partners, LLC
Holding
KMX
+9.07%
3M Return
A
Arlington Value Capital, LLC
Holding
KMX
+3.34%
3M Return
M
Mane Global Capital Management LP
Holding
KMX
+3.24%
3M Return
F
First Pacific Advisors, LP
Holding
KMX
+3.07%
3M Return

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Frequently Asked Questions

What is Carmax Inc (KMX) stock price today?

The current price of KMX is 40.34 USD — it has increased 1.08

What is Carmax Inc (KMX)'s business?

CarMax, Inc. is a retailer of used autos. The Company operates through two segments: CarMax Sales Operations and CarMax Auto Finance (CAF). The CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations. The CarMax Sales Operations segment sells used vehicles, purchases used vehicles from customers and other sources, sells related products and services, and arranges financing options for customers. The CAF segment consists solely of its own finance operation that provides financing for customers buying retail vehicles from the Company. The CAF segment also services all auto loans, it originates and is responsible for providing billing statements, collecting payments, maintaining contact with delinquent customers, and arranging for the repossession of vehicles securing defaulted loans. It provides customers with a range of other related products and services, including extended protection plan (EPP) products and vehicle repair services.

What is the price predicton of KMX Stock?

Wall Street analysts forecast KMX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KMX is33.60 USD with a low forecast of 24.00 USD and a high forecast of 37.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

What is Carmax Inc (KMX)'s revenue for the last quarter?

Carmax Inc revenue for the last quarter amounts to 5.95B USD, decreased -0.95

What is Carmax Inc (KMX)'s earnings per share (EPS) for the last quarter?

Carmax Inc. EPS for the last quarter amounts to -0.85 USD, decreased -246.55

How many employees does Carmax Inc (KMX). have?

Carmax Inc (KMX) has 27796 emplpoyees as of May 10 2026.

What is Carmax Inc (KMX) market cap?

Today KMX has the market capitalization of 5.72B USD.