CarMax’s (KMX) “Outperform” Rating Reaffirmed at Wedbush

Wedbush reiterated their outperform rating on shares of CarMax (NYSE:KMX) in a research report released on Tuesday, Benzinga reports. They currently have a $90.00 price target on the stock.

Several other research firms also recently weighed in on KMX. Needham & Company LLC dropped their price target on CarMax from $99.00 to $91.00 and set a buy rating for the company in a research note on Friday, April 12th. Oppenheimer reaffirmed an outperform rating and set a $105.00 target price on shares of CarMax in a research note on Tuesday, April 9th. Evercore ISI decreased their price target on shares of CarMax from $85.00 to $74.00 and set an in-line rating on the stock in a research note on Friday, April 12th. Bank of America increased their price objective on shares of CarMax from $44.00 to $50.00 and gave the company an underperform rating in a report on Thursday, February 29th. Finally, Robert W. Baird reduced their target price on CarMax from $88.00 to $84.00 and set an outperform rating on the stock in a report on Friday, April 12th. Three analysts have rated the stock with a sell rating, five have given a hold rating and five have given a buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of Hold and an average price target of $77.42.

CarMax Price Performance

NYSE KMX opened at $68.34 on Tuesday. The stock has a market cap of $10.76 billion, a price-to-earnings ratio of 22.55, a PEG ratio of 1.08 and a beta of 1.61. CarMax has a 12 month low of $59.66 and a 12 month high of $88.22. The company’s 50 day moving average is $78.42 and its two-hundred day moving average is $72.03. The company has a current ratio of 2.26, a quick ratio of 0.67 and a debt-to-equity ratio of 2.96.

CarMax (NYSE:KMX) last announced its quarterly earnings data on Thursday, April 11th. The company reported $0.32 EPS for the quarter, missing the consensus estimate of $0.45 by ($0.13). CarMax had a net margin of 1.81% and a return on equity of 7.26%. The firm had revenue of $5.63 billion for the quarter, compared to the consensus estimate of $5.76 billion. During the same quarter in the previous year, the business earned $0.44 earnings per share. The firm’s revenue for the quarter was down 1.7% on a year-over-year basis. As a group, research analysts anticipate that CarMax will post 3.43 earnings per share for the current year.

Insiders Place Their Bets

In other news, EVP Diane L. Cafritz sold 2,730 shares of the firm’s stock in a transaction that occurred on Tuesday, January 23rd. The stock was sold at an average price of $70.54, for a total value of $192,574.20. Following the completion of the sale, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at approximately $357,849.42. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. In other CarMax news, EVP Diane L. Cafritz sold 2,730 shares of the business’s stock in a transaction on Tuesday, January 23rd. The shares were sold at an average price of $70.54, for a total transaction of $192,574.20. Following the transaction, the executive vice president now owns 5,073 shares in the company, valued at $357,849.42. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Diane L. Cafritz sold 22,000 shares of the firm’s stock in a transaction dated Friday, January 26th. The stock was sold at an average price of $70.08, for a total transaction of $1,541,760.00. Following the completion of the sale, the executive vice president now owns 5,073 shares of the company’s stock, valued at approximately $355,515.84. The disclosure for this sale can be found here. Insiders have sold 38,929 shares of company stock valued at $2,740,901 over the last ninety days. 1.66% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. ProVise Management Group LLC grew its position in CarMax by 31.5% in the 3rd quarter. ProVise Management Group LLC now owns 58,701 shares of the company’s stock valued at $4,152,000 after acquiring an additional 14,052 shares during the last quarter. Montag A & Associates Inc. increased its stake in CarMax by 61.6% in the 3rd quarter. Montag A & Associates Inc. now owns 49,985 shares of the company’s stock worth $3,535,000 after buying an additional 19,056 shares during the period. Raymond James Financial Services Advisors Inc. lifted its holdings in CarMax by 8.7% during the 4th quarter. Raymond James Financial Services Advisors Inc. now owns 235,544 shares of the company’s stock valued at $18,076,000 after buying an additional 18,914 shares in the last quarter. Corient Private Wealth LLC grew its stake in CarMax by 6.9% in the 3rd quarter. Corient Private Wealth LLC now owns 934,259 shares of the company’s stock worth $66,080,000 after acquiring an additional 60,604 shares in the last quarter. Finally, Invesco Ltd. grew its stake in CarMax by 3.1% in the 3rd quarter. Invesco Ltd. now owns 2,938,541 shares of the company’s stock worth $207,843,000 after acquiring an additional 88,488 shares in the last quarter.

About CarMax

CarMax, Inc, together with its subsidiaries, operates as a retailer of used vehicles in the United States. It operates in two segments, CarMax Sales Operations and CarMax Auto Finance. The company offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; and extended protection plans to customers at the time of sale, as well as sells vehicles that are approximately 10 years old and has more than 100,000 miles through wholesale auctions.