Wedbush Forecasts CarMax's FY2027 Earnings (NYSE:KMX)

CarMax, Inc. (NYSE:KMX - Free Report) - Wedbush raised their FY2027 earnings per share (EPS) estimates for CarMax in a note issued to investors on Wednesday, April 16th. Wedbush analyst S. Basham now forecasts that the company will post earnings per share of $4.72 for the year, up from their prior forecast of $4.67. Wedbush has a "Outperform" rating and a $90.00 price objective on the stock. The consensus estimate for CarMax's current full-year earnings is $3.23 per share.

KMX has been the subject of a number of other research reports. JPMorgan Chase & Co. dropped their target price on shares of CarMax from $72.00 to $65.00 and set an "underweight" rating for the company in a research report on Thursday, March 27th. Cfra Research upgraded CarMax to a "strong-buy" rating in a research report on Thursday, April 10th. Stephens upgraded CarMax from an "equal weight" rating to an "overweight" rating and boosted their target price for the stock from $86.00 to $90.00 in a research report on Wednesday, March 26th. Robert W. Baird cut their price target on CarMax from $95.00 to $90.00 and set an "outperform" rating for the company in a report on Friday, April 11th. Finally, Royal Bank of Canada reaffirmed an "underperform" rating on shares of CarMax in a report on Monday. Four investment analysts have rated the stock with a sell rating, three have assigned a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, CarMax presently has a consensus rating of "Hold" and a consensus target price of $87.73.

CarMax Price Performance

KMX stock traded up $1.67 during midday trading on Friday, hitting $66.72. The company's stock had a trading volume of 1,457,557 shares, compared to its average volume of 2,091,975. The firm has a market capitalization of $10.19 billion, a price-to-earnings ratio of 22.62, a price-to-earnings-growth ratio of 1.67 and a beta of 1.58. The company has a quick ratio of 0.55, a current ratio of 2.30 and a debt-to-equity ratio of 2.92. CarMax has a 12 month low of $61.67 and a 12 month high of $91.25. The company has a 50 day moving average of $75.69 and a two-hundred day moving average of $78.62.

Insiders Place Their Bets

In other news, SVP Tyler Tuite sold 4,869 shares of the stock in a transaction on Tuesday, January 28th. The stock was sold at an average price of $84.58, for a total transaction of $411,820.02. Following the completion of the sale, the senior vice president now owns 227 shares in the company, valued at approximately $19,199.66. This represents a 95.55 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 1.66% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Norges Bank purchased a new stake in shares of CarMax during the fourth quarter worth about $423,187,000. Kovitz Investment Group Partners LLC boosted its stake in CarMax by 348.0% in the 4th quarter. Kovitz Investment Group Partners LLC now owns 6,595,067 shares of the company's stock worth $539,213,000 after purchasing an additional 5,122,850 shares in the last quarter. AQR Capital Management LLC grew its position in CarMax by 82.9% during the 4th quarter. AQR Capital Management LLC now owns 1,400,012 shares of the company's stock worth $114,465,000 after purchasing an additional 634,390 shares during the last quarter. GAMMA Investing LLC increased its stake in CarMax by 8,675.6% during the 1st quarter. GAMMA Investing LLC now owns 515,830 shares of the company's stock valued at $40,193,000 after purchasing an additional 509,952 shares in the last quarter. Finally, ThornTree Capital Partners LP purchased a new position in shares of CarMax in the fourth quarter worth $35,612,000.

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.