$4.62 Billion in Sales Expected for CarMax, Inc (NYSE:KMX) This Quarter

Brokerages expect CarMax, Inc (NYSE:KMX) to post $4.62 billion in sales for the current quarter, according to Zacks. Four analysts have provided estimates for CarMax’s earnings, with estimates ranging from $4.54 billion to $4.71 billion. CarMax reported sales of $4.30 billion in the same quarter last year, which indicates a positive year over year growth rate of 7.4%. The business is expected to announce its next quarterly earnings results on Friday, December 20th.

According to Zacks, analysts expect that CarMax will report full year sales of $19.76 billion for the current financial year, with estimates ranging from $19.59 billion to $20.03 billion. For the next financial year, analysts anticipate that the business will report sales of $20.86 billion, with estimates ranging from $20.42 billion to $21.25 billion. Zacks Investment Research’s sales calculations are an average based on a survey of research firms that cover CarMax.

CarMax (NYSE:KMX) last issued its earnings results on Tuesday, September 24th. The company reported $1.40 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.33 by $0.07. The business had revenue of $5.20 billion for the quarter, compared to analysts’ expectations of $5.06 billion. CarMax had a return on equity of 25.50% and a net margin of 4.60%. The business’s revenue for the quarter was up 9.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.24 EPS.



KMX has been the topic of several recent research reports. Morgan Stanley lowered their target price on CarMax from $99.00 to $97.00 and set an “overweight” rating on the stock in a report on Tuesday, September 3rd. Robert W. Baird boosted their target price on CarMax from $80.00 to $99.00 and gave the stock an “outperform” rating in a report on Monday, June 24th. Argus initiated coverage on CarMax in a report on Friday, June 28th. They set a “buy” rating and a $100.00 target price on the stock. Guggenheim boosted their target price on CarMax from $95.00 to $100.00 and gave the stock a “buy” rating in a report on Wednesday, September 25th. Finally, Bank of America boosted their target price on CarMax from $95.00 to $112.00 in a report on Monday, June 24th. Four analysts have rated the stock with a hold rating and nine have given a buy rating to the company. CarMax currently has an average rating of “Buy” and an average target price of $95.42.

Shares of CarMax stock traded up $3.13 on Friday, hitting $90.54. 90,837 shares of the company were exchanged, compared to its average volume of 1,563,929. The stock has a market capitalization of $13.99 billion, a price-to-earnings ratio of 18.91, a price-to-earnings-growth ratio of 1.28 and a beta of 1.17. The company has a 50-day moving average price of $85.07 and a 200 day moving average price of $81.58. CarMax has a 1-year low of $55.24 and a 1-year high of $92.01. The company has a quick ratio of 0.56, a current ratio of 2.42 and a debt-to-equity ratio of 4.11.

In related news, SVP Diane L. Cafritz sold 8,300 shares of the company’s stock in a transaction that occurred on Wednesday, July 24th. The stock was sold at an average price of $88.25, for a total value of $732,475.00. Following the transaction, the senior vice president now directly owns 11,706 shares in the company, valued at $1,033,054.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Mohammad Shamim sold 13,894 shares of the company’s stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $90.39, for a total value of $1,255,878.66. Following the completion of the transaction, the senior vice president now owns 16,718 shares in the company, valued at $1,511,140.02. The disclosure for this sale can be found here. Insiders sold 36,893 shares of company stock worth $3,297,447 over the last quarter. 2.09% of the stock is currently owned by insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. AdvisorNet Financial Inc lifted its holdings in CarMax by 86.9% in the second quarter. AdvisorNet Financial Inc now owns 398 shares of the company’s stock valued at $35,000 after acquiring an additional 185 shares during the last quarter. Hanson & Doremus Investment Management purchased a new stake in CarMax in the second quarter valued at approximately $51,000. FNY Investment Advisers LLC raised its position in CarMax by 6,633.3% in the second quarter. FNY Investment Advisers LLC now owns 588 shares of the company’s stock valued at $51,000 after purchasing an additional 597 shares during the period. HM Payson & Co. purchased a new stake in CarMax in the second quarter valued at approximately $52,000. Finally, Manchester Financial Inc. purchased a new stake in CarMax in the second quarter valued at approximately $65,000.

CarMax Company Profile

CarMax, Inc, through its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates in two segments, CarMax Sales Operations and CarMax Auto Finance. It offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles; vehicles that do not meet its retail standards to licensed dealers through on-site wholesale auctions; and extended protection plans to customers at the time of sale.

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Earnings History and Estimates for CarMax (NYSE:KMX)

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