CarMax (NYSE:KMX) Upgraded to “Hold” at StockNews.com

StockNews.com upgraded shares of CarMax (NYSE:KMX) from a sell rating to a hold rating in a research note published on Friday.

A number of other equities analysts also recently commented on KMX. BNP Paribas upgraded CarMax to a “strong sell” rating in a research note on Friday, September 27th. Stephens began coverage on CarMax in a research report on Thursday, December 5th. They set an “equal weight” rating and a $86.00 price objective for the company. Mizuho increased their target price on CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a research report on Friday. Wedbush reissued an “outperform” rating and set a $95.00 price target on shares of CarMax in a report on Wednesday, October 16th. Finally, Truist Financial lifted their price objective on shares of CarMax from $72.00 to $88.00 and gave the company a “hold” rating in a research report on Friday. Three analysts have rated the stock with a sell rating, six have assigned a hold rating and six have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, CarMax currently has an average rating of “Hold” and an average target price of $85.17.

CarMax Stock Performance

KMX stock opened at $84.27 on Friday. The stock’s 50 day simple moving average is $78.77 and its 200 day simple moving average is $77.55. CarMax has a 12-month low of $65.83 and a 12-month high of $91.25. The firm has a market cap of $13.06 billion, a P/E ratio of 31.68, a P/E/G ratio of 1.76 and a beta of 1.71. The company has a current ratio of 2.25, a quick ratio of 0.68 and a debt-to-equity ratio of 2.93.

CarMax (NYSE:KMX) last released its earnings results on Thursday, December 19th. The company reported $0.81 earnings per share for the quarter, beating the consensus estimate of $0.62 by $0.19. CarMax had a net margin of 1.61% and a return on equity of 6.83%. The firm had revenue of $6.22 billion during the quarter, compared to analyst estimates of $6.05 billion. During the same quarter in the previous year, the firm earned $0.52 earnings per share. The firm’s revenue for the quarter was up 1.2% compared to the same quarter last year. As a group, equities research analysts predict that CarMax will post 3.01 EPS for the current year.

Hedge Funds Weigh In On CarMax

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Quarry LP lifted its holdings in shares of CarMax by 78.6% in the second quarter. Quarry LP now owns 418 shares of the company’s stock valued at $31,000 after buying an additional 184 shares during the period. Catalyst Capital Advisors LLC acquired a new stake in CarMax in the 3rd quarter valued at about $32,000. True Wealth Design LLC boosted its position in shares of CarMax by 4,844.4% during the 3rd quarter. True Wealth Design LLC now owns 445 shares of the company’s stock valued at $34,000 after purchasing an additional 436 shares in the last quarter. Blue Trust Inc. grew its stake in shares of CarMax by 134.1% in the 2nd quarter. Blue Trust Inc. now owns 501 shares of the company’s stock worth $37,000 after purchasing an additional 287 shares during the last quarter. Finally, Studio Investment Management LLC raised its holdings in shares of CarMax by 176.7% in the 2nd quarter. Studio Investment Management LLC now owns 523 shares of the company’s stock worth $38,000 after purchasing an additional 334 shares in the last quarter.

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.