CarMax, Inc. (NYSE:KMX) Stock Rated “Reduce” by Sell-Side Analysts

CarMax, Inc. (NYSE:KMX) has earned a consensus recommendation of “Reduce” from the eighteen research firms that are currently covering the firm, MarketBeat Ratings reports. Three investment analysts have rated the stock with a sell recommendation, thirteen have given a hold recommendation and two have issued a buy recommendation on the company. The average 12 month price target among brokers that have covered the stock in the last year is $53.15.

Several research analysts recently weighed in on KMX shares. Zacks Research downgraded CarMax from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, September 16th. Stephens increased their price target on CarMax from $66.00 to $74.00 and gave the company an “overweight” rating in a research note on Friday. Bank of America raised their price target on CarMax from $40.00 to $45.00 and gave the stock an “underperform” rating in a report on Wednesday, June 17th. UBS Group set a $60.00 price target on CarMax in a research note on Wednesday, July 29th. Finally, Truist Financial upped their price objective on shares of CarMax from $47.00 to $50.00 and gave the company a “hold” rating in a report on Thursday, June 18th.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. State Street Corp lifted its position in CarMax by 5.6% during the second quarter. State Street Corp now owns 5,156,276 shares of the company’s stock valued at $272,715,000 after purchasing an additional 271,216 shares during the period. Jupiter Topco LLC acquired a new stake in CarMax during the 2nd quarter worth about $245,676,000. Primecap Management Co. CA acquired a new stake in CarMax during the 2nd quarter worth about $230,548,000. Janus Henderson Group PLC raised its stake in shares of CarMax by 1.1% during the 1st quarter. Janus Henderson Group PLC now owns 4,580,807 shares of the company’s stock valued at $190,471,000 after buying an additional 49,987 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its stake in shares of CarMax by 7.3% during the 1st quarter. Dimensional Fund Advisors LP now owns 4,275,663 shares of the company’s stock valued at $177,767,000 after buying an additional 289,768 shares during the last quarter.

CarMax Stock Performance

Shares of KMX stock opened at $56.31 on Tuesday. CarMax has a 12-month low of $30.26 and a 12-month high of $65.28. The business’s fifty day simple moving average is $59.52 and its 200-day simple moving average is $50.08. The company has a current ratio of 2.70, a quick ratio of 0.82 and a debt-to-equity ratio of 2.87. The company has a market cap of $7.99 billion, a PE ratio of 36.80, a PEG ratio of 2.62 and a beta of 1.17.

CarMax Company Profile

CarMax, Inc is a specialty retailer of used vehicles and one of the largest automotive retailers in the United States. The company sells a broad selection of used cars, trucks and sport utility vehicles through its retail locations and online platform. CarMax also purchases vehicles from consumers and other sources, providing customers with a streamlined alternative to traditional private-party sales.

In addition to retail sales, CarMax operates wholesale vehicle auctions for vehicles that do not meet its retail standards or business requirements.