CarMax Inc (NYSE:KMX) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Friday.

According to Zacks, “CarMax focuses on the used-car market and is the one of the strongest operators, which places the company in a better position in the market, in comparison to its peers. The company is following store expansion initiative, which will further help the company to better position itself in the market. Moreover, frequent share repurchases will boost shareholders’ value. Its shares have also outperformed against the industry it belongs to, in the last six months. However, unstable used car prices in the market and high capital expenses are few concerns CarMax has been facing, which can negatively impact its financials.”

A number of other research analysts have also recently commented on KMX. UBS AG cut CarMax from a “positive” rating to a “neutral” rating in a report on Thursday, June 22nd. Wedbush reiterated a “hold” rating on shares of CarMax in a report on Saturday, April 8th. ValuEngine cut CarMax from a “buy” rating to a “hold” rating in a report on Saturday, July 22nd. Credit Suisse Group set a $75.00 price objective on CarMax and gave the company a “buy” rating in a report on Monday, April 10th. Finally, Royal Bank Of Canada upgraded CarMax from a “sector perform” rating to an “outperform” rating and upped their price objective for the company from $63.00 to $69.00 in a report on Thursday, June 22nd. One research analyst has rated the stock with a sell rating, seven have given a hold rating, eight have given a buy rating and one has assigned a strong buy rating to the company. CarMax has an average rating of “Buy” and a consensus price target of $69.00.

Shares of CarMax (KMX) traded up 0.27% during midday trading on Friday, hitting $65.72. The stock had a trading volume of 1,077,651 shares. The firm’s 50 day moving average price is $63.73 and its 200 day moving average price is $62.81. The firm has a market cap of $12.04 billion, a price-to-earnings ratio of 18.87 and a beta of 1.34. CarMax has a 52-week low of $47.50 and a 52-week high of $69.11.

CarMax (NYSE:KMX) last released its quarterly earnings data on Wednesday, June 21st. The company reported $1.13 EPS for the quarter, beating analysts’ consensus estimates of $0.98 by $0.15. CarMax had a return on equity of 21.72% and a net margin of 4.07%. The firm had revenue of $4.54 billion for the quarter, compared to analysts’ expectations of $4.46 billion. During the same period in the prior year, the firm posted $0.90 earnings per share. The firm’s quarterly revenue was up 10.1% on a year-over-year basis. On average, equities research analysts expect that CarMax will post $3.70 earnings per share for the current year.

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In other CarMax news, SVP Mohammad Shamim sold 13,938 shares of the business’s stock in a transaction that occurred on Friday, July 28th. The stock was sold at an average price of $66.08, for a total value of $921,023.04. Following the sale, the senior vice president now owns 9,218 shares of the company’s stock, valued at $609,125.44. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Thomas J. Folliard sold 50,000 shares of the company’s stock in a transaction on Friday, June 23rd. The stock was sold at an average price of $61.41, for a total value of $3,070,500.00. Following the sale, the director now directly owns 509,166 shares in the company, valued at approximately $31,267,884.06. The disclosure for this sale can be found here. In the last three months, insiders sold 188,515 shares of company stock worth $12,085,019. 1.70% of the stock is owned by corporate insiders.

Several hedge funds have recently bought and sold shares of KMX. Bronfman E.L. Rothschild L.P. raised its stake in CarMax by 2.4% in the first quarter. Bronfman E.L. Rothschild L.P. now owns 2,095 shares of the company’s stock worth $124,000 after buying an additional 49 shares in the last quarter. Flinton Capital Management LLC raised its stake in CarMax by 1.2% in the first quarter. Flinton Capital Management LLC now owns 5,232 shares of the company’s stock worth $310,000 after buying an additional 64 shares in the last quarter. Meadow Creek Investment Management LLC raised its stake in CarMax by 1.2% in the first quarter. Meadow Creek Investment Management LLC now owns 7,194 shares of the company’s stock worth $426,000 after buying an additional 88 shares in the last quarter. Osborne Partners Capital Management LLC raised its stake in CarMax by 0.5% in the second quarter. Osborne Partners Capital Management LLC now owns 18,565 shares of the company’s stock worth $1,171,000 after buying an additional 90 shares in the last quarter. Finally, Argent Trust Co raised its stake in CarMax by 1.7% in the first quarter. Argent Trust Co now owns 5,485 shares of the company’s stock worth $325,000 after buying an additional 91 shares in the last quarter.

CarMax Company Profile

CarMax, Inc (CarMax) is a holding company. The Company is a retailer of used vehicles. The Company operates through two segments: CarMax Sales Operations and CarMax Auto Finance (CAF). The Company’s CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations, excluding financing provided by CAF.

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Analyst Recommendations for CarMax (NYSE:KMX)

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