CarMax Inc (NYSE:KMX) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a research note issued to investors on Wednesday. The brokerage presently has a $74.00 target price on the stock. Zacks Investment Research‘s target price would indicate a potential upside of 14.80% from the stock’s previous close.

According to Zacks, “CarMax stock has outperformed the industry it belongs to in the last three months.  CarMax’s focus on the used-car market helps it to outperform the industry. The company is among the strongest operators in its peer group. Also, its aggressive store-expansion is expected to benefit the company. Moreover, share repurchases will boost shareholder returns. However, the average selling prices in used vehicle as well as wholesale vehicle segment has been declining. The increase in the supply of used vehicles is expected to further lower prices.”

Other equities research analysts have also issued reports about the company. UBS AG lowered CarMax from a “positive” rating to a “neutral” rating in a research report on Thursday, June 22nd. Goldman Sachs Group, Inc. (The) reissued a “buy” rating and issued a $74.00 price target (up from $72.00) on shares of CarMax in a research report on Thursday, June 22nd. Deutsche Bank AG lowered their price target on CarMax from $73.00 to $72.00 and set a “buy” rating for the company in a research report on Tuesday, July 4th. Royal Bank Of Canada reissued a “market perform” rating and issued a $63.00 price target (down from $71.00) on shares of CarMax in a research report on Tuesday, July 4th. Finally, Susquehanna Bancshares Inc reaffirmed a “neutral” rating and set a $70.00 target price (up from $66.00) on shares of CarMax in a research report on Thursday, June 22nd. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating, eight have assigned a buy rating and two have given a strong buy rating to the company’s stock. The stock presently has an average rating of “Buy” and a consensus price target of $69.15.

CarMax (NYSE KMX) traded up 0.81% during trading on Wednesday, hitting $64.98. 584,904 shares of the company traded hands. The stock has a 50-day moving average price of $64.77 and a 200-day moving average price of $62.69. The firm has a market capitalization of $11.91 billion, a P/E ratio of 18.66 and a beta of 1.34. CarMax has a 12-month low of $47.50 and a 12-month high of $69.11.

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

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In other news, SVP Mohammad Shamim sold 13,938 shares of the stock in a transaction on Friday, July 28th. The stock was sold at an average price of $66.08, for a total transaction of $921,023.04. Following the completion of the transaction, the senior vice president now owns 9,218 shares in the company, valued at approximately $609,125.44. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Thomas W. Reedy, Jr. sold 8,583 shares of the stock in a transaction on Thursday, July 27th. The stock was sold at an average price of $66.87, for a total value of $573,945.21. Following the transaction, the chief financial officer now owns 70,522 shares of the company’s stock, valued at approximately $4,715,806.14. The disclosure for this sale can be found here. Insiders have sold a total of 188,515 shares of company stock valued at $12,085,019 in the last quarter. 1.90% of the stock is owned by corporate insiders.

Hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. increased its position in CarMax by 3,199.4% in the first quarter. BlackRock Inc. now owns 11,088,633 shares of the company’s stock valued at $656,668,000 after buying an additional 10,752,554 shares during the last quarter. Nordea Investment Management AB increased its position in CarMax by 751.0% in the second quarter. Nordea Investment Management AB now owns 2,148,186 shares of the company’s stock valued at $135,465,000 after buying an additional 1,895,763 shares during the last quarter. William Blair Investment Management LLC purchased a new position in CarMax during the first quarter valued at $47,370,000. Principal Financial Group Inc. increased its position in CarMax by 8.3% in the second quarter. Principal Financial Group Inc. now owns 9,177,018 shares of the company’s stock valued at $578,702,000 after buying an additional 706,369 shares during the last quarter. Finally, UBS Oconnor LLC purchased a new position in CarMax during the second quarter valued at $44,142,000.

About CarMax

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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