StockNews.com Upgrades CarMax (NYSE:KMX) to “Sell”

StockNews.com upgraded shares of CarMax (NYSE:KMX) to a sell rating in a research note issued to investors on Monday morning.

A number of other research firms also recently weighed in on KMX. Mizuho reduced their target price on shares of CarMax from $80.00 to $75.00 and set a neutral rating for the company in a research report on Friday, April 12th. Needham & Company LLC cut their price objective on shares of CarMax from $99.00 to $91.00 and set a buy rating for the company in a report on Friday, April 12th. Robert W. Baird cut their price objective on shares of CarMax from $88.00 to $84.00 and set an outperform rating for the company in a report on Friday, April 12th. Oppenheimer reaffirmed an outperform rating and issued a $105.00 price objective on shares of CarMax in a report on Tuesday, April 9th. Finally, Bank of America raised their price objective on shares of CarMax from $44.00 to $50.00 and gave the stock an underperform rating in a report on Thursday, February 29th. Three analysts have rated the stock with a sell rating, five have given a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of Hold and a consensus price target of $77.42.

CarMax Stock Down 0.7 %

CarMax stock opened at $67.88 on Monday. CarMax has a twelve month low of $59.66 and a twelve month high of $88.22. The firm has a 50 day moving average price of $78.24 and a 200-day moving average price of $72.10. The company has a market capitalization of $10.68 billion, a P/E ratio of 22.40, a P/E/G ratio of 1.13 and a beta of 1.61. The company has a quick ratio of 0.67, a current ratio of 2.26 and a debt-to-equity ratio of 2.96.

CarMax (NYSE:KMX) last released its earnings results on Thursday, April 11th. The company reported $0.32 earnings per share for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.13). CarMax had a net margin of 1.81% and a return on equity of 7.26%. The company had revenue of $5.63 billion for the quarter, compared to the consensus estimate of $5.76 billion. During the same period in the prior year, the company earned $0.44 earnings per share. The firm’s revenue was down 1.7% on a year-over-year basis. As a group, equities analysts predict that CarMax will post 3.3 EPS for the current year.

Insider Buying and Selling at CarMax

In other CarMax news, EVP Diane L. Cafritz sold 22,000 shares of the firm’s stock in a transaction on Friday, January 26th. The shares were sold at an average price of $70.08, for a total value of $1,541,760.00. Following the completion of the transaction, the executive vice president now directly owns 5,073 shares of the company’s stock, valued at approximately $355,515.84. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In other news, VP Jill A. Livesay sold 14,199 shares of the firm’s stock in a transaction on Monday, January 29th. The shares were sold at an average price of $70.89, for a total transaction of $1,006,567.11. Following the sale, the vice president now owns 9,068 shares in the company, valued at approximately $642,830.52. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Diane L. Cafritz sold 22,000 shares of the firm’s stock in a transaction on Friday, January 26th. The shares were sold at an average price of $70.08, for a total transaction of $1,541,760.00. Following the sale, the executive vice president now owns 5,073 shares in the company, valued at approximately $355,515.84. The disclosure for this sale can be found here. Insiders own 1.66% of the company’s stock.

Institutional Trading of CarMax

Several institutional investors and hedge funds have recently made changes to their positions in KMX. AE Wealth Management LLC raised its position in shares of CarMax by 58.5% during the 3rd quarter. AE Wealth Management LLC now owns 5,299 shares of the company’s stock valued at $375,000 after buying an additional 1,956 shares in the last quarter. Ronald Blue Trust Inc. raised its position in CarMax by 194.0% in the 3rd quarter. Ronald Blue Trust Inc. now owns 438 shares of the company’s stock worth $31,000 after purchasing an additional 289 shares during the period. DnB Asset Management AS raised its position in CarMax by 6.4% in the 3rd quarter. DnB Asset Management AS now owns 30,462 shares of the company’s stock worth $2,155,000 after purchasing an additional 1,830 shares during the period. Global Retirement Partners LLC raised its position in CarMax by 9.7% in the 3rd quarter. Global Retirement Partners LLC now owns 8,228 shares of the company’s stock worth $561,000 after purchasing an additional 727 shares during the period. Finally, SG Americas Securities LLC raised its position in CarMax by 73.7% in the 3rd quarter. SG Americas Securities LLC now owns 18,255 shares of the company’s stock worth $1,291,000 after purchasing an additional 7,743 shares during the period.

CarMax Company Profile

CarMax, Inc, together with its subsidiaries, operates as a retailer of used vehicles in the United States. It operates in two segments, CarMax Sales Operations and CarMax Auto Finance. The company offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; and extended protection plans to customers at the time of sale, as well as sells vehicles that are approximately 10 years old and has more than 100,000 miles through wholesale auctions.