CarMax, Inc. $KMX Shares Sold by DAVENPORT & Co LLC

DAVENPORT & Co LLC lessened its stake in CarMax, Inc. (NYSE:KMX) by 16.1% in the 3rd quarter, HoldingsChannel.com reports. The fund owned 1,129,519 shares of the company’s stock after selling 216,746 shares during the period. DAVENPORT & Co LLC’s holdings in CarMax were worth $50,878,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also made changes to their positions in KMX. Norges Bank purchased a new stake in shares of CarMax in the 2nd quarter valued at about $208,144,000. AQR Capital Management LLC increased its position in CarMax by 195.3% during the second quarter. AQR Capital Management LLC now owns 4,457,340 shares of the company’s stock worth $298,107,000 after buying an additional 2,947,996 shares during the period. Arrowstreet Capital Limited Partnership increased its position in CarMax by 1,410.5% during the second quarter. Arrowstreet Capital Limited Partnership now owns 2,028,718 shares of the company’s stock worth $136,350,000 after buying an additional 1,894,408 shares during the period. The Manufacturers Life Insurance Company lifted its stake in CarMax by 795.5% in the second quarter. The Manufacturers Life Insurance Company now owns 1,846,406 shares of the company’s stock valued at $124,097,000 after buying an additional 1,640,219 shares during the last quarter. Finally, Azora Capital LP acquired a new stake in shares of CarMax in the second quarter valued at approximately $45,793,000.

CarMax Stock Up 0.9%

KMX stock opened at $38.48 on Wednesday. The stock has a market capitalization of $5.65 billion, a PE ratio of 12.70, a price-to-earnings-growth ratio of 0.93 and a beta of 1.29. The company has a fifty day moving average of $39.03 and a 200-day moving average of $52.25. The company has a debt-to-equity ratio of 2.74, a quick ratio of 0.51 and a current ratio of 1.99. CarMax, Inc. has a one year low of $30.26 and a one year high of $89.47.

CarMax (NYSE:KMX) last posted its quarterly earnings results on Thursday, December 18th. The company reported $0.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.32 by $0.11. The firm had revenue of $5.79 billion during the quarter, compared to analysts’ expectations of $5.66 billion. CarMax had a net margin of 1.77% and a return on equity of 7.72%. The firm’s revenue for the quarter was down 6.9% on a year-over-year basis. During the same period in the prior year, the company posted $0.81 earnings per share. As a group, analysts expect that CarMax, Inc. will post 3.23 EPS for the current year.

Wall Street Analysts Forecast Growth

KMX has been the topic of a number of recent research reports. Stephens cut their target price on shares of CarMax from $39.00 to $36.00 and set an “equal weight” rating on the stock in a report on Friday. Morgan Stanley set a $35.00 price objective on shares of CarMax in a research note on Monday, December 8th. Royal Bank Of Canada upped their target price on shares of CarMax from $34.00 to $37.00 and gave the company a “sector perform” rating in a report on Friday. BNP Paribas Exane decreased their target price on shares of CarMax from $52.00 to $35.00 and set an “underperform” rating for the company in a research note on Friday, September 26th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of CarMax in a research report on Tuesday, October 14th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, eleven have assigned a Hold rating and seven have issued a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Reduce” and an average target price of $39.36.

CarMax News Roundup

Here are the key news stories impacting CarMax this week:

• Neutral Sentiment: Benchmark (Michael Albanese) maintained a Hold rating on KMX, citing strategic transition and leadership uncertainty — this signals analyst caution but not a downgrade. Maintaining Hold on CarMax
• Negative Sentiment: Labaton Keller Sucharow filed a securities class action (Indiana Public Retirement System v. CarMax, Inc.) alleging claims under §§10(b) and 20(a) — a formal complaint that escalates legal exposure for CarMax and could drive litigation costs and settlements. Labaton Keller Complaint
• Negative Sentiment: A wave of plaintiff‑side firms (Hagens Berman, Levi & Korsinsky, Kessler Topaz, Bronstein Gewirtz, Faruqi, Rosen, Bernstein Liebhard, Bleichmar Fonti & Auld and others) are notifying investors, expanding or pressing class periods and highlighting a January 2, 2026 lead‑plaintiff deadline — increasing the likelihood of consolidated, high‑stakes litigation. Representative notice: Hagens Berman. Hagens Berman Notice
• Negative Sentiment: Several notices tie the litigation to a ~24% stock drop after the CEO departure and alleged misstatements; heightened media/legal attention tends to amplify short‑term selling pressure and increase uncertainty on management continuity. BFA Law Notice
• Negative Sentiment: JPMorgan reduced its price target on KMX to $28 — a tangible analyst downgrade in valuation that can pressure sentiment and provide a reference point for investors re‑pricing the shares. JPMorgan Price Target Cut

About CarMax

CarMax (NYSE: KMX) is a leading retailer of used vehicles in the United States, offering customers a streamlined, no-haggle purchasing experience. The company’s inventory spans a broad range of makes and models, each of which undergoes a comprehensive inspection process before being offered for sale. Customers can shop in person at CarMax’s retail locations or browse the company’s online platform, which provides detailed vehicle histories, virtual tours and contactless purchasing options.

Originally launched in 1993 as a division of Circuit City, CarMax became an independent, publicly traded company in 1997.