What is Zacks Research’s Forecast for CarMax Q1 Earnings?

CarMax, Inc. (NYSE:KMX) – Zacks Research decreased their Q1 2027 earnings per share (EPS) estimates for CarMax in a research note issued to investors on Wednesday, December 31st. Zacks Research analyst Team now anticipates that the company will post earnings per share of $1.32 for the quarter, down from their prior forecast of $1.40. Zacks Research has a “Strong Sell” rating on the stock. The consensus estimate for CarMax’s current full-year earnings is $3.23 per share. Zacks Research also issued estimates for CarMax’s Q2 2027 earnings at $0.89 EPS, Q1 2028 earnings at $1.33 EPS and Q2 2028 earnings at $0.91 EPS.

CarMax (NYSE:KMX) last issued its quarterly earnings results on Thursday, December 18th. The company reported $0.43 EPS for the quarter, beating analysts’ consensus estimates of $0.32 by $0.11. The firm had revenue of $5.79 billion for the quarter, compared to analysts’ expectations of $5.66 billion. CarMax had a return on equity of 7.72% and a net margin of 1.77%.The business’s revenue for the quarter was down 6.9% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.81 EPS.

KMX has been the subject of a number of other research reports. Barclays cut their target price on shares of CarMax from $28.00 to $24.00 and set an “underweight” rating for the company in a research report on Friday, December 19th. Wall Street Zen downgraded shares of CarMax from a “hold” rating to a “sell” rating in a report on Friday, October 3rd. Wedbush lowered their target price on shares of CarMax from $40.00 to $36.00 and set a “neutral” rating on the stock in a report on Friday, December 19th. Stephens dropped their target price on CarMax from $39.00 to $36.00 and set an “equal weight” rating on the stock in a research report on Friday, December 19th. Finally, Robert W. Baird cut their price target on CarMax from $90.00 to $60.00 and set an “outperform” rating for the company in a report on Friday, September 26th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, eleven have assigned a Hold rating and seven have issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Reduce” and an average price target of $39.36.

CarMax Trading Up 1.7%

Shares of CarMax stock opened at $39.28 on Monday. The stock has a market capitalization of $5.57 billion, a P/E ratio of 12.96, a P/E/G ratio of 0.94 and a beta of 1.29. CarMax has a 52-week low of $30.26 and a 52-week high of $89.47. The company has a debt-to-equity ratio of 2.74, a quick ratio of 0.51 and a current ratio of 1.99. The stock’s 50-day simple moving average is $38.29 and its 200 day simple moving average is $50.73.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in KMX. Jones Financial Companies Lllp raised its position in shares of CarMax by 3.1% in the first quarter. Jones Financial Companies Lllp now owns 5,372 shares of the company’s stock worth $419,000 after buying an additional 161 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in CarMax by 0.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 31,389 shares of the company’s stock worth $2,446,000 after buying an additional 173 shares in the last quarter. Kaufman Rossin Wealth LLC grew its position in CarMax by 6.2% during the second quarter. Kaufman Rossin Wealth LLC now owns 3,342 shares of the company’s stock worth $225,000 after buying an additional 194 shares in the last quarter. WCM Investment Management LLC increased its stake in CarMax by 0.5% in the 2nd quarter. WCM Investment Management LLC now owns 38,991 shares of the company’s stock worth $2,597,000 after acquiring an additional 197 shares during the last quarter. Finally, Vanguard Personalized Indexing Management LLC increased its stake in CarMax by 1.8% in the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 10,924 shares of the company’s stock worth $734,000 after acquiring an additional 198 shares during the last quarter.

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.