CarMax’s (KMX) Buy Rating Reiterated at Needham & Company LLC

CarMax (NYSE:KMX)‘s stock had its “buy” rating reiterated by research analysts at Needham & Company LLC in a note issued to investors on Monday,Benzinga reports. They currently have a $92.00 price target on the stock. Needham & Company LLC’s price target would suggest a potential upside of 32.75% from the stock’s previous close.

A number of other brokerages also recently commented on KMX. Stephens upgraded CarMax from an “equal weight” rating to an “overweight” rating and increased their price objective for the company from $86.00 to $90.00 in a research report on Wednesday, March 26th. Evercore ISI cut their price objective on CarMax from $85.00 to $84.00 and set an “outperform” rating for the company in a research report on Wednesday, May 28th. JPMorgan Chase & Co. cut their price objective on CarMax from $72.00 to $65.00 and set an “underweight” rating for the company in a research report on Thursday, March 27th. Robert W. Baird cut their price objective on CarMax from $95.00 to $90.00 and set an “outperform” rating for the company in a research report on Friday, April 11th. Finally, Cfra Research upgraded CarMax to a “strong-buy” rating in a report on Thursday, April 10th. Two analysts have rated the stock with a sell rating, four have issued a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $85.10.

CarMax Stock Performance

Shares of NYSE KMX opened at $69.30 on Monday. CarMax has a 1 year low of $61.34 and a 1 year high of $91.25. The stock has a fifty day moving average price of $65.63 and a two-hundred day moving average price of $75.18. The firm has a market cap of $10.58 billion, a P/E ratio of 19.14, a PEG ratio of 1.11 and a beta of 1.38. The company has a debt-to-equity ratio of 2.86, a quick ratio of 0.80 and a current ratio of 2.39.

CarMax (NYSE:KMX) last announced its quarterly earnings data on Friday, June 20th. The company reported $1.38 EPS for the quarter, beating analysts’ consensus estimates of $1.18 by $0.20. CarMax had a return on equity of 9.11% and a net margin of 2.09%. The company had revenue of $7.55 billion during the quarter, compared to the consensus estimate of $7.58 billion. During the same quarter in the prior year, the firm earned $0.97 EPS. The company’s quarterly revenue was up 6.1% compared to the same quarter last year. Research analysts forecast that CarMax will post 3.23 EPS for the current fiscal year.

Insider Activity

In related news, Director Mitchell D. Steenrod purchased 1,300 shares of the company’s stock in a transaction dated Thursday, April 24th. The shares were acquired at an average cost of $65.49 per share, with a total value of $85,137.00. Following the completion of the purchase, the director now owns 33,577 shares of the company’s stock, valued at $2,198,957.73. The trade was a 4.03% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.70% of the company’s stock.

Hedge Funds Weigh In On CarMax

A number of hedge funds have recently modified their holdings of KMX. Allworth Financial LP increased its position in CarMax by 62.7% during the fourth quarter. Allworth Financial LP now owns 646 shares of the company’s stock worth $51,000 after buying an additional 249 shares during the last quarter. Wealthspire Advisors LLC acquired a new position in CarMax during the fourth quarter worth $226,000. Fjarde AP Fonden Fourth Swedish National Pension Fund increased its position in CarMax by 30.8% during the fourth quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 23,800 shares of the company’s stock worth $1,946,000 after buying an additional 5,600 shares during the last quarter. BankPlus Trust Department acquired a new position in CarMax during the fourth quarter worth $85,000. Finally, Illinois Municipal Retirement Fund acquired a new position in CarMax during the fourth quarter worth $2,126,000.

CarMax Company Profile

CarMax, Inc, through its subsidiaries, operates as a retailer of used vehicles and related products in the United States. It operates in two segments: CarMax Sales Operations and CarMax Auto Finance. The CarMax Sales Operations segment offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; used vehicle auctions; extended protection plans to customers at the time of sale; and reconditioning and vehicle repair services.