Equities Analysts Set Expectations for CarMax Q1 Earnings

CarMax, Inc. (NYSE:KMX) – Investment analysts at Zacks Research boosted their Q1 2026 EPS estimates for CarMax in a research note issued to investors on Wednesday, January 15th. Zacks Research analyst R. Department now anticipates that the company will earn $1.28 per share for the quarter, up from their prior estimate of $1.17. The consensus estimate for CarMax’s current full-year earnings is $3.18 per share. Zacks Research also issued estimates for CarMax’s Q2 2026 earnings at $1.00 EPS, Q3 2026 earnings at $0.82 EPS, FY2026 earnings at $3.85 EPS, Q1 2027 earnings at $1.24 EPS, Q2 2027 earnings at $1.01 EPS and FY2027 earnings at $4.40 EPS.

CarMax (NYSE:KMX) last released its quarterly earnings results on Thursday, December 19th. The company reported $0.81 earnings per share for the quarter, topping analysts’ consensus estimates of $0.62 by $0.19. CarMax had a return on equity of 7.49% and a net margin of 1.77%. The company had revenue of $6.22 billion during the quarter, compared to analysts’ expectations of $6.05 billion. During the same quarter in the prior year, the firm posted $0.52 EPS. CarMax’s quarterly revenue was up 1.2% compared to the same quarter last year.

Other equities research analysts have also issued research reports about the stock. Oppenheimer reissued an “outperform” rating and issued a $105.00 price target on shares of CarMax in a report on Friday, October 4th. StockNews.com raised shares of CarMax from a “sell” rating to a “hold” rating in a research note on Friday, December 20th. JPMorgan Chase & Co. upped their price target on shares of CarMax from $70.00 to $72.00 and gave the stock an “underweight” rating in a research report on Friday, December 20th. Evercore ISI lifted their price objective on CarMax from $83.00 to $85.00 and gave the stock a “market perform” rating in a report on Thursday, December 19th. Finally, Needham & Company LLC increased their target price on CarMax from $90.00 to $98.00 and gave the company a “buy” rating in a report on Friday, December 20th. Three analysts have rated the stock with a sell rating, six have assigned a hold rating and six have given a buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $85.17.

CarMax Stock Down 0.9 %

CarMax stock opened at $78.96 on Friday. CarMax has a 12 month low of $65.83 and a 12 month high of $91.25. The stock has a market capitalization of $12.14 billion, a PE ratio of 26.77, a price-to-earnings-growth ratio of 1.50 and a beta of 1.71. The company has a debt-to-equity ratio of 2.92, a current ratio of 2.30 and a quick ratio of 0.55. The business has a 50 day simple moving average of $82.01 and a 200-day simple moving average of $79.00.

Hedge Funds Weigh In On CarMax

Several institutional investors and hedge funds have recently bought and sold shares of KMX. Acadian Asset Management LLC purchased a new stake in shares of CarMax during the 2nd quarter valued at approximately $127,000. DekaBank Deutsche Girozentrale increased its stake in CarMax by 11.2% during the second quarter. DekaBank Deutsche Girozentrale now owns 34,520 shares of the company’s stock worth $2,517,000 after acquiring an additional 3,481 shares during the last quarter. Oppenheimer Asset Management Inc. increased its stake in CarMax by 8.6% during the second quarter. Oppenheimer Asset Management Inc. now owns 6,938 shares of the company’s stock worth $509,000 after acquiring an additional 547 shares during the last quarter. Dimensional Fund Advisors LP raised its position in CarMax by 2.6% in the second quarter. Dimensional Fund Advisors LP now owns 2,007,426 shares of the company’s stock valued at $147,230,000 after purchasing an additional 51,397 shares during the period. Finally, Argent Trust Co lifted its stake in shares of CarMax by 22.3% in the 2nd quarter. Argent Trust Co now owns 31,509 shares of the company’s stock valued at $2,311,000 after purchasing an additional 5,739 shares during the last quarter.

Insider Activity at CarMax

In other news, EVP Mohammad Shamim sold 10,000 shares of the business’s stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $83.77, for a total transaction of $837,700.00. Following the transaction, the executive vice president now owns 11,738 shares of the company’s stock, valued at approximately $983,292.26. The trade was a 46.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO William D. Nash sold 120,513 shares of the firm’s stock in a transaction dated Monday, December 23rd. The stock was sold at an average price of $83.24, for a total transaction of $10,031,502.12. Following the sale, the chief executive officer now owns 181,683 shares of the company’s stock, valued at approximately $15,123,292.92. The trade was a 39.88 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 259,598 shares of company stock valued at $21,503,625. 1.66% of the stock is currently owned by insiders.

About CarMax

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.