CarMax (NYSE:KMX) Raised to “Hold” at StockNews.com

CarMax (NYSE:KMX) was upgraded by StockNews.com from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Friday.

Several other brokerages have also recently commented on KMX. Stephens began coverage on CarMax in a research report on Thursday, December 5th. They set an “equal weight” rating and a $86.00 price target for the company. BNP Paribas upgraded CarMax to a “strong sell” rating in a report on Friday, September 27th. JPMorgan Chase & Co. increased their price target on CarMax from $70.00 to $72.00 and gave the company an “underweight” rating in a report on Friday. Oppenheimer restated an “outperform” rating and issued a $105.00 target price on shares of CarMax in a report on Friday, October 4th. Finally, Royal Bank of Canada raised their price target on shares of CarMax from $92.00 to $99.00 and gave the stock an “overweight” rating in a report on Thursday. Three investment analysts have rated the stock with a sell rating, six have issued a hold rating and six have issued a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $85.17.

CarMax Price Performance

CarMax stock opened at $84.27 on Friday. The company has a debt-to-equity ratio of 2.93, a quick ratio of 0.68 and a current ratio of 2.25. The company’s fifty day moving average price is $79.01 and its 200 day moving average price is $77.64. The stock has a market capitalization of $13.06 billion, a P/E ratio of 31.68, a P/E/G ratio of 1.76 and a beta of 1.71. CarMax has a 1 year low of $65.83 and a 1 year high of $91.25.

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 the consensus estimate of $0.62 by $0.19. CarMax had a net margin of 1.61% and a return on equity of 6.83%. The firm had revenue of $6.22 billion during the quarter, compared to the consensus estimate of $6.05 billion. During the same quarter in the prior year, the firm earned $0.52 EPS. The company’s revenue for the quarter was up 1.2% on a year-over-year basis. As a group, equities research analysts anticipate that CarMax will post 3.01 earnings per share for the current fiscal year.

Hedge Funds Weigh In On CarMax

A number of institutional investors and hedge funds have recently made changes to their positions in KMX. Oddo BHF Asset Management Sas purchased a new position in CarMax in the third quarter worth approximately $2,229,000. Franklin Resources Inc. lifted its position in shares of CarMax by 53.3% during the 3rd quarter. Franklin Resources Inc. now owns 27,362 shares of the company’s stock worth $1,999,000 after purchasing an additional 9,509 shares during the last quarter. Tidal Investments LLC grew its stake in shares of CarMax by 141.8% during the third quarter. Tidal Investments LLC now owns 13,019 shares of the company’s stock worth $1,007,000 after purchasing an additional 7,635 shares in the last quarter. Wilmington Savings Fund Society FSB acquired a new stake in CarMax in the third quarter valued at $351,000. Finally, World Investment Advisors LLC acquired a new stake in CarMax in the third quarter valued at $6,942,000.

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.