Royal Bank of Canada Reaffirms Outperform Rating for CarMax (NYSE:KMX)

by · The Cerbat Gem

Royal Bank of Canada reaffirmed their outperform rating on shares of CarMax (NYSE:KMX – Free Report) in a report issued on Wednesday, Benzinga reports. They currently have a $82.00 target price on the stock.

Several other equities research analysts have also recently commented on KMX. Morgan Stanley reaffirmed an “overweight” rating and issued a $80.00 price target on shares of CarMax in a report on Friday, June 21st. Needham & Company LLC reaffirmed a “buy” rating and issued a $90.00 target price on shares of CarMax in a research note on Wednesday. JPMorgan Chase & Co. boosted their price target on shares of CarMax from $55.00 to $65.00 and gave the company an “underweight” rating in a research report on Thursday, September 19th. StockNews.com upgraded shares of CarMax to a “sell” rating in a research report on Friday, July 26th. Finally, Evercore ISI decreased their target price on shares of CarMax from $79.00 to $76.00 and set an “in-line” rating on the stock in a report on Thursday, October 3rd. Four research analysts have rated the stock with a sell rating, four have assigned a hold rating and six have given a buy rating to the company’s stock. According to data from MarketBeat, CarMax currently has an average rating of “Hold” and an average price target of $79.73.

Check Out Our Latest Stock Analysis on KMX

CarMax Trading Down 0.6 %

Shares of KMX opened at $74.70 on Wednesday. CarMax has a 52-week low of $59.66 and a 52-week high of $88.22. The stock has a market cap of $11.66 billion, a PE ratio of 29.18, a price-to-earnings-growth ratio of 1.46 and a beta of 1.68. The firm’s fifty day moving average is $78.02 and its two-hundred day moving average is $75.31. The company has a quick ratio of 0.68, a current ratio of 2.25 and a debt-to-equity ratio of 2.93.

CarMax (NYSE:KMX – Get Free Report) last posted its quarterly earnings results on Thursday, September 26th. The company reported $0.85 earnings per share for the quarter, missing analysts’ consensus estimates of $0.86 by ($0.01). The business had revenue of $7.01 billion for the quarter, compared to analyst estimates of $6.83 billion. CarMax had a return on equity of 6.83% and a net margin of 1.61%. The business’s revenue was down .9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.75 earnings per share. Research analysts forecast that CarMax will post 2.97 earnings per share for the current fiscal year.

Insider Buying and Selling at CarMax

In other news, COO Charles Joseph Wilson sold 10,021 shares of the firm’s stock in a transaction on Tuesday, July 23rd. The stock was sold at an average price of $80.02, for a total transaction of $801,880.42. Following the completion of the transaction, the chief operating officer now directly owns 15,609 shares in the company, valued at $1,249,032.18. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. In other news, COO Charles Joseph Wilson sold 10,021 shares of the firm’s stock in a transaction that occurred on Tuesday, July 23rd. The shares were sold at an average price of $80.02, for a total value of $801,880.42. Following the completion of the transaction, the chief operating officer now owns 15,609 shares of the company’s stock, valued at approximately $1,249,032.18. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Mohammad Shamim sold 25,000 shares of the company’s stock in a transaction that occurred on Friday, July 26th. The stock was sold at an average price of $82.26, for a total transaction of $2,056,500.00. Following the sale, the executive vice president now directly owns 11,738 shares in the company, valued at approximately $965,567.88. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.66% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its stake in shares of CarMax by 1.2% in the 4th quarter. Vanguard Group Inc. now owns 18,076,909 shares of the company’s stock valued at $1,387,222,000 after buying an additional 222,132 shares during the period. CWM LLC grew its holdings in CarMax by 149.7% during the 1st quarter. CWM LLC now owns 10,482 shares of the company’s stock worth $913,000 after acquiring an additional 6,285 shares in the last quarter. GAMMA Investing LLC grew its holdings in CarMax by 6.5% during the 1st quarter. GAMMA Investing LLC now owns 2,156 shares of the company’s stock worth $188,000 after acquiring an additional 131 shares in the last quarter. Mather Group LLC. purchased a new stake in shares of CarMax in the 1st quarter valued at approximately $138,000. Finally, Park Avenue Securities LLC raised its holdings in shares of CarMax by 61.2% in the 1st quarter. Park Avenue Securities LLC now owns 14,154 shares of the company’s stock valued at $1,233,000 after purchasing an additional 5,376 shares in the last quarter.

CarMax Company Profile

(Get Free Report)

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.

See Also