Focus Partners Advisor Solutions LLC Decreases Stock Holdings in CarMax, Inc. $KMX

by · The Cerbat Gem

Focus Partners Advisor Solutions LLC reduced its position in shares of CarMax, Inc. (NYSE:KMX – Free Report) by 50.0% in the second quarter, HoldingsChannel reports. The institutional investor owned 21,323 shares of the company’s stock after selling 21,281 shares during the quarter. Focus Partners Advisor Solutions LLC’s holdings in CarMax were worth $1,128,000 at the end of the most recent quarter.

A number of other large investors have also added to or reduced their stakes in KMX. AQR Capital Management LLC increased its position in shares of CarMax by 151.8% in the fourth quarter. AQR Capital Management LLC now owns 7,930,345 shares of the company’s stock valued at $306,429,000 after acquiring an additional 4,780,903 shares during the period. SRS Investment Management LLC increased its holdings in CarMax by 1,717.5% during the 4th quarter. SRS Investment Management LLC now owns 5,637,803 shares of the company’s stock valued at $217,845,000 after purchasing an additional 5,327,603 shares during the period. Janus Henderson Group PLC increased its holdings in CarMax by 1.1% during the 1st quarter. Janus Henderson Group PLC now owns 4,580,807 shares of the company’s stock valued at $190,471,000 after purchasing an additional 49,987 shares during the period. Dimensional Fund Advisors LP raised its position in CarMax by 7.3% during the 1st quarter. Dimensional Fund Advisors LP now owns 4,275,663 shares of the company’s stock valued at $177,767,000 after purchasing an additional 289,768 shares during the last quarter. Finally, Norges Bank bought a new position in CarMax during the 4th quarter valued at approximately $159,232,000.

CarMax Price Performance

Shares of KMX stock opened at $59.85 on Monday. The business’s fifty day moving average is $54.63 and its 200 day moving average is $46.51. The company has a quick ratio of 0.82, a current ratio of 2.70 and a debt-to-equity ratio of 2.87. The stock has a market cap of $8.49 billion, a price-to-earnings ratio of 39.12, a PEG ratio of 2.74 and a beta of 1.15. CarMax, Inc. has a twelve month low of $30.26 and a twelve month high of $62.56.

CarMax (NYSE:KMX – Get Free Report) last announced its quarterly earnings data on Wednesday, June 17th. The company reported $1.31 EPS for the quarter, beating the consensus estimate of $0.96 by $0.35. CarMax had a return on equity of 6.64% and a net margin of 0.84%.The business had revenue of $8.01 billion during the quarter, compared to analyst estimates of $7.42 billion. During the same quarter last year, the firm posted $1.38 earnings per share. The company’s revenue for the quarter was up 6.2% on a year-over-year basis. Research analysts expect that CarMax, Inc. will post 2.73 EPS for the current fiscal year.

Trending Headlines about CarMax

Here are the key news stories impacting CarMax this week:

  • Positive Sentiment: Zacks upgraded CarMax from “Hold” to “Strong Buy.” The firm raised multiple EPS forecasts, including estimates for FY2028 to $3.11 from $2.96 and FY2029 to $3.90 from $3.21. It also increased quarterly projections for Q1 2028, Q2 2028, Q3 2028, Q4 2028 and Q1 2029, signaling improving expectations for the used-car retailer’s longer-term earnings power. Zacks upgrade and earnings estimates
  • Neutral Sentiment: CarMax’s latest reported quarter provides fundamental support: revenue increased 6.2% year over year to $8.01 billion and earnings of $1.31 per share exceeded the $0.96 analyst consensus. However, earnings were below the $1.38 per share reported in the prior-year period, and the company’s current-year consensus EPS estimate remains $2.73.
  • Negative Sentiment: One valuation analysis says CarMax stock looks stretched following a 53% five-year slump and subsequent recovery. With shares near their 52-week high and trading at roughly 39 times earnings, investors may be concerned that the current valuation already discounts much of the expected improvement. CarMax stock looks stretched after a 53% five-year slump
  • Negative Sentiment: A separate analysis concludes that CarMax could be approximately 7% above fair value, citing the impact of a leadership change. This raises the risk that the stock’s recent gains have outpaced its underlying fundamentals and could limit further upside. CarMax could be 7% above fair value on leadership change

Insider Buying and Selling

In other CarMax news, Director Sona Chawla acquired 2,000 shares of the company’s stock in a transaction that occurred on Thursday, June 25th. The shares were acquired at an average price of $53.39 per share, with a total value of $106,780.00. Following the completion of the purchase, the director directly owned 21,702 shares of the company’s stock, valued at approximately $1,158,669.78. The trade was a 10.15% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Peter J. Bensen acquired 2,500 shares of the business’s stock in a transaction on Monday, June 22nd. The stock was acquired at an average price of $52.20 per share, for a total transaction of $130,500.00. Following the acquisition, the director owned 24,796 shares of the company’s stock, valued at approximately $1,294,351.20. This trade represents a 11.21% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders acquired a total of 13,900 shares of company stock worth $735,574 in the last three months. 1.01% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on KMX. Benchmark reissued a “hold” rating on shares of CarMax in a research note on Thursday, June 18th. Robert W. Baird upped their price objective on shares of CarMax from $48.00 to $55.00 and gave the stock an “outperform” rating in a report on Thursday, June 18th. Zacks Research raised shares of CarMax from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 11th. Wall Street Zen upgraded shares of CarMax from a “sell” rating to a “hold” rating in a research report on Saturday, June 13th. Finally, Stephens raised shares of CarMax from an “equal weight” rating to an “overweight” rating and set a $66.00 price target for the company in a research note on Thursday, June 18th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, fourteen have assigned a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $51.00.

View Our Latest Research Report on CarMax

CarMax Profile

(Free Report)

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.

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