CarMax (NYSE:KMX) Reaches New 52-Week Low Following Analyst Downgrade

CarMax, Inc. (NYSE:KMXGet Rating) shares hit a new 52-week low during trading on Friday after JPMorgan Chase & Co. lowered their price target on the stock from $100.00 to $95.00. JPMorgan Chase & Co. currently has a neutral rating on the stock. CarMax traded as low as $84.20 and last traded at $89.22, with a volume of 9189 shares changing hands. The stock had previously closed at $88.88.

A number of other brokerages have also commented on KMX. Bank of America lowered shares of CarMax from a “neutral” rating to an “underperform” rating and decreased their price target for the company from $146.00 to $100.00 in a research note on Friday. Morgan Stanley cut their price objective on shares of CarMax from $140.00 to $124.00 and set an “overweight” rating for the company in a report on Thursday, July 14th. Royal Bank of Canada boosted their price objective on shares of CarMax from $104.00 to $108.00 and gave the company an “outperform” rating in a report on Monday, June 27th. Finally, Wedbush boosted their price objective on shares of CarMax from $90.00 to $105.00 and gave the company a “neutral” rating in a report on Monday, June 27th. Two research analysts have rated the stock with a sell rating, four have assigned a hold rating and seven have assigned a buy rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $118.56.

Insider Transactions at CarMax

In other news, EVP Diane L. Cafritz sold 18,092 shares of the company’s stock in a transaction that occurred on Friday, July 1st. The shares were sold at an average price of $91.06, for a total transaction of $1,647,457.52. Following the completion of the sale, the executive vice president now owns 4,988 shares of the company’s stock, valued at approximately $454,207.28. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, EVP Diane L. Cafritz sold 15,555 shares of the stock in a transaction that occurred on Thursday, July 21st. The shares were sold at an average price of $94.75, for a total value of $1,473,836.25. Following the completion of the transaction, the executive vice president now owns 4,988 shares of the company’s stock, valued at approximately $472,613. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, EVP Diane L. Cafritz sold 18,092 shares of the stock in a transaction that occurred on Friday, July 1st. The shares were sold at an average price of $91.06, for a total transaction of $1,647,457.52. Following the completion of the transaction, the executive vice president now directly owns 4,988 shares of the company’s stock, valued at approximately $454,207.28. The disclosure for this sale can be found here. In the last 90 days, insiders sold 37,103 shares of company stock valued at $3,445,847. Company insiders own 1.65% of the company’s stock.

Hedge Funds Weigh In On CarMax

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Rafferty Asset Management LLC increased its position in CarMax by 3.2% in the 4th quarter. Rafferty Asset Management LLC now owns 8,147 shares of the company’s stock valued at $1,061,000 after acquiring an additional 251 shares during the period. Pinebridge Investments L.P. acquired a new position in CarMax in the 4th quarter valued at approximately $1,321,000. Qube Research & Technologies Ltd acquired a new position in CarMax in the 4th quarter valued at approximately $327,000. Roundview Capital LLC increased its position in CarMax by 1.6% in the 4th quarter. Roundview Capital LLC now owns 8,040 shares of the company’s stock valued at $1,047,000 after acquiring an additional 125 shares during the period. Finally, Pecaut & CO. acquired a new position in CarMax in the 4th quarter valued at approximately $2,839,000. Institutional investors own 96.11% of the company’s stock.

CarMax Stock Performance

The company has a current ratio of 2.72, a quick ratio of 0.63 and a debt-to-equity ratio of 3.29. The company’s 50-day simple moving average is $94.34 and its 200-day simple moving average is $95.64. The stock has a market capitalization of $14.48 billion, a price-to-earnings ratio of 15.45, a PEG ratio of 0.97 and a beta of 1.40.

CarMax (NYSE:KMXGet Rating) last announced its quarterly earnings results on Friday, June 24th. The company reported $1.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.51 by $0.05. CarMax had a net margin of 2.88% and a return on equity of 18.40%. The firm had revenue of $9.31 billion during the quarter, compared to analysts’ expectations of $9.38 billion. During the same period in the prior year, the company posted $2.63 EPS. On average, analysts expect that CarMax, Inc. will post 5.72 EPS for the current year.

CarMax Company Profile

(Get Rating)

CarMax, Inc, together with its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates through two segments, CarMax Sales Operations and CarMax Auto Finance. It offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; and extended protection plans to customers at the time of sale, as well as sells vehicles that are approximately 10 years old and has more than 100,000 miles through wholesale auctions.

Featured Articles

Receive News & Ratings for CarMax Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for CarMax and related companies with MarketBeat.com's FREE daily email newsletter.