Equities Analysts Offer Predictions for CarMax Q1 Earnings

CarMax, Inc. (NYSE:KMX) – Equities research analysts at Zacks Research lowered their Q1 2026 EPS estimates for CarMax in a report released on Wednesday, February 19th. Zacks Research analyst R. Department now expects that the company will post earnings of $1.25 per share for the quarter, down from their prior forecast of $1.28. The consensus estimate for CarMax’s current full-year earnings is $3.23 per share. Zacks Research also issued estimates for CarMax’s Q2 2026 earnings at $0.98 EPS, Q3 2026 earnings at $0.81 EPS, FY2026 earnings at $3.78 EPS, Q2 2027 earnings at $1.00 EPS, Q3 2027 earnings at $1.16 EPS and FY2027 earnings at $4.36 EPS.

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

KMX has been the subject of a number of other reports. Stephens started coverage on shares of CarMax in a research note on Thursday, December 5th. They set an “equal weight” rating and a $86.00 target price for the company. Truist Financial boosted their target price on shares of CarMax from $72.00 to $88.00 and gave the company a “hold” rating in a research note on Friday, December 20th. Mizuho boosted their target price on shares of CarMax from $72.00 to $80.00 and gave the company a “neutral” rating in a research note on Friday, December 20th. StockNews.com raised shares of CarMax from a “sell” rating to a “hold” rating in a research note on Friday, December 20th. Finally, Needham & Company LLC upped their price objective on shares of CarMax from $98.00 to $101.00 and gave the stock a “buy” rating in a research note on Monday, February 3rd. Three investment analysts have rated the stock with a sell rating, five have issued a hold rating and seven have issued a buy rating to the stock. According to MarketBeat.com, CarMax presently has a consensus rating of “Hold” and an average price target of $87.50.

CarMax Trading Up 0.3 %

KMX stock opened at $82.82 on Monday. The stock has a market capitalization of $12.74 billion, a price-to-earnings ratio of 28.07, a price-to-earnings-growth ratio of 1.67 and a beta of 1.72. CarMax has a twelve month low of $65.83 and a twelve month high of $91.25. The company has a quick ratio of 0.55, a current ratio of 2.30 and a debt-to-equity ratio of 2.92. The firm’s fifty day simple moving average is $83.33 and its two-hundred day simple moving average is $80.20.

Hedge Funds Weigh In On CarMax

Several hedge funds have recently modified their holdings of the stock. Creative Planning increased its holdings in CarMax by 5.9% in the 3rd quarter. Creative Planning now owns 13,833 shares of the company’s stock worth $1,070,000 after buying an additional 766 shares during the period. Blue Trust Inc. increased its holdings in CarMax by 108.2% in the 3rd quarter. Blue Trust Inc. now owns 1,043 shares of the company’s stock worth $76,000 after buying an additional 542 shares during the period. Sequoia Financial Advisors LLC acquired a new position in CarMax in the 3rd quarter worth approximately $223,000. Signaturefd LLC increased its holdings in CarMax by 12.5% in the 3rd quarter. Signaturefd LLC now owns 1,545 shares of the company’s stock worth $120,000 after buying an additional 172 shares during the period. Finally, Assenagon Asset Management S.A. increased its holdings in CarMax by 6.9% in the 3rd quarter. Assenagon Asset Management S.A. now owns 30,508 shares of the company’s stock worth $2,361,000 after buying an additional 1,969 shares during the period.

Insider Buying and Selling at CarMax

In other news, EVP Mohammad Shamim sold 10,000 shares of the company’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 in the company, valued at $983,292.26. This represents a 46.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO William D. Nash sold 120,513 shares of the company’s stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $83.24, for a total transaction of $10,031,502.12. Following the transaction, the chief executive officer now owns 181,683 shares in the company, valued at approximately $15,123,292.92. This trade represents a 39.88 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 264,467 shares of company stock valued at $21,915,445. 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.