CarMax (NYSE:KMX) Posts Quarterly Earnings Results, Misses Expectations By $0.01 EPS

CarMax (NYSE:KMX) posted its quarterly earnings data on Thursday. The company reported $0.85 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.86 by ($0.01), Briefing.com reports. The company had revenue of $7.01 billion for the quarter, compared to the consensus estimate of $6.83 billion. CarMax had a return on equity of 6.64% and a net margin of 1.55%. The business’s revenue was down .9% on a year-over-year basis. During the same period in the prior year, the firm posted $0.75 earnings per share.

CarMax Price Performance

Shares of CarMax stock opened at $77.29 on Friday. The business has a 50 day moving average of $79.71 and a 200 day moving average of $76.37. CarMax has a 52 week low of $59.66 and a 52 week high of $88.22. The company has a market cap of $12.06 billion, a PE ratio of 30.19, a P/E/G ratio of 1.56 and a beta of 1.69. The company has a quick ratio of 0.60, a current ratio of 2.50 and a debt-to-equity ratio of 2.95.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on KMX. Oppenheimer reiterated an “outperform” rating and issued a $105.00 price objective on shares of CarMax in a report on Monday, June 24th. StockNews.com raised shares of CarMax to a “sell” rating in a research note on Friday, July 26th. Royal Bank of Canada lifted their target price on shares of CarMax from $75.00 to $82.00 and gave the stock an “outperform” rating in a research report on Friday. Mizuho cut their price target on shares of CarMax from $75.00 to $72.00 and set a “neutral” rating for the company in a research report on Tuesday, June 18th. Finally, JPMorgan Chase & Co. lifted their price objective on CarMax from $55.00 to $65.00 and gave the stock an “underweight” rating in a report on Thursday, September 19th. Three equities research analysts have rated the stock with a sell rating, five have given a hold rating and six have issued a buy rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $78.92.

Insider Buying and Selling at CarMax

In related news, CEO William D. Nash sold 120,000 shares of the business’s stock in a transaction dated Thursday, July 11th. The shares were sold at an average price of $79.62, for a total transaction of $9,554,400.00. Following the transaction, the chief executive officer now owns 181,683 shares in the company, valued at $14,465,600.46. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. In related news, CEO William D. Nash sold 120,000 shares of CarMax stock in a transaction that occurred on Thursday, July 11th. The stock was sold at an average price of $79.62, for a total transaction of $9,554,400.00. Following the sale, the chief executive officer now directly owns 181,683 shares in the company, valued at $14,465,600.46. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Mohammad Shamim sold 25,000 shares of the stock in a transaction on Friday, July 26th. The stock was sold at an average price of $82.26, for a total value of $2,056,500.00. Following the completion of the transaction, the executive vice president now owns 11,738 shares of the company’s stock, valued at approximately $965,567.88. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 184,012 shares of company stock valued at $14,803,843. 1.66% of the stock is currently owned by company 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.