Needham & Company LLC Forecasts Strong Price Appreciation for CarMax (NYSE:KMX) Stock

CarMax (NYSE:KMX) had its price target lifted by Needham & Company LLC from $98.00 to $101.00 in a report published on Monday morning,Benzinga reports. They currently have a buy rating on the stock.

Several other equities analysts have also recently commented on the company. JPMorgan Chase & Co. upped their price target on CarMax from $70.00 to $72.00 and gave the company an “underweight” rating in a report on Friday, December 20th. Wedbush reaffirmed an “outperform” rating and issued a $95.00 target price on shares of CarMax in a research report on Wednesday, October 16th. Truist Financial lifted their price target on shares of CarMax from $72.00 to $88.00 and gave the stock a “hold” rating in a research note on Friday, December 20th. Evercore ISI raised their price objective on shares of CarMax from $83.00 to $85.00 and gave the stock a “market perform” rating in a report on Thursday, December 19th. Finally, Royal Bank of Canada lifted their target price on shares of CarMax from $92.00 to $99.00 and gave the company an “overweight” rating in a research report on Thursday, December 19th. Three analysts have rated the stock with a sell rating, six have issued a hold rating and six have issued a buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $85.42.

CarMax Stock Down 1.7 %

KMX opened at $84.18 on Monday. CarMax has a 1-year low of $65.83 and a 1-year high of $91.25. The business has a 50 day moving average of $83.08 and a 200-day moving average of $79.54. The stock has a market capitalization of $12.95 billion, a price-to-earnings ratio of 28.53, a P/E/G ratio of 1.66 and a beta of 1.72. The company has a current ratio of 2.30, a quick ratio of 0.55 and a debt-to-equity ratio of 2.92.

CarMax (NYSE:KMX) last posted its quarterly earnings results on Thursday, December 19th. The company reported $0.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.19. The company had revenue of $6.22 billion for the quarter, compared to analyst estimates of $6.05 billion. CarMax had a net margin of 1.77% and a return on equity of 7.49%. The business’s quarterly revenue was up 1.2% on a year-over-year basis. During the same period last year, the business posted $0.52 EPS. As a group, sell-side analysts anticipate that CarMax will post 3.25 earnings per share for the current year.

Insider Activity at CarMax

In other news, CEO William D. Nash sold 120,513 shares of CarMax stock in a transaction on Monday, December 23rd. The stock was sold at an average price of $83.24, for a total value of $10,031,502.12. Following the completion of the sale, the chief executive officer now directly owns 181,683 shares of the company’s stock, valued at approximately $15,123,292.92. This trade represents a 39.88 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, SVP Tyler Tuite sold 4,869 shares of the company’s stock in a transaction on Tuesday, January 28th. The shares were sold at an average price of $84.58, for a total value of $411,820.02. Following the transaction, the senior vice president now directly owns 227 shares in the company, valued at $19,199.66. This trade represents a 95.55 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 264,467 shares of company stock valued at $21,915,445 over the last ninety days. 1.66% of the stock is owned by insiders.

Institutional Trading of CarMax

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Principal Financial Group Inc. boosted its stake in shares of CarMax by 3.4% in the 4th quarter. Principal Financial Group Inc. now owns 8,591,297 shares of the company’s stock valued at $702,425,000 after purchasing an additional 282,519 shares during the last quarter. State Street Corp grew its holdings in CarMax by 0.6% during the 3rd quarter. State Street Corp now owns 6,193,174 shares of the company’s stock worth $479,228,000 after acquiring an additional 36,959 shares during the period. Janus Henderson Group PLC raised its position in shares of CarMax by 0.6% during the 3rd quarter. Janus Henderson Group PLC now owns 4,642,235 shares of the company’s stock valued at $359,216,000 after acquiring an additional 28,466 shares during the last quarter. Geode Capital Management LLC lifted its stake in shares of CarMax by 0.4% in the 3rd quarter. Geode Capital Management LLC now owns 3,663,209 shares of the company’s stock valued at $282,479,000 after purchasing an additional 14,903 shares during the period. Finally, FMR LLC boosted its position in shares of CarMax by 2,883.1% in the 3rd quarter. FMR LLC now owns 1,772,808 shares of the company’s stock worth $137,180,000 after purchasing an additional 1,713,379 shares during the last quarter.

CarMax Company Profile

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.