CarMax (NYSE:KMX) Hits New 52-Week Low – Here’s What Happened

CarMax, Inc. (NYSE:KMX) hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $42.73 and last traded at $42.53, with a volume of 923464 shares. The stock had previously closed at $43.27.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on KMX shares. JPMorgan Chase & Co. cut their target price on shares of CarMax from $65.00 to $50.00 and set a “neutral” rating on the stock in a research note on Friday, September 26th. BNP Paribas Exane cut their target price on shares of CarMax from $52.00 to $35.00 and set an “underperform” rating on the stock in a research note on Friday, September 26th. Weiss Ratings restated a “sell (d)” rating on shares of CarMax in a report on Tuesday, October 14th. Wedbush restated a “neutral” rating and set a $54.00 price objective on shares of CarMax in a report on Thursday. Finally, Oppenheimer restated a “market perform” rating on shares of CarMax in a report on Friday, September 26th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, eight have issued a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $51.75.

CarMax Stock Performance

The company’s fifty day moving average price is $54.47 and its 200 day moving average price is $61.70. The company has a market cap of $6.30 billion, a PE ratio of 12.58, a P/E/G ratio of 0.82 and a beta of 1.27. The company has a debt-to-equity ratio of 2.87, a current ratio of 2.46 and a quick ratio of 1.06.

CarMax (NYSE:KMX) last announced its earnings results on Thursday, September 25th. The company reported $0.64 EPS for the quarter, missing the consensus estimate of $1.03 by ($0.39). The firm had revenue of $6.59 billion during the quarter, compared to analysts’ expectations of $7.07 billion. CarMax had a net margin of 1.98% and a return on equity of 8.51%. The business’s revenue for the quarter was down 6.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.85 EPS. On average, equities research analysts predict that CarMax, Inc. will post 3.23 earnings per share for the current year.

Institutional Trading of CarMax

Several institutional investors and hedge funds have recently made changes to their positions in KMX. Zions Bancorporation National Association UT purchased a new stake in shares of CarMax in the first quarter valued at about $27,000. CYBER HORNET ETFs LLC purchased a new stake in shares of CarMax in the second quarter valued at about $28,000. MUFG Securities EMEA plc bought a new position in CarMax during the second quarter valued at about $30,000. Accent Capital Management LLC bought a new position in CarMax during the first quarter valued at about $34,000. Finally, Strengthening Families & Communities LLC grew its position in CarMax by 93.1% during the first quarter. Strengthening Families & Communities LLC now owns 531 shares of the company’s stock valued at $39,000 after buying an additional 256 shares during the period.

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.