CarMax (NYSE:KMX) Upgraded to Hold at UBS Group

UBS Group upgraded shares of CarMax (NYSE:KMX) to a hold rating in a research note released on Wednesday morning,Zacks.com reports.

KMX has been the topic of several other reports. Evercore set a $45.00 target price on CarMax in a research note on Friday, April 10th. Weiss Ratings reissued a “sell (d)” rating on shares of CarMax in a research note on Wednesday, April 8th. Royal Bank Of Canada reissued a “sector perform” rating and set a $41.00 target price on shares of CarMax in a research note on Wednesday, April 15th. Wall Street Zen raised CarMax from a “sell” rating to a “hold” rating in a research note on Saturday, May 23rd. Finally, JPMorgan Chase & Co. boosted their target price on CarMax from $28.00 to $35.00 and gave the company an “underweight” rating in a research note on Wednesday, April 15th. One research analyst has rated the stock with a Buy rating, fourteen have issued a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat.com, CarMax presently has a consensus rating of “Reduce” and an average price target of $41.27.

CarMax Stock Performance

CarMax stock opened at $43.83 on Wednesday. The company has a current ratio of 2.20, a quick ratio of 0.49 and a debt-to-equity ratio of 2.93. The firm has a market cap of $6.22 billion, a P/E ratio of 27.40, a P/E/G ratio of 1.60 and a beta of 1.19. CarMax has a 1-year low of $30.26 and a 1-year high of $71.99. The firm has a 50-day moving average of $40.59 and a 200-day moving average of $41.17.

CarMax (NYSE:KMX) last announced its quarterly earnings results on Tuesday, April 14th. The company reported $0.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.22 by $0.12. CarMax had a return on equity of 7.00% and a net margin of 0.96%.The company had revenue of $5.95 billion for the quarter, compared to the consensus estimate of $5.65 billion. During the same quarter in the previous year, the business earned $0.58 EPS. CarMax’s revenue was down 1.0% compared to the same quarter last year. Sell-side analysts expect that CarMax will post 2.3 EPS for the current year.

Hedge Funds Weigh In On CarMax

A number of institutional investors have recently bought and sold shares of KMX. SRS Investment Management LLC raised its stake in CarMax by 1,717.5% in the fourth quarter. SRS Investment Management LLC now owns 5,637,803 shares of the company’s stock worth $217,845,000 after buying an additional 5,327,603 shares in the last quarter. AQR Capital Management LLC raised its stake in CarMax by 151.8% in the fourth quarter. AQR Capital Management LLC now owns 7,930,345 shares of the company’s stock worth $306,429,000 after buying an additional 4,780,903 shares in the last quarter. Norges Bank bought a new position in CarMax in the fourth quarter worth about $159,232,000. Arrowstreet Capital Limited Partnership raised its stake in CarMax by 73.7% in the third quarter. Arrowstreet Capital Limited Partnership now owns 3,522,923 shares of the company’s stock worth $158,074,000 after buying an additional 1,494,205 shares in the last quarter. Finally, Vulcan Value Partners LLC raised its stake in CarMax by 135.2% in the third quarter. Vulcan Value Partners LLC now owns 2,328,120 shares of the company’s stock worth $104,569,000 after buying an additional 1,338,134 shares in the last quarter.

About CarMax

CarMax (NYSE: KMX) is a leading retailer of used vehicles in the United States, offering customers a streamlined, no-haggle purchasing experience. The company’s inventory spans a broad range of makes and models, each of which undergoes a comprehensive inspection process before being offered for sale. Customers can shop in person at CarMax’s retail locations or browse the company’s online platform, which provides detailed vehicle histories, virtual tours and contactless purchasing options.

Originally launched in 1993 as a division of Circuit City, CarMax became an independent, publicly traded company in 1997.