CarMax (NYSE:KMX) Stock Price Expected to Rise, JPMorgan Chase & Co. Analyst Says

CarMax (NYSE:KMX) had its price target hoisted by equities research analysts at JPMorgan Chase & Co. from $70.00 to $72.00 in a note issued to investors on Friday,Benzinga reports. The firm presently has an “underweight” rating on the stock. JPMorgan Chase & Co.‘s price objective indicates a potential downside of 14.56% from the stock’s previous close.

Several other research analysts have also recently commented on KMX. Mizuho raised their target price on shares of CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a report on Friday. Royal Bank of Canada lifted their price objective on CarMax from $92.00 to $99.00 and gave the company an “overweight” rating in a report on Thursday. Needham & Company LLC increased their target price on CarMax from $90.00 to $98.00 and gave the stock a “buy” rating in a report on Friday. Evercore ISI boosted their price target on CarMax from $83.00 to $85.00 and gave the company a “market perform” rating in a research note on Thursday. Finally, Wedbush reiterated an “outperform” rating and set a $95.00 price objective on shares of CarMax in a research note on Wednesday, October 16th. Three research analysts have rated the stock with a sell rating, six have assigned a hold rating and six have assigned a buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $85.17.

CarMax Stock Performance

KMX opened at $84.27 on Friday. The company has a debt-to-equity ratio of 2.93, a current ratio of 2.25 and a quick ratio of 0.68. The business has a fifty day simple moving average of $79.01 and a 200 day simple moving average of $77.64. CarMax has a 1 year low of $65.83 and a 1 year high of $91.25. The company has a market capitalization of $13.06 billion, a PE ratio of 31.68, a price-to-earnings-growth ratio of 1.76 and a beta of 1.71.

CarMax (NYSE:KMX) last announced its earnings results on Thursday, December 19th. The company reported $0.81 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.62 by $0.19. CarMax had a net margin of 1.61% and a return on equity of 6.83%. The company had revenue of $6.22 billion during 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. CarMax’s quarterly revenue was up 1.2% on a year-over-year basis. Research analysts expect that CarMax will post 3.01 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. Quarry LP grew its holdings in CarMax by 78.6% during the 2nd quarter. Quarry LP now owns 418 shares of the company’s stock worth $31,000 after acquiring an additional 184 shares during the period. Catalyst Capital Advisors LLC bought a new stake in CarMax in the third quarter worth approximately $32,000. True Wealth Design LLC lifted its stake in CarMax by 4,844.4% in the third quarter. True Wealth Design LLC now owns 445 shares of the company’s stock valued at $34,000 after buying an additional 436 shares during the period. Blue Trust Inc. boosted its holdings in shares of CarMax by 134.1% during the 2nd quarter. Blue Trust Inc. now owns 501 shares of the company’s stock worth $37,000 after buying an additional 287 shares in the last quarter. Finally, Studio Investment Management LLC increased its stake in shares of CarMax by 176.7% in the 2nd quarter. Studio Investment Management LLC now owns 523 shares of the company’s stock valued at $38,000 after acquiring an additional 334 shares in 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.