CarMax (NYSE:KMX) Posts Quarterly Earnings Results, Beats Expectations By $0.03 EPS

CarMax (NYSE:KMX) announced its quarterly earnings results on Friday. The company reported $0.97 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.94 by $0.03, RTT News reports. The company had revenue of $7.11 billion for the quarter, compared to analyst estimates of $7.16 billion. CarMax had a net margin of 1.81% and a return on equity of 7.26%. The firm’s revenue was down 7.5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.16 EPS.

CarMax Trading Up 0.4 %

NYSE:KMX opened at $71.63 on Monday. The firm’s fifty day moving average is $70.25 and its 200-day moving average is $73.88. The company has a debt-to-equity ratio of 2.96, a quick ratio of 0.67 and a current ratio of 2.26. CarMax has a 52 week low of $59.66 and a 52 week high of $88.22. The firm has a market cap of $11.27 billion, a P/E ratio of 23.64, a P/E/G ratio of 1.40 and a beta of 1.69.

Insider Activity

In other news, EVP Diane L. Cafritz sold 15,356 shares of the company’s stock in a transaction on Tuesday, April 23rd. The shares were sold at an average price of $69.53, for a total value of $1,067,702.68. Following the sale, the executive vice president now directly owns 6,977 shares of the company’s stock, valued at approximately $485,110.81. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Insiders own 1.66% of the company’s stock.

Analysts Set New Price Targets

KMX has been the topic of several research reports. Royal Bank of Canada reaffirmed an “outperform” rating and set a $83.00 price target on shares of CarMax in a report on Monday, April 8th. Morgan Stanley reaffirmed an “overweight” rating and set a $80.00 price target on shares of CarMax in a report on Friday. Wedbush reaffirmed an “outperform” rating and set a $90.00 price target on shares of CarMax in a report on Tuesday, June 18th. Oppenheimer reissued an “outperform” rating and set a $105.00 target price on shares of CarMax in a report on Tuesday, April 9th. Finally, Needham & Company LLC reduced their target price on shares of CarMax from $99.00 to $91.00 and set a “buy” rating on the stock in a report on Friday, April 12th. Three equities research analysts have rated the stock with a sell rating, four have given a hold rating and six have given a buy rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and an average price target of $76.17.

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.