CarMax (NYSE:KMX) Issues Earnings Results, Beats Expectations By $0.01 EPS

CarMax (NYSE:KMX) announced its quarterly earnings results on Wednesday. The company reported $1.27 earnings per share for the quarter, topping analysts’ consensus estimates of $1.26 by $0.01, MarketWatch Earnings reports. CarMax had a net margin of 4.01% and a return on equity of 20.30%. The firm had revenue of $5.16 billion during the quarter, compared to analysts’ expectations of $5.17 billion. During the same period in the prior year, the company earned $1.30 EPS. The firm’s revenue was up 4.1% on a year-over-year basis.

KMX opened at $123.31 on Friday. The firm has a market cap of $20.04 billion, a price-to-earnings ratio of 27.16, a price-to-earnings-growth ratio of 2.16 and a beta of 1.76. CarMax has a fifty-two week low of $47.06 and a fifty-two week high of $136.54. The company’s 50-day moving average price is $127.16 and its 200 day moving average price is $106.46. The company has a quick ratio of 0.67, a current ratio of 2.60 and a debt-to-equity ratio of 3.51.

KMX has been the subject of a number of analyst reports. Seaport Global Securities cut shares of CarMax from a “buy” rating to a “neutral” rating in a research report on Wednesday. JPMorgan Chase & Co. cut shares of CarMax from an “overweight” rating to a “neutral” rating and set a $115.00 price objective for the company. in a research report on Wednesday, December 9th. Oppenheimer initiated coverage on shares of CarMax in a research report on Wednesday, December 23rd. They issued a “buy” rating and a $130.00 price objective for the company. Morgan Stanley decreased their price objective on shares of CarMax to $165.00 and set an “overweight” rating for the company in a research report on Wednesday, December 23rd. Finally, Argus upped their price objective on shares of CarMax from $105.00 to $110.00 in a research report on Monday, December 28th. Two equities research analysts have rated the stock with a sell rating, two have issued a hold rating, eleven have given a buy rating and one has assigned a strong buy rating to the stock. The company has an average rating of “Buy” and a consensus target price of $109.88.

In related news, CEO William D. Nash sold 100,000 shares of the stock in a transaction dated Wednesday, January 20th. The shares were sold at an average price of $123.14, for a total transaction of $12,314,000.00. Following the sale, the chief executive officer now owns 217,000 shares in the company, valued at $26,721,380. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO William D. Nash sold 58,674 shares of the stock in a transaction dated Tuesday, January 12th. The stock was sold at an average price of $106.23, for a total transaction of $6,232,939.02. Following the sale, the chief executive officer now owns 175,674 shares in the company, valued at approximately $18,661,849.02. The disclosure for this sale can be found here. In the last quarter, insiders have sold 401,275 shares of company stock worth $46,173,632. 2.09% of the stock is owned by company insiders.

About CarMax

CarMax, Inc, through its subsidiaries, operates as a retailer of used vehicles in the United States. The company operates in two segments, CarMax Sales Operations and CarMax Auto Finance. It offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles; vehicles that do not meet its retail standards to licensed dealers through on-site wholesale auctions; and extended protection plans to customers at the time of sale.

See Also: Quiet Period

Earnings History for CarMax (NYSE:KMX)

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