William Blair Issues Negative Estimate for CarMax Earnings

CarMax, Inc. (NYSE:KMX) – Stock analysts at William Blair decreased their Q1 2026 earnings per share estimates for CarMax in a note issued to investors on Thursday, April 10th. William Blair analyst S. Zackfia now expects that the company will earn $1.17 per share for the quarter, down from their previous estimate of $1.23. The consensus estimate for CarMax’s current full-year earnings is $3.23 per share. William Blair also issued estimates for CarMax’s Q3 2026 earnings at $0.69 EPS, Q4 2026 earnings at $0.90 EPS and FY2027 earnings at $4.52 EPS.

A number of other research firms have also issued reports on KMX. Truist Financial upped their target price on shares of CarMax from $72.00 to $88.00 and gave the company a “hold” rating in a report on Friday, December 20th. Needham & Company LLC decreased their price objective on CarMax from $101.00 to $92.00 and set a “buy” rating on the stock in a report on Friday, April 11th. Mizuho increased their target price on CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a research report on Friday, December 20th. Royal Bank of Canada decreased their price objective on shares of CarMax from $103.00 to $80.00 and set an “outperform” rating for the company in a research note on Friday, April 11th. Finally, Cfra Research upgraded CarMax to a “strong-buy” rating in a report on Thursday, April 10th. Three equities research analysts have rated the stock with a sell rating, three have assigned a hold rating, eight have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, CarMax has a consensus rating of “Hold” and an average target price of $87.73.

CarMax Stock Performance

Shares of KMX opened at $67.65 on Monday. The company has a current ratio of 2.30, a quick ratio of 0.55 and a debt-to-equity ratio of 2.92. CarMax has a 12-month low of $63.23 and a 12-month high of $91.25. The stock has a market cap of $10.40 billion, a P/E ratio of 22.93, a PEG ratio of 1.67 and a beta of 1.58. The company has a 50-day moving average of $77.90 and a two-hundred day moving average of $79.02.

Institutional Trading of CarMax

Large investors have recently modified their holdings of the company. Fifth Third Bancorp increased its position in shares of CarMax by 13.4% during the first quarter. Fifth Third Bancorp now owns 10,031 shares of the company’s stock valued at $782,000 after purchasing an additional 1,186 shares during the period. Simon Quick Advisors LLC acquired a new stake in shares of CarMax during the first quarter worth approximately $207,000. CX Institutional acquired a new position in CarMax in the first quarter worth $245,000. SG Americas Securities LLC grew its holdings in CarMax by 105.7% during the 1st quarter. SG Americas Securities LLC now owns 11,303 shares of the company’s stock worth $881,000 after acquiring an additional 5,808 shares during the last quarter. Finally, GAMMA Investing LLC raised its position in CarMax by 12.6% in the 1st quarter. GAMMA Investing LLC now owns 6,620 shares of the company’s stock worth $516,000 after purchasing an additional 742 shares during the last quarter.

Insider Activity

In other CarMax news, SVP Tyler Tuite sold 4,869 shares of the firm’s stock in a transaction dated Tuesday, January 28th. The stock was sold at an average price of $84.58, for a total transaction of $411,820.02. Following the transaction, the senior vice president now directly owns 227 shares in the company, valued at $19,199.66. This trade represents a 95.55 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. 1.66% of the stock is currently owned by corporate insiders.

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.