Primecap Management Co. CA Buys Shares of 4,359,016 CarMax, Inc. $KMX

Primecap Management Co. CA bought a new stake in shares of CarMax, Inc. (NYSE:KMX) in the 2nd quarter, according to its most recent filing with the SEC. The institutional investor bought 4,359,016 shares of the company’s stock, valued at approximately $230,548,000.

A number of other hedge funds have also made changes to their positions in the stock. Basecamp Wealth Advisors LLC raised its holdings in CarMax by 105.8% in the first quarter. Basecamp Wealth Advisors LLC now owns 636 shares of the company’s stock valued at $26,000 after acquiring an additional 327 shares in the last quarter. Huntington National Bank grew its holdings in CarMax by 62.4% during the 4th quarter. Huntington National Bank now owns 690 shares of the company’s stock worth $27,000 after acquiring an additional 265 shares in the last quarter. CYBER HORNET ETFs LLC bought a new stake in shares of CarMax in the 2nd quarter worth about $28,000. Global Retirement Partners LLC bought a new stake in shares of CarMax in the 2nd quarter worth about $29,000. Finally, Wellington Grp LLC raised its stake in shares of CarMax by 6,500.0% in the 1st quarter. Wellington Grp LLC now owns 726 shares of the company’s stock valued at $30,000 after purchasing an additional 715 shares in the last quarter.

Analysts Set New Price Targets

A number of equities analysts recently commented on KMX shares. Stephens upgraded CarMax from an “equal weight” rating to an “overweight” rating and set a $66.00 price target for the company in a research note on Thursday, June 18th. Benchmark restated a “hold” rating on shares of CarMax in a research note on Thursday, June 18th. Wall Street Zen raised CarMax from a “sell” rating to a “hold” rating in a report on Saturday, June 13th. Bank of America boosted their price target on CarMax from $40.00 to $45.00 and gave the company an “underperform” rating in a report on Wednesday, June 17th. Finally, UBS Group set a $60.00 price target on CarMax in a research report on Wednesday, July 29th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, fourteen have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $51.00.

Insider Activity at CarMax

In related news, CEO Keith Barr acquired 9,400 shares of the stock in a transaction that occurred on Monday, June 22nd. The stock was purchased at an average cost of $53.01 per share, for a total transaction of $498,294.00. Following the purchase, the chief executive officer directly owned 33,375 shares in the company, valued at $1,769,208.75. This represents a 39.21% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Peter J. Bensen bought 2,500 shares of the company’s stock in a transaction on Monday, June 22nd. The stock was bought at an average cost of $52.20 per share, for a total transaction of $130,500.00. Following the completion of the transaction, the director directly owned 24,796 shares of the company’s stock, valued at $1,294,351.20. This trade represents a 11.21% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased 13,900 shares of company stock worth $735,574 in the last 90 days. 1.01% of the stock is currently owned by company insiders.

CarMax Price Performance

KMX opened at $64.17 on Wednesday. The company has a quick ratio of 0.82, a current ratio of 2.70 and a debt-to-equity ratio of 2.87. The company’s 50-day moving average price is $56.11 and its 200 day moving average price is $47.24. CarMax, Inc. has a fifty-two week low of $30.26 and a fifty-two week high of $64.59. The firm has a market cap of $9.11 billion, a price-to-earnings ratio of 41.94, a price-to-earnings-growth ratio of 2.87 and a beta of 1.15.

CarMax (NYSE:KMX) last posted its earnings results on Wednesday, June 17th. The company reported $1.31 EPS for the quarter, beating the consensus estimate of $0.96 by $0.35. The company had revenue of $8.01 billion during the quarter, compared to analyst estimates of $7.42 billion. CarMax had a return on equity of 6.64% and a net margin of 0.84%.The business’s revenue was up 6.2% compared to the same quarter last year. During the same period in the prior year, the company earned $1.38 earnings per share. As a group, sell-side analysts expect that CarMax, Inc. will post 2.73 earnings per share for the current year.

CarMax Profile

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.