CarMax, Inc. (NYSE:KMX) Short Interest Down 7.0% in January

CarMax, Inc. (NYSE:KMX) saw a significant decrease in short interest in the month of January. As of January 31st, there was short interest totalling 12,060,000 shares, a decrease of 7.0% from the January 15th total of 12,970,000 shares. Based on an average trading volume of 1,870,000 shares, the days-to-cover ratio is presently 6.4 days. Currently, 7.9% of the shares of the company are sold short.

Insider Activity

In related news, CEO William D. Nash sold 120,513 shares of the stock in a transaction dated Monday, December 23rd. The shares were sold at an average price of $83.24, for a total value of $10,031,502.12. Following the completion of the sale, the chief executive officer now owns 181,683 shares in the company, valued at approximately $15,123,292.92. This trade represents a 39.88 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, SVP Tyler Tuite sold 4,869 shares of the business’s stock in a transaction dated Tuesday, January 28th. The shares were sold at an average price of $84.58, for a total value of $411,820.02. Following the transaction, the senior vice president now owns 227 shares in the company, valued at $19,199.66. This represents a 95.55 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 264,467 shares of company stock valued at $21,915,445. 1.66% of the stock is owned by company insiders.

Hedge Funds Weigh In On CarMax

A number of institutional investors have recently modified their holdings of the stock. Principal Financial Group Inc. increased its holdings in shares of CarMax by 3.4% in the fourth quarter. Principal Financial Group Inc. now owns 8,591,297 shares of the company’s stock valued at $702,425,000 after purchasing an additional 282,519 shares in the last quarter. Kovitz Investment Group Partners LLC increased its stake in shares of CarMax by 348.0% in the 4th quarter. Kovitz Investment Group Partners LLC now owns 6,595,067 shares of the company’s stock valued at $539,213,000 after buying an additional 5,122,850 shares during the period. State Street Corp raised its position in shares of CarMax by 0.6% during the third quarter. State Street Corp now owns 6,193,174 shares of the company’s stock worth $479,228,000 after acquiring an additional 36,959 shares during the last quarter. Norges Bank acquired a new position in shares of CarMax during the fourth quarter valued at $423,187,000. Finally, Janus Henderson Group PLC lifted its stake in shares of CarMax by 0.6% during the fourth quarter. Janus Henderson Group PLC now owns 4,671,950 shares of the company’s stock valued at $381,978,000 after acquiring an additional 29,715 shares during the period.

Analyst Upgrades and Downgrades

KMX has been the subject of several research reports. Royal Bank of Canada raised their target price on CarMax from $92.00 to $99.00 and gave the stock an “overweight” rating in a research report on Thursday, December 19th. Truist Financial raised their price objective on shares of CarMax from $72.00 to $88.00 and gave the stock a “hold” rating in a report on Friday, December 20th. JPMorgan Chase & Co. upped their target price on shares of CarMax from $70.00 to $72.00 and gave the company an “underweight” rating in a research note on Friday, December 20th. StockNews.com upgraded shares of CarMax from a “sell” rating to a “hold” rating in a research note on Friday, December 20th. Finally, Needham & Company LLC upped their price objective on CarMax from $98.00 to $101.00 and gave the company a “buy” rating in a research note on Monday, February 3rd. Three equities research analysts have rated the stock with a sell rating, five have issued a hold rating and seven have assigned a buy rating to the stock. According to data from MarketBeat.com, CarMax currently has a consensus rating of “Hold” and an average target price of $87.50.

CarMax Trading Up 0.4 %

Shares of KMX opened at $89.28 on Wednesday. The company has a debt-to-equity ratio of 2.92, a quick ratio of 0.55 and a current ratio of 2.30. The company has a market cap of $13.73 billion, a price-to-earnings ratio of 30.26, a PEG ratio of 1.74 and a beta of 1.72. The stock has a fifty day moving average price of $83.47 and a two-hundred day moving average price of $79.93. CarMax has a 52-week low of $65.83 and a 52-week high of $91.25.

CarMax (NYSE:KMX) last released its quarterly 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. The business had revenue of $6.22 billion during the quarter, compared to analysts’ expectations of $6.05 billion. CarMax had a return on equity of 7.49% and a net margin of 1.77%. The firm’s revenue for the quarter was up 1.2% compared to the same quarter last year. During the same period in the previous year, the business posted $0.52 earnings per share. Analysts predict that CarMax will post 3.22 EPS for the current fiscal year.

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.