CarMax, Inc. (NYSE:KMX – Get Rating) was the recipient of some unusual options trading on Thursday. Stock traders acquired 16,435 put options on the company. This is an increase of approximately 48% compared to the average daily volume of 11,078 put options.
CarMax Trading Down 1.3 %
Shares of CarMax stock traded down $0.90 during trading on Thursday, hitting $67.86. The stock had a trading volume of 1,595,578 shares, compared to its average volume of 2,253,371. CarMax has a 12 month low of $52.10 and a 12 month high of $107.13. The firm's fifty day simple moving average is $68.13 and its 200-day simple moving average is $71.47. The stock has a market cap of $10.72 billion, a PE ratio of 19.10, a PEG ratio of 9.38 and a beta of 1.43. The company has a debt-to-equity ratio of 3.21, a current ratio of 2.57 and a quick ratio of 0.81.
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CarMax (NYSE:KMX – Get Rating) last announced its quarterly earnings data on Thursday, December 22nd. The company reported $0.24 earnings per share for the quarter, missing analysts' consensus estimates of $0.58 by ($0.34). CarMax had a net margin of 1.82% and a return on equity of 10.69%. The company had revenue of $6.51 billion for the quarter, compared to the consensus estimate of $7.18 billion. During the same quarter in the previous year, the business earned $1.63 EPS. The company's quarterly revenue was down 23.7% compared to the same quarter last year. As a group, sell-side analysts expect that CarMax will post 2.82 EPS for the current fiscal year.
Insider Activity
In other CarMax news, President & CEO William D. Nash purchased 8,220 shares of the company's stock in a transaction that occurred on Friday, December 30th. The stock was bought at an average price of $60.98 per share, with a total value of $501,255.60. Following the completion of the purchase, the insider now directly owns 165,128 shares of the company's stock, valued at approximately $10,069,505.44. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Insiders own 1.65% of the company's stock.
Institutional Investors Weigh In On CarMax
A number of institutional investors and hedge funds have recently added to or reduced their stakes in KMX. Fairfield Bush & CO. bought a new stake in CarMax during the 1st quarter valued at about $106,000. American Century Companies Inc. increased its position in CarMax by 11.8% during the 1st quarter. American Century Companies Inc. now owns 23,475 shares of the company's stock valued at $2,264,000 after purchasing an additional 2,483 shares during the period. Panagora Asset Management Inc. increased its position in CarMax by 80.1% during the 1st quarter. Panagora Asset Management Inc. now owns 16,980 shares of the company's stock valued at $1,638,000 after purchasing an additional 7,550 shares during the period. Commonwealth of Pennsylvania Public School Empls Retrmt SYS increased its position in CarMax by 6.3% during the 1st quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 21,633 shares of the company's stock valued at $2,087,000 after purchasing an additional 1,285 shares during the period. Finally, Yousif Capital Management LLC increased its position in CarMax by 1.2% during the 1st quarter. Yousif Capital Management LLC now owns 26,032 shares of the company's stock valued at $2,512,000 after purchasing an additional 299 shares during the period.
Analyst Upgrades and Downgrades
Several brokerages have issued reports on KMX. StockNews.com raised CarMax to a "sell" rating in a research report on Friday, December 9th. Bank of America cut their target price on shares of CarMax from $100.00 to $49.00 and set an "underperform" rating for the company in a research note on Friday, December 23rd. Evercore ISI cut their target price on shares of CarMax from $63.00 to $60.00 and set an "in-line" rating for the company in a research note on Friday, December 23rd. Oppenheimer cut their target price on shares of CarMax from $100.00 to $75.00 and set an "outperform" rating for the company in a research note on Friday, December 23rd. Finally, JPMorgan Chase & Co. cut shares of CarMax from a "neutral" rating to an "underweight" rating and set a $60.00 target price for the company. in a research note on Wednesday, January 11th. Three research analysts have rated the stock with a sell rating, six have issued a hold rating and four have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $63.00.
About CarMax
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CarMax, Inc is a holding company, which engages in the retail of used vehicles and wholesale of vehicle auction operators. It operates through the CarMax Sales Operations and CarMax Auto Finance (CAF) segments. The CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations.
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