CarMax (NYSE:KMX) Issues Quarterly Earnings Results, Beats Estimates By $0.16 EPS

14 Apr 2026, 13:16 by Sarita Garza · The Markets Daily

CarMax (NYSE:KMX – Get Free Report) posted its quarterly earnings data on Tuesday. The company reported $0.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.18 by $0.16, Briefing.com reports. CarMax had a net margin of 1.77% and a return on equity of 7.72%. During the same quarter in the prior year, the company earned $0.58 EPS. The company’s quarterly revenue was down 1.0% on a year-over-year basis.

CarMax Stock Performance

NYSE:KMX opened at $49.03 on Tuesday. The firm has a market cap of $6.95 billion, a price-to-earnings ratio of 16.18, a price-to-earnings-growth ratio of 1.23 and a beta of 1.30. The company has a debt-to-equity ratio of 2.74, a current ratio of 1.99 and a quick ratio of 0.51. CarMax has a 1-year low of $30.26 and a 1-year high of $71.99. The firm’s fifty day moving average price is $43.07 and its 200 day moving average price is $42.00.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on KMX. Weiss Ratings reissued a “sell (d)” rating on shares of CarMax in a report on Wednesday, April 8th. Bank of America lifted their price objective on CarMax from $27.00 to $31.00 and gave the stock an “underperform” rating in a research report on Friday, December 19th. Zacks Research upgraded CarMax from a “strong sell” rating to a “hold” rating in a report on Monday, January 5th. Evercore set a $45.00 price objective on shares of CarMax in a research report on Friday. Finally, Stephens raised their price target on shares of CarMax from $39.00 to $43.00 and gave the company an “equal weight” rating in a research report on Thursday, April 2nd. One investment analyst has rated the stock with a Buy rating, twelve have issued a Hold rating and five have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, CarMax has a consensus rating of “Reduce” and a consensus price target of $39.93.

Check Out Our Latest Stock Report on CarMax

More CarMax News

Here are the key news stories impacting CarMax this week:

Positive Sentiment: Non-GAAP EPS and revenue beat consensus — CarMax reported non-GAAP EPS of $0.34 (beat by $0.13) and revenue of $5.95B (beat by ~$220M), a data point that supports near-term earnings resilience. Article Title
Positive Sentiment: Leadership change: Keith Barr named President & CEO (effective March 16), which investors may view as a catalyst for a strategic turnaround and potential operational fixes. Article Title
Neutral Sentiment: Sales mix and volumes mixed — combined retail + wholesale unit sales rose 0.7%, but retail used unit sales fell ~0.8% and comparable-store used unit sales declined 1.9%, signaling uneven demand recovery. Article Title
Neutral Sentiment: Activist investor pressure and scrutiny continue — pre-earnings previews highlighted activist focus and that results and management commentary could be a near-term focal point. Article Title
Negative Sentiment: Goodwill impairment and GAAP loss — CarMax posted a quarterly GAAP loss driven by a goodwill impairment charge, which raises concerns about longer-term asset valuation and earnings volatility. Article Title
Negative Sentiment: Price cuts weighing on margins and sentiment — coverage highlights that recent price reductions have failed to quickly revive used-car demand and have compressed gross profit per retail used unit, prompting negative headlines and near-term stock pressure. Article Title

Institutional Trading of CarMax

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Alberta Investment Management Corp purchased a new stake in CarMax during the fourth quarter worth $4,326,000. Mercer Global Advisors Inc. ADV lifted its stake in shares of CarMax by 94.1% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 62,338 shares of the company’s stock valued at $2,409,000 after buying an additional 30,218 shares during the period. Fuller & Thaler Asset Management Inc. lifted its stake in shares of CarMax by 36.4% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 176,750 shares of the company’s stock worth $6,830,000 after purchasing an additional 47,133 shares during the period. SPWM Advisors LLC acquired a new position in shares of CarMax during the 4th quarter valued at about $556,000. Finally, SRS Investment Management LLC increased its position in CarMax by 1,717.5% during the fourth quarter. SRS Investment Management LLC now owns 5,637,803 shares of the company’s stock worth $217,845,000 after purchasing an additional 5,327,603 shares during the last quarter.

CarMax Company Profile

(Get Free Report)

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.