Carmax Inc (NYSE: KMX) has seen a rise in its stock price by 2.39 in relation to its previous close of 79.12. However, the company has experienced a -0.91% decline in its stock price over the last five trading sessions. marketbeat.com reported 2024-12-31 that When it comes to used cars in the United States, CarMax Inc. NYSE: KMX stands out as the largest used car dealership. The auto/tires/trucks sector giant operates more than 245 physical dealerships in the country, and it popularized the concept of a “no-haggle” pricing policy for buying used cars.
Is It Worth Investing in Carmax Inc (NYSE: KMX) Right Now?
The price-to-earnings ratio for Carmax Inc (NYSE: KMX) is 27.55x, which is above its average ratio. Moreover, the 36-month beta value for KMX is 1.73. Analysts have varying opinions on the stock, with 5 analysts rating it as a “buy,” 5 as “overweight,” 6 as “hold,” and 0 as “sell.”
The public float for KMX is 154.22M and currently, short sellers hold a 8.61% of that float. On January 08, 2025, KMX’s average trading volume was 1.85M shares.
KMX’s Market Performance
KMX stock saw a decrease of -0.91% in the past week, with a monthly decline of -6.05% and a quarterly a decrease of 12.32%. The volatility ratio for the week is 1.99%, and the volatility levels for the last 30 days are 2.58% for Carmax Inc (KMX). The simple moving average for the last 20 days is -2.84% for KMX stock, with a simple moving average of 5.39% for the last 200 days.
Analysts’ Opinion of KMX
Many brokerage firms have already submitted their reports for KMX stocks, with Stephens repeating the rating for KMX by listing it as a “Equal-Weight.” The predicted price for KMX in the upcoming period, according to Stephens is $86 based on the research report published on December 05, 2024 of the previous year 2024.
Needham, on the other hand, stated in their research note that they expect to see KMX reach a price target of $99. The rating they have provided for KMX stocks is “Buy” according to the report published on March 20th, 2024.
Mizuho gave a rating of “Neutral” to KMX, setting the target price at $80 in the report published on March 19th of the previous year.
KMX Trading at 0.34% from the 50-Day Moving Average
After a stumble in the market that brought KMX to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -11.22% of loss for the given period.
Volatility was left at 2.58%, however, over the last 30 days, the volatility rate increased by 1.99%, as shares sank -7.80% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +11.67% upper at present.
During the last 5 trading sessions, KMX fell by -0.81%, which changed the moving average for the period of 200-days by -6.00% in comparison to the 20-day moving average, which settled at $83.35. In addition, Carmax Inc saw -0.91% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at KMX starting from Lyski James, who sale 57,986 shares at the price of $81.35 back on Jan 02 ’25. After this action, Lyski James now owns 22,803 shares of Carmax Inc, valued at $4,717,161 using the latest closing price.
Lyski James, the Officer of Carmax Inc, proposed sale 57,986 shares at $81.35 during a trade that took place back on Jan 02 ’25, which means that Lyski James is holding shares at $4,717,412 based on the most recent closing price.
Stock Fundamentals for KMX
Current profitability levels for the company are sitting at:
- 0.01 for the present operating margin
- 0.11 for the gross margin
The net margin for Carmax Inc stands at 0.02. The total capital return value is set at 0.01. Equity return is now at value 7.52, with 1.69 for asset returns.
Based on Carmax Inc (KMX), the company’s capital structure generated 0.74 points at debt to capital in total, while cash flow to debt ratio is standing at 0.04. The debt to equity ratio resting at 2.84. The interest coverage ratio of the stock is 0.41.
Currently, EBITDA for the company is 1.04 billion with net debt to EBITDA at 17.04. When we switch over and look at the enterprise to sales, we see a ratio of 1.15. The receivables turnover for the company is 121.62for trailing twelve months and the total asset turnover is 0.95. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.30.
Conclusion
To wrap up, the performance of Carmax Inc (KMX) has been mixed in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
