Stephens Upgrades CarMax (NYSE:KMX) to Overweight

Stephens upgraded shares of CarMax (NYSE:KMX) from an equal weight rating to an overweight rating in a research report sent to investors on Wednesday morning, Marketbeat.com reports. The brokerage currently has $90.00 price objective on the stock, up from their previous price objective of $86.00.

Several other brokerages have also recently weighed in on KMX. Needham & Company LLC boosted their target price on CarMax from $98.00 to $101.00 and gave the stock a “buy” rating in a report on Monday, February 3rd. Truist Financial boosted their price objective on CarMax from $72.00 to $88.00 and gave the stock a “hold” rating in a research note on Friday, December 20th. StockNews.com upgraded CarMax from a “sell” rating to a “hold” rating in a report on Friday, December 20th. Mizuho lifted their price target on CarMax from $72.00 to $80.00 and gave the stock a “neutral” rating in a report on Friday, December 20th. Finally, JPMorgan Chase & Co. upped their price objective on shares of CarMax from $70.00 to $72.00 and gave the company an “underweight” rating in a report on Friday, December 20th. Two research analysts have rated the stock with a sell rating, four have given a hold rating and eight have issued a buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $90.82.

CarMax Stock Performance

KMX opened at $75.00 on Wednesday. CarMax has a twelve month low of $65.83 and a twelve month high of $91.25. The firm has a market capitalization of $11.53 billion, a PE ratio of 25.42, a PEG ratio of 1.67 and a beta of 1.76. The company has a current ratio of 2.30, a quick ratio of 0.55 and a debt-to-equity ratio of 2.92. The firm’s 50-day moving average price is $80.56 and its 200 day moving average price is $79.34.

Insider Buying and Selling at CarMax

In related news, EVP James Lyski sold 57,986 shares of the firm’s stock in a transaction dated Thursday, January 2nd. The stock was sold at an average price of $81.35, for a total transaction of $4,717,161.10. Following the completion of the transaction, the executive vice president now directly owns 22,803 shares in the company, valued at $1,855,024.05. This trade represents a 71.77 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Enrique N. Mayor-Mora sold 5,000 shares of CarMax stock in a transaction dated Wednesday, January 15th. The shares were sold at an average price of $81.43, for a total value of $407,150.00. Following the completion of the transaction, the chief financial officer now directly owns 20,260 shares of the company’s stock, valued at approximately $1,649,771.80. This represents a 19.79 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 93,709 shares of company stock worth $7,642,379 over the last three months. Insiders own 1.66% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in KMX. Principal Financial Group Inc. increased its stake in CarMax by 3.4% during the 4th quarter. Principal Financial Group Inc. now owns 8,591,297 shares of the company’s stock worth $702,425,000 after buying an additional 282,519 shares during the period. Kovitz Investment Group Partners LLC grew its stake in shares of CarMax by 348.0% in the fourth quarter. Kovitz Investment Group Partners LLC now owns 6,595,067 shares of the company’s stock worth $539,213,000 after acquiring an additional 5,122,850 shares in the last quarter. State Street Corp grew its stake in shares of CarMax by 0.6% in 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 in the last quarter. Norges Bank purchased a new stake in shares of CarMax during the fourth quarter worth $423,187,000. Finally, Janus Henderson Group PLC raised its stake in shares of CarMax by 0.6% in 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 in the last quarter.

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.