CarMax (KMX)

• Market cap: $11.8B
• 1 day: 2.48%
• 5 days: 8.63%
• 1 month: -6.14%
• 3 months: -8.17%
• 6 months: -0.50%
• Year to date: -5.28%
• 1 year: -11.55%
• 5 years: 30.54%
• 10 years: 15.35%
• Sector: Consumer Discretionary
• Industry: Auto Dealers & Gasoline Stations

About: CarMax sells, finances, and services used and new cars through a chain of around 250 used retail stores. It was formed in 1993 as a unit of Circuit City and spun off into an independent company in late 2002. Used-vehicle sales typically account for about 83% of revenue (79% in fiscal 2024 due to the chip shortage) and wholesale about 13% (19% in fiscal 2024), with the remaining portion composed of extended service plans and repair. In fiscal 2024, the company retailed and wholesaled 765,572, and 546,331 used vehicles, respectively. CarMax is the largest used-vehicle retailer in the US but still estimates that it had only about 3.7% US market share of vehicles 0-10 years old in 2023. It seeks over 5% share a few years from now. CarMax is based in Richmond, Virginia.

Employees: 29,836

Fund manager confidence

Based on 2024 Q4 regulatory filings by fund managers ($100M+ AUM)

27% more first-time investments, than exits

New positions opened: 94 | Existing positions closed: 74

22% more call options, than puts

Call options by funds: $198M | Put options by funds: $162M

11% more capital invested

Capital invested by funds: $12.4B [Q3] → $13.7B (+$1.39B) [Q4]

4% more funds holding in top 10

Funds holding in top 10: 23 [Q3] → 24 (+1) [Q4]

3.75% more ownership

Funds ownership: 103.09% [Q3] → 106.84% (+3.75%) [Q4]

1% more funds holding

Funds holding: 730 [Q3] → 734 (+4) [Q4]

12% less repeat investments, than reductions

Existing positions increased: 245 | Existing positions reduced: 278

Research analyst outlook

3 Wall Street Analysts provided 1 year price targets over the past 3 months

• Low target: $65 16% downside
• Avg. target: $90 17% upside
• High target: $105 36% upside

3 analyst ratings

• positive: 2 67%
• neutral: 0 0%
• negative: 1 33%

JP Morgan Rajat Gupta 63% 1-year accuracy 29 / 46 met price target	16% downside $65	Underweight Maintained	27 Mar 2025
Evercore ISI Group Michael Montani 71% 1-year accuracy 10 / 14 met price target	36% upside $105	Outperform Maintained	11 Mar 2025
Needham Chris Pierce 26% 1-year accuracy 19 / 73 met price target	31% upside $101	Buy Maintained	3 Feb 2025