- Market Overview
- Futures
- Options
- Charts
- Custom Charts
- Spread Charts
- Market Heat Maps
- Historical Data
- Stocks
- Real-Time Markets
- Site Register
- Mobile Website
- Trading Calendar
- Futures 101
- Commodity Symbols
- Real-Time Quotes
- CME Hedging Resource Center
- Farmer's Almanac
- USDA Reports
Here's What to Expect From CarMax’s Next Earnings Report
/Carmax%20Inc%20storefront%20by-jetcityimage%20via%20iStock.jpg)
With a market cap of $12.1 billion, CarMax, Inc. (KMX) is the largest used-car retailer in the United States. It was founded in 1993 and is renowned for transforming the pre-owned vehicle market with its no-haggle pricing and customer-centric approach. The Richmond, Virginia-based company is scheduled to release its Q4 earnings report on Thursday, April 10.
Ahead of this event, analysts expect CarMax to report a profit of $0.64 per share, up 100% from $0.32 per share in the year-ago quarter. The company has missed Wall Street's bottom-line estimates in three of the past four quarters while beating on another occasion. Driven by solid demand and stable vehicle valuation, it reported an EPS of $0.81 in the previous quarter, which exceeded the consensus estimate by 30.7%.
For FY2025, analysts expect the company to report EPS of $3.27, up 8.3% from $3.02 in fiscal 2024. Looking further, its EPS is predicted to rise 16.8% annually to $3.82 in FY2026.
Over the past year, KMX has dwindled 1,2%, trailing behind the broader S&P 500 Index's ($SPX) nearly 8.9% rise and the Consumer Discretionary Select Sector SPDR Fund’s (XLY) 13.1% gains over the same time frame.
KMX has lagged the broader market due to declining used car prices, which have pressured profit margins despite higher sales volume. Elevated interest rates and inflation have also made vehicle financing less affordable, dampening demand.
However, things are looking up for the stock as it gained more than 2% on Mar. 27 amid speculation that the newly imposed 25% tariff on U.S. auto imports could steer more consumers toward the used car market. With new vehicle prices expected to rise, buyers may opt for pre-owned options or extend the lifespan of their current cars, creating a potential tailwind for CarMax’s sales and financing business.
Analysts' consensus rating on CarMax stock is cautiously optimistic, with a "Moderate Buy" rating overall. Among 17 analysts covering the stock, opinions include seven "Strong Buys," three "Moderate Buys," four "Holds," one "Moderate Sell," and two "Strong Sell."
KMX’s mean price of $87.57 implies a premium of 5.8% from its prevailing price level.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.