Analyst Ratings for CarMax Inc. (KMX)

Updated: 2017-07-29

Analysts covering CarMax Inc. (NYSE:KMX) have given it a consensus rating of Overweight. KMX had previously received a consensus rating of Overweight a month ago.

19 analysts issued ratings on the stock, where 9 gave KMX a buy rating, 1 gave an overweight rating, 7 issued a hold rating, 0 issued an underweight rating, and 2 gave a sell rating. Compared to three months ago, there has been an increase of 0 in the number of analysts with a positive outlook on the stock. During this time, the number of analysts bearish on the stock has increased by 0.

Many analysts weighed in on price targets for KMX. The most optimistic analyst gave a price target of 82, implying a possible profit of 22.77 percent. The minimum price target given was 49, which equates to a potential downside of -26.64 percent. One must be careful with overanalyzing price targets and ratings due to possible conflicts of interest among the analysts releasing them.

Analysts have revised their earnings estimates upwards for this quarter, by about 0.54 percent on average, compared to last month. That number becomes 2.74 percent if we expand the time horizon to include the past 3 months instead of just one. Meanwhile, fiscal year estimates have been revised upwards by 0.41 percent, compared to last month. If we look at the last 90 days instead, we find a net average change of 5.85 percent in FY estimates.

Another thing investors often look at is the level of agreement among analysts' revisions. 1 analysts made positive revisions to their quarterly estimates over the past month, while 0 analysts revised their estimates downwards. Over the same time period, 1 analysts revised their FY earnings estimates upwards, while 0 analysts made negative revisions to their fiscal year's estimates.

Analysts estimate earnings of KMX to grow at a rate of 6.65 percent. People on Wall Street often look at a company's PEG ratio. Smaller PEG ratios are desirable, because that is often interpreted as the company being fairly priced relative to its growth rate. Wall Street investors typically prefer a PEG ratio to be smaller than 1, even though it may be more relevant to compare the ratio to that of a firm's competitors. The PEG ratio of KMX is 2.87.

In the trailing 52-weeks, KMX hit 69.11 at the highest peak, while it's lowest trading point was 47.50. The current market price is above the trailing year's low by 40.61 percent, and below the high by 3.36 percent. KMX has a P/E ratio of 19.08. Investors typically compare the P/E ratio to a company's peers in the industry. The KMX value stock report compares KMX to some of its peers using value stock charts. The stock has a market capitalization of $12.18 billion. KMX will post this quarters earnings in days, on 0000-00-00.