Research Analysts Offer Predictions for CarMax Q3 Earnings

CarMax, Inc. (NYSE:KMX) – Equities researchers at William Blair lowered their Q3 2026 earnings per share estimates for CarMax in a research report issued on Thursday, November 6th. William Blair analyst S. Zackfia now forecasts that the company will earn $0.41 per share for the quarter, down from their prior estimate of $0.76. William Blair has a “Market Perform” rating on the stock. The consensus estimate for CarMax’s current full-year earnings is $3.23 per share. William Blair also issued estimates for CarMax’s Q4 2026 earnings at $0.29 EPS, FY2026 earnings at $2.74 EPS and FY2027 earnings at $2.87 EPS.

A number of other brokerages have also recently commented on KMX. Weiss Ratings reaffirmed a “sell (d)” rating on shares of CarMax in a report on Tuesday, October 14th. Robert W. Baird cut their price objective on shares of CarMax from $90.00 to $60.00 and set an “outperform” rating for the company in a research report on Friday, September 26th. Morgan Stanley reaffirmed an “equal weight” rating and issued a $35.00 target price (down from $56.00) on shares of CarMax in a report on Monday. Mizuho cut their price target on CarMax from $78.00 to $46.00 and set a “neutral” rating for the company in a report on Thursday, October 16th. Finally, Evercore ISI reduced their price target on CarMax from $52.00 to $35.00 and set an “in-line” rating for the company in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, twelve have issued a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Reduce” and an average target price of $43.83.

CarMax Price Performance

Shares of NYSE:KMX opened at $33.34 on Monday. The company has a quick ratio of 1.06, a current ratio of 2.46 and a debt-to-equity ratio of 2.87. The stock has a market capitalization of $4.90 billion, a PE ratio of 9.78, a price-to-earnings-growth ratio of 0.81 and a beta of 1.26. The firm’s 50 day moving average price is $48.61 and its 200-day moving average price is $58.34. CarMax has a twelve month low of $30.26 and a twelve month high of $91.25.

CarMax (NYSE:KMX) last released its quarterly earnings results on Thursday, September 25th. The company reported $0.64 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.03 by ($0.39). CarMax had a net margin of 1.98% and a return on equity of 8.51%. The firm had revenue of $6.59 billion for the quarter, compared to the consensus estimate of $7.07 billion. During the same quarter in the prior year, the firm earned $0.85 earnings per share. The company’s revenue for the quarter was down 6.0% compared to the same quarter last year.

Hedge Funds Weigh In On CarMax

Large investors have recently modified their holdings of the stock. Redmond Asset Management LLC lifted its position in CarMax by 1.6% in the third quarter. Redmond Asset Management LLC now owns 52,143 shares of the company’s stock worth $2,340,000 after buying an additional 845 shares during the last quarter. TD Asset Management Inc increased its position in CarMax by 73.1% during the third quarter. TD Asset Management Inc now owns 76,431 shares of the company’s stock valued at $3,429,000 after acquiring an additional 32,289 shares during the last quarter. Greenland Capital Management LP purchased a new stake in shares of CarMax in the third quarter valued at $665,000. Inkwell Capital LLC lifted its holdings in shares of CarMax by 35.2% in the 3rd quarter. Inkwell Capital LLC now owns 64,515 shares of the company’s stock worth $2,895,000 after acquiring an additional 16,804 shares during the last quarter. Finally, Mufg Securities Americas Inc. lifted its holdings in shares of CarMax by 19.9% in the 3rd quarter. Mufg Securities Americas Inc. now owns 4,047 shares of the company’s stock worth $182,000 after acquiring an additional 671 shares during the last quarter.

CarMax Company Profile

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.