Zacks Research Issues Negative Forecast for CarMax Earnings

Posted by Brian Himes on Sep 18th, 2026

CarMax, Inc. (NYSE:KMX – Free Report) – Equities research analysts at Zacks Research decreased their Q2 2027 earnings per share (EPS) estimates for CarMax in a research report issued to clients and investors on Thursday, September 17th. Zacks Research analyst Team now forecasts that the company will post earnings per share of $0.57 for the quarter, down from their previous forecast of $0.60. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for CarMax’s current full-year earnings is $2.72 per share. Zacks Research also issued estimates for CarMax’s Q3 2027 earnings at $0.40 EPS, Q4 2027 earnings at $0.27 EPS and FY2027 earnings at $2.54 EPS.

CarMax (NYSE:KMX – Get Free Report) last released its quarterly earnings results on Wednesday, June 17th. The company reported $1.31 EPS for the quarter, topping the consensus estimate of $0.96 by $0.35. CarMax had a return on equity of 6.64% and a net margin of 0.84%.The business had revenue of $8.01 billion for the quarter, compared to analysts’ expectations of $7.42 billion. During the same quarter in the previous year, the firm posted $1.38 earnings per share. The company’s revenue was up 6.2% compared to the same quarter last year.

A number of other research firms also recently weighed in on KMX. Barclays raised shares of CarMax from an “underweight” rating to an “equal weight” rating and raised their price target for the stock from $37.00 to $61.00 in a research report on Tuesday, July 21st. Mizuho increased their price target on shares of CarMax from $38.00 to $43.00 and gave the stock a “neutral” rating in a research report on Thursday, June 18th. Stephens upgraded CarMax from an “equal weight” rating to an “overweight” rating and set a $66.00 price objective on the stock in a research note on Thursday, June 18th. JPMorgan Chase & Co. raised CarMax from an “underweight” rating to a “neutral” rating and upped their price target for the company from $38.00 to $60.00 in a research report on Wednesday, July 29th. Finally, Bank of America increased their target price on shares of CarMax from $40.00 to $45.00 and gave the stock an “underperform” rating in a report on Wednesday, June 17th. Two research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Reduce” and a consensus price target of $51.00.

Read Our Latest Stock Analysis on CarMax

CarMax Price Performance

KMX stock opened at $58.41 on Friday. The company has a quick ratio of 0.82, a current ratio of 2.70 and a debt-to-equity ratio of 2.87. CarMax has a 52-week low of $30.26 and a 52-week high of $65.28. The stock’s 50 day moving average is $59.43 and its two-hundred day moving average is $49.34. The company has a market capitalization of $8.29 billion, a PE ratio of 38.17, a P/E/G ratio of 2.71 and a beta of 1.17.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of KMX. Anchor Investment Management LLC acquired a new stake in CarMax in the second quarter worth about $37,000. The Manufacturers Life Insurance Company raised its position in shares of CarMax by 0.9% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 2,420,139 shares of the company’s stock worth $128,001,000 after buying an additional 21,882 shares in the last quarter. Capstone Financial Advisors Inc. lifted its stake in shares of CarMax by 5.6% in the 2nd quarter. Capstone Financial Advisors Inc. now owns 9,500 shares of the company’s stock worth $502,000 after acquiring an additional 500 shares during the period. WINTON GROUP Ltd lifted its stake in shares of CarMax by 181.0% in the 2nd quarter. WINTON GROUP Ltd now owns 38,780 shares of the company’s stock worth $2,051,000 after acquiring an additional 24,977 shares during the period. Finally, Engineers Gate Manager LP bought a new position in shares of CarMax in the second quarter valued at approximately $3,531,000.

Insider Buying and Selling at CarMax

In other CarMax news, Director Sona Chawla acquired 2,000 shares of CarMax stock in a transaction dated Thursday, June 25th. The stock was acquired at an average cost of $53.39 per share, for a total transaction of $106,780.00. Following the completion of the transaction, the director owned 21,702 shares in the company, valued at approximately $1,158,669.78. This represents a 10.15% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Peter J. Bensen bought 2,500 shares of the stock in a transaction that occurred on Monday, June 22nd. The stock was acquired at an average price of $52.20 per share, for a total transaction of $130,500.00. Following the completion of the transaction, the director owned 24,796 shares in the company, valued at $1,294,351.20. This trade represents a 11.21% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders bought 13,900 shares of company stock valued at $735,574 in the last ninety days. Company insiders own 1.01% of the company’s stock.

About CarMax

(Get Free Report)

CarMax, Inc is a specialty retailer of used vehicles and one of the largest automotive retailers in the United States. The company sells a broad selection of used cars, trucks and sport utility vehicles through its retail locations and online platform. CarMax also purchases vehicles from consumers and other sources, providing customers with a streamlined alternative to traditional private-party sales.

In addition to retail sales, CarMax operates wholesale vehicle auctions for vehicles that do not meet its retail standards or business requirements.