October 14, 2025 a 07:43 am
KMX: Fundamental Ratio Analysis - CarMax, Inc.
CarMax, Inc. is a key player in the used vehicle retail industry, with diverse offerings ranging from domestic and luxury vehicles to hybrid models. The company's well-rounded approach, including financing alternatives, positions it as a versatile choice in the auto dealership sector. As of early 2025, CarMax maintains a robust presence with approximately 230 stores across the U.S.
Fundamental Rating
The current fundamental rating for CarMax, Inc. reflects moderate financial health and performance, attributed to various metrics.
| Category | Score | Visual |
|---|---|---|
| Discounted Cash Flow | 1 | |
| Return on Equity | 3 | |
| Return on Assets | 4 | |
| Debt to Equity | 1 | |
| Price to Earnings | 3 | |
| Price to Book | 3 |
Historical Rating
Comparing the current and past performance to analyze trends in financial health.
| Date | Overall | DCF | ROE | ROA | Debt/Equity | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 2025-10-13 | 3 | 1 | 3 | 4 | 1 | 3 | 3 |
| Past | 0 | 1 | 3 | 4 | 1 | 3 | 3 |
Analyst Price Targets
Analysts have provided the following price targets based on market expectations and the company's potential.
| High | Low | Median | Consensus |
|---|---|---|---|
| 60 | 42 | 55.5 | 53.33 |
Analyst Sentiment
The consensus among analysts shows a tendency towards holding the stock, with varying recommendations.
| Recommendation | Number | Visual |
|---|---|---|
| Strong Buy | 1 | |
| Buy | 14 | |
| Hold | 17 | |
| Sell | 2 | |
| Strong Sell | 0 |
Conclusion
CarMax, Inc. shows stable performance metrics and a neutral market sentiment, with room for growth based on its business model. While it's scoring moderately in key financial metrics like ROA and P/E, analysts are cautious, reflecting a 'Hold' consensus. With a broad footprint in the used vehicle market and a diverse automotive portfolio, the company could weather industry fluctuations. Potential investors should weigh current valuations against future recovery prospects in the automotive retail sector.