Primecap Management Co. CA Lowers Stake in CarMax, Inc. (NYSE:KMX)

Primecap Management Co. CA reduced its position in shares of CarMax, Inc. (NYSE:KMX) by 2.4% during the 3rd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 5,283,834 shares of the company’s stock after selling 127,950 shares during the quarter. Primecap Management Co. CA owned 3.41% of CarMax worth $408,863,000 as of its most recent SEC filing.

Several other hedge funds have also modified their holdings of the company. First Pacific Advisors LP boosted its stake in shares of CarMax by 2.0% during the 2nd quarter. First Pacific Advisors LP now owns 2,386,210 shares of the company’s stock worth $175,005,000 after acquiring an additional 47,184 shares in the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of CarMax by 2.6% during the 2nd quarter. Dimensional Fund Advisors LP now owns 2,007,426 shares of the company’s stock worth $147,230,000 after acquiring an additional 51,397 shares in the last quarter. Vulcan Value Partners LLC boosted its stake in shares of CarMax by 299.7% during the 2nd quarter. Vulcan Value Partners LLC now owns 1,827,139 shares of the company’s stock worth $133,773,000 after acquiring an additional 1,369,986 shares in the last quarter. Envestnet Asset Management Inc. boosted its stake in shares of CarMax by 21.1% during the 2nd quarter. Envestnet Asset Management Inc. now owns 1,656,388 shares of the company’s stock worth $121,479,000 after acquiring an additional 288,165 shares in the last quarter. Finally, Van Lanschot Kempen Investment Management N.V. boosted its stake in shares of CarMax by 11.2% during the 2nd quarter. Van Lanschot Kempen Investment Management N.V. now owns 1,343,290 shares of the company’s stock worth $98,517,000 after acquiring an additional 134,987 shares in the last quarter.

CarMax Stock Performance

CarMax stock opened at $76.66 on Thursday. The firm has a 50 day simple moving average of $75.10 and a 200-day simple moving average of $75.62. CarMax, Inc. has a 1-year low of $62.90 and a 1-year high of $88.22. The company has a debt-to-equity ratio of 2.93, a current ratio of 2.25 and a quick ratio of 0.68. The stock has a market cap of $11.88 billion, a price-to-earnings ratio of 28.82, a price-to-earnings-growth ratio of 1.53 and a beta of 1.68.

CarMax (NYSE:KMX) last posted its quarterly earnings results on Thursday, September 26th. The company reported $0.85 earnings per share for the quarter, missing the consensus estimate of $0.86 by ($0.01). CarMax had a net margin of 1.61% and a return on equity of 6.83%. The firm had revenue of $7.01 billion during the quarter, compared to analysts’ expectations of $6.83 billion. During the same period last year, the company earned $0.75 EPS. The business’s quarterly revenue was down .9% on a year-over-year basis. On average, analysts expect that CarMax, Inc. will post 2.99 EPS for the current year.

Analysts Set New Price Targets

Several research firms recently weighed in on KMX. Oppenheimer restated an “outperform” rating and set a $105.00 price target on shares of CarMax in a research report on Friday, October 4th. Needham & Company LLC restated a “buy” rating and set a $90.00 price target on shares of CarMax in a research report on Wednesday, October 16th. JPMorgan Chase & Co. upped their price target on shares of CarMax from $55.00 to $65.00 and gave the stock an “underweight” rating in a research report on Thursday, September 19th. StockNews.com upgraded shares of CarMax to a “sell” rating in a research report on Friday, July 26th. Finally, BNP Paribas upgraded shares of CarMax to a “strong sell” rating in a research report on Friday, September 27th. Four investment analysts have rated the stock with a sell rating, four have given a hold rating and six have issued a buy rating to the company. According to data from MarketBeat.com, CarMax has an average rating of “Hold” and a consensus target price of $79.73.

CarMax 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.