Carmax Inc
NYSE:KMX
Intrinsic Value
CarMax, Inc. is a holding company, which engages in the retail of used vehicles and wholesale of vehicle auction operators. [ Read More ]
The intrinsic value of one KMX stock under the Base Case scenario is 79.67 USD. Compared to the current market price of 79.83 USD, Carmax Inc is Fairly Valued.
Valuation Backtest
Carmax Inc
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Fundamental Analysis
CarMax Q3 FY24 Earnings Narration
2024-Q3 Earnings Call
In Q3 FY24, CarMax's total sales decreased by 5% year-over-year to $6.1 billion. Retail unit sales dipped by 2.9%, and used unit comps fell 4.1%, while wholesale unit sales grew by 7.7%. The retail and wholesale segments faced price drops, contributing to the overall revenue decline. Despite these challenges, gross profit per used unit remained stable at $2,277, and wholesale gross profit per unit was in line with the previous year at $961. CarMax also increased its vehicle sourcing from consumers by 5%, maintaining a self-sufficiency rate above 70%. For the rest of FY24, they anticipate margins per unit in both retail and wholesale to be similar to the previous year. Online sales climbed to 31% of total revenue, and CarMax Auto Finance reported a slight drop in income to $149 million compared to $152 million last year.
Balance Sheet Decomposition
Carmax Inc
Current Assets | 5.1B |
Cash & Short-Term Investments | 605.4m |
Receivables | 212.4m |
Other Current Assets | 4.3B |
Non-Current Assets | 22.1B |
PP&E | 4.2B |
Intangibles | 141.3m |
Other Non-Current Assets | 17.8B |
Current Liabilities | 2.1B |
Accounts Payable | 762.6m |
Accrued Liabilities | 530.3m |
Other Current Liabilities | 790.3m |
Non-Current Liabilities | 19B |
Long-Term Debt | 18.4B |
Other Non-Current Liabilities | 679.9m |
Earnings Waterfall
Carmax Inc
Revenue
|
26.6B
USD
|
Cost of Revenue
|
-23.9B
USD
|
Gross Profit
|
2.7B
USD
|
Operating Expenses
|
-2.5B
USD
|
Operating Income
|
235.9m
USD
|
Other Expenses
|
262.1m
USD
|
Net Income
|
497.9m
USD
|
Free Cash Flow Analysis
Carmax Inc
What is Free Cash Flow?
KMX Profitability Score
Profitability Due Diligence
Carmax Inc's profitability score is 45/100. The higher the profitability score, the more profitable the company is.
Score
Carmax Inc's profitability score is 45/100. The higher the profitability score, the more profitable the company is.
KMX Solvency Score
Solvency Due Diligence
Carmax Inc's solvency score is 40/100. The higher the solvency score, the more solvent the company is.
Score
Carmax Inc's solvency score is 40/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
KMX Price Targets Summary
Carmax Inc
According to Wall Street analysts, the average 1-year price target for KMX is 79.62 USD with a low forecast of 50.5 USD and a high forecast of 110.25 USD.
Ownership
KMX Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
KMX Price
Carmax Inc
Average Annual Return | 9.57% |
Standard Deviation of Annual Returns | 45.48% |
Max Drawdown | -64% |
Market Capitalization | 12.6B USD |
Shares Outstanding | 157 920 992 |
Percentage of Shares Shorted | 12.11% |
KMX News
Last Important Events
Carmax Inc
Significant happenings or occurrences that are of interest to investors. These could be company-specific developments or market-wide shifts.
Sentiment Analysis
Carmax Inc
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
CarMax, Inc. is a holding company, which engages in the retail of used vehicles and wholesale of vehicle auction operators. The company is headquartered in Richmond, Virginia and currently employs 32,647 full-time employees. CarMax is a retailer of used vehicles. The firm operates through two segments: CarMax Sales Operations and CarMax Auto Finance (CAF). The firm's CarMax Sales Operations segment consists of all aspects of its auto merchandising and service operations, excluding financing provided by CAF. CarMax's CAF segment consists of its own finance operation that provides vehicle financing through CarMax stores. CarMax operates approximately 225 used car stores in over 106 United States television markets. The firm's products and services include retail merchandising, wholesale auctions, extended protection plans (EPPs), reconditioning and service, and customer credit. The firm's CarMax Sales Operations segment sells used vehicles, purchases used vehicles from customers and other sources, sells related products and services, and arranges financing options for customers. CAF operates in the auto finance sector of the consumer finance market.
Contact
IPO
Employees
Officers
The intrinsic value of one KMX stock under the Base Case scenario is 79.67 USD.
Compared to the current market price of 79.83 USD, Carmax Inc is Fairly Valued.