CarMax Inc
KMX: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$473.00 | Sbxtxmc | Hjptjblpk |
CarMax Earnings: Affordability Struggles Continue, but Finance Arm's Expansion a Good Move Long Term
CarMax's fiscal 2025 first-quarter results show continued headwinds for consumers around used-vehicle affordability. We are lowering our fair value estimate to $123 per share from $125. The change is from lowering revenue over our five-year explicit forecast period by 2.4% to bring fiscal 2025 and fiscal 2026 projections in line with market conditions and modeling higher overhead costs as a percentage of revenue for these two years.