Home 
Today's Top Picks 
Top Performers 
Watchlist 
My Robo Portfolios 
ETF Zone 
Help & Tutorial 
Cancel anytime
- Chart
- Upturn Summary
- Highlights
- Revenue
- Valuation
Upturn AI SWOT - About
KMX 
CarMax Inc (KMX)
- BUY Advisory
- SELL Advisory (Profit)
- SELL Advisory (Loss)
- Profit
- Loss
- Pass (Skip investing)
Stock price based on last close (see disclosures)
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
09/16/2025: KMX (1-star) is currently NOT-A-BUY. Pass it for now.
Upturn Star Rating
Not Recommended Performance
These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.
Number of Analysts
19 Analysts rated it
Moderately tracked stock, growing coverage, gaining market and investor attention.
1 Year Target Price $81
1 Year Target Price $81
| 8 | Strong Buy |
| 4 | Buy |
| 4 | Hold |
| 3 | Sell |
| 0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -29.75% | Avg. Invested days 28 | Today’s Advisory PASS |
Upturn Star Rating | Upturn Advisory Performance  2.0 | Stock Returns Performance  1.0 |
| Profits based on simulation | Last Close 09/16/2025 |
Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 9.07B USD | Price to earnings Ratio 16.51 | 1Y Target Price 81 |
Price to earnings Ratio 16.51 | 1Y Target Price 81 | ||
Volume (30-day avg) 19 | Beta 1.35 | 52 Weeks Range 54.53 - 91.25 | Updated Date 09/15/2025 |
52 Weeks Range 54.53 - 91.25 | Updated Date 09/15/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 3.66 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 1.95% | Operating Margin (TTM) 3.86% |
Management Effectiveness
Return on Assets (TTM) 1.97% | Return on Equity (TTM) 8.97% |
Valuation
Trailing PE 16.51 | Forward PE 15.55 | Enterprise Value 27992141525 | Price to Sales(TTM) 0.32 |
Enterprise Value 27992141525 | Price to Sales(TTM) 0.32 | ||
Enterprise Value to Revenue 1.04 | Enterprise Value to EBITDA 14.48 | Shares Outstanding 150072000 | Shares Floating 149227246 |
Shares Outstanding 150072000 | Shares Floating 149227246 | ||
Percent Insiders 0.41 | Percent Institutions 108.68 |
Upturn AI SWOT
CarMax Inc
Company Overview
History and Background
CarMax Inc. was founded in 1993 as a division of Circuit City Stores, Inc., and spun off as a separate company in 2002. It pioneered the concept of a no-haggle, fixed-price used car buying experience. Over time, CarMax has expanded its services to include financing, service, and new car sales at select locations.
Core Business Areas
- Used Vehicle Sales: CarMax's primary business segment involves buying, reconditioning, and selling used vehicles through its retail locations and online platform.
- Wholesale Auctions: Vehicles not meeting CarMax's retail standards are sold through wholesale auctions to licensed dealers.
- New Vehicle Sales: Some CarMax locations sell new vehicles through franchise agreements with manufacturers.
- Service Operations: CarMax provides vehicle repair and maintenance services to its customers.
- Auto Finance: CarMax offers financing options to customers through CarMax Auto Finance (CAF).
Leadership and Structure
Bill Nash is the current President and CEO of CarMax. The company operates with a hierarchical structure, with regional vice presidents overseeing store operations and functional departments managing areas like marketing, finance, and technology.
Top Products and Market Share
Key Offerings
- Used Vehicles: CarMax offers a wide variety of used vehicles. The used car market is highly fragmented, and CarMax holds a relatively small but significant market share. Competitors include AutoNation, Group 1 Automotive, and online platforms like Carvana and Vroom. While specifics on the market share vary each year, CarMax is an industry leader. Their revenue comes primarily from used car sales.
- Auto Finance: CarMax Auto Finance (CAF) provides financing to customers purchasing vehicles. CAF contributes significantly to CarMax's overall profitability by generating interest income on auto loans. Competitors include traditional banks, credit unions, and other captive finance companies (e.g., Toyota Financial Services, Ford Credit).
Market Dynamics
Industry Overview
The used car market is large and highly fragmented, characterized by a mix of national chains, independent dealerships, and online platforms. Demand is influenced by factors such as economic conditions, consumer confidence, and vehicle affordability.
Positioning
CarMax positions itself as a trusted and transparent retailer of used vehicles, offering a customer-friendly experience with no-haggle pricing and a wide selection of vehicles. Its competitive advantages include its brand reputation, national footprint, and integrated financing capabilities.
Total Addressable Market (TAM)
The total addressable market for used cars in the US is estimated to be hundreds of billions of dollars annually. CarMax is well-positioned to capture a larger share of this market through continued expansion, online initiatives, and a focus on customer satisfaction.
Upturn SWOT Analysis
Strengths
- Strong brand reputation
- No-haggle pricing model
- National footprint
- Integrated financing capabilities (CAF)
- Extensive inventory
- Superior customer service
Weaknesses
- Relatively higher prices compared to some independent dealers
- Dependence on used vehicle inventory
- Exposure to economic cycles
- Subprime lending risks (CAF)
Opportunities
- Expansion into new markets
- Growth of online sales platform
- Increased demand for used vehicles
- Partnerships with manufacturers
- Growth of electric vehicles
- Expanding service offerings
Threats
- Economic downturns
- Increased competition from online retailers
- Changes in consumer preferences
- Rising interest rates
- Disruptive technologies (e.g., autonomous vehicles)
- Fluctuations in used car prices
Competitors and Market Share
Key Competitors
- AN
- GP1
- CVNA
Competitive Landscape
CarMax differentiates itself through its brand, customer service, and integrated financing. Competitors offer varying levels of service and price points. Online retailers are increasing competition but CarMax has strong market share.
Major Acquisitions
Edmunds.com
- Year: 2021
- Acquisition Price (USD millions): 404
- Strategic Rationale: Strengthen CarMax's digital platform and enhance the online car buying experience.
Growth Trajectory and Initiatives
Historical Growth: CarMax has experienced consistent growth in revenue and store count over the past decade, driven by expansion into new markets and increasing demand for used vehicles.
Future Projections: Analyst projections suggest continued growth for CarMax, driven by its online initiatives, expansion plans, and brand strength. Specific growth rates vary depending on market conditions.
Recent Initiatives: Recent initiatives include expanding its online platform, enhancing its customer experience, and investing in technology to improve efficiency and profitability.
Summary
CarMax is a strong player in the used car market, benefiting from its established brand, no-haggle pricing, and integrated financing. The company is investing in its online platform to compete with digital-first retailers. However, CarMax must navigate economic cycles and increasing competition from online players. Monitoring interest rates and inventory is also key for the long term.
Peer Comparison
Sources and Disclaimers
Data Sources:
- CarMax Inc. Investor Relations
- SEC Filings
- Industry Reports
- Analyst Reports
- Company Website
Disclaimers:
The data and analysis provided are for informational purposes only and should not be considered financial advice. Market conditions and company performance can change, and past performance is not indicative of future results. Market share estimates are approximate and may vary across sources.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About CarMax Inc
Exchange NYSE | Headquaters Richmond, VA, United States | ||
IPO Launch date 1997-02-04 | President, CEO & Director Mr. William D. Nash CPA | ||
Sector Consumer Cyclical | Industry Auto & Truck Dealerships | Full time employees 30000 | Website https://www.carmax.com |
Full time employees 30000 | Website https://www.carmax.com | ||
CarMax, Inc., through its subsidiaries, operates as a retailer of used vehicles and related products in the United States. The company 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. The CarMax Auto Finance segment provides financing alternatives for retail customers across a range of credit spectrum and arrangements with various financial institutions. The company was founded in 1993 and is based in Richmond, Virginia.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.