
CarMax (KMX) Stock Forecast & Price Target
CarMax (KMX) Analyst Ratings
Bulls say
CarMax reported an increase in sales of older, higher mileage vehicles, which grew from 35% to 40% of total sales year-over-year, indicating a strengthening demand in this segment. The company’s continued focus on enhancing advertising efforts aims to further drive sales awareness and support the anticipated increase in revenue, alongside a projected total revenue of $5.7 billion for the fourth quarter of fiscal 2026, reflecting a slight upward revision from previous estimates. Additionally, CarMax's CAF income rose by 9.3% year-over-year, demonstrating effective management of financial services and solid performance in vehicle sales, which collectively contribute to a positive outlook for the stock.
Bears say
CarMax experienced a decline in retail unit sales, with a -8.0% year-over-year decrease in retail units and a -9% drop in used unit comps, which was worse than the company's preliminary guidance. Despite retail average selling prices (ASP) being slightly higher than expectations at $26.4K, the retail gross profit per unit fell by -3% year-over-year to $2.2K, indicating pressures on profitability. Additionally, the company reported a 7% year-over-year decline in 3Q retail sales, amounting to $4.5 billion, while its gross profit from wholesale operations declined significantly by 11.4%.
This aggregate rating is based on analysts' research of CarMax and is not a guaranteed prediction by Public.com or investment advice.
CarMax (KMX) Analyst Forecast & Price Prediction
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