CarMax Gets a Buy Rating from Oppenheimer


Oppenheimer analyst Brian Nagel maintained a Buy rating on CarMax (NYSE: KMX) today and set a price target of $88. The company’s shares closed yesterday at $71.05.

Nagel said:

“We look very favorably upon the better than expected Q1 (May) results that Outperform-rated CarMax (KMX) posted this morning. In Q1, used car unit comp trends improved markedly, all the while gross profits per used vehicle remained stable and key finance metrics strengthened further (see data below). We have recommended KMX as a top pick for 2018 and very much stick with our positive call on the shares. Key for investors, today’s report sets the stage for much better used car unit comps later this year, particularly as comparisons ease, and an increasingly clear path towards EPS of $5.”

According to TipRanks.com, Nagel is a 5-star analyst with an average return of 8.0% and a 65.3% success rate. Nagel covers the Services sector, focusing on stocks such as Restoration Hardware Holdings Inc, Dick’s Sporting Goods, and Advance Auto Parts.

CarMax has an analyst consensus of Strong Buy, with a price target consensus of $77.86.

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The company has a one-year high of $77.64 and a one-year low of $57.05. Currently, CarMax has an average volume of 1.81M.

Based on the recent corporate insider activity of 82 insiders, corporate insider sentiment is negative on the stock. Most recently, in April 2018, William C. Wood, the EVP & COO of KMX sold 49,714 shares for a total of $3,132,479.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

CarMax, Inc. is as a holding company, which engages in retailing of used vehicles and wholesale vehicle auction operator. It operates through the CarMax Sales Operations and CarMax Auto Finance (CAF) segment.

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