Carmax Inc Stock Buy Hold or Sell Recommendation
| KMX Stock | USD 83.97 0.62 0.73% |
Considering the 90-day investment horizon and your way above-average risk tolerance, our recommendation regarding CarMax Inc is 'Strong Hold'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell CarMax Inc given historical horizon and risk tolerance towards CarMax. When Macroaxis issues a 'buy' or 'sell' recommendation for CarMax Inc, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out CarMax Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as CarMax and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards CarMax Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.
CarMax |
Execute CarMax Buy or Sell Advice
The CarMax recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on CarMax Inc. Macroaxis does not own or have any residual interests in CarMax Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute CarMax's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Poor | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
CarMax Trading Alerts and Improvement Suggestions
| CarMax Inc has a poor financial position based on the latest SEC disclosures | |
| Over 100.0% of the company shares are owned by institutional investors | |
| Latest headline from finance.yahoo.com: Want to boost employee morale and productivity Ramp up volunteering |
CarMax Returns Distribution Density
The distribution of CarMax's historical returns is an attempt to chart the uncertainty of CarMax's future price movements. The chart of the probability distribution of CarMax daily returns describes the distribution of returns around its average expected value. We use CarMax Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of CarMax returns is essential to provide solid investment advice for CarMax.
| Mean Return | 0.02 | Value At Risk | -3.24 | Potential Upside | 4.14 | Standard Deviation | 1.92 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of CarMax historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
CarMax Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument, such as CarMax, soars without any apparent reason? This usually happens because many institutional investors are aggressively trading CarMax Inc back and forth among themselves.
| Shares | Fiduciary Management, Inc. Of Milwaukee | 2024-09-30 | 2.9 M | Baird Financial Group, Inc. | 2024-09-30 | 2.8 M | Turtle Creek Asset Management Inc. | 2024-09-30 | 2.5 M | London Company Of Virginia | 2024-06-30 | 2.4 M | First Pacific Advisors, Lp | 2024-09-30 | 2.4 M | Dimensional Fund Advisors, Inc. | 2024-09-30 | 2 M | Cooke & Bieler Lp | 2024-09-30 | 1.9 M | Wellington Management Company Llp | 2024-06-30 | 1.9 M | Ruane, Cunniff & Goldfarb L.p. | 2024-09-30 | 1.8 M | Vanguard Group Inc | 2024-09-30 | 18.2 M | Blackrock Inc | 2024-06-30 | 11.2 M |
CarMax Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to CarMax or Specialty Retail sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that CarMax's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a CarMax stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.14 | |
β | Beta against Dow Jones | 1.35 | |
σ | Overall volatility | 1.93 | |
Ir | Information ratio | -0.05 |
CarMax Volatility Alert
CarMax Inc has relatively low volatility with skewness of 0.51 and kurtosis of 0.7. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure CarMax's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact CarMax's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.CarMax Fundamentals Vs Peers
Comparing CarMax's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze CarMax's direct or indirect competition across all of the common fundamentals between CarMax and the related equities. This way, we can detect undervalued stocks with similar characteristics as CarMax or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of CarMax's fundamental indicators could also be used in its relative valuation, which is a method of valuing CarMax by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare CarMax to competition |
| Fundamentals | CarMax | Peer Average |
| Return On Equity | 0.0685 | -0.31 |
| Return On Asset | 0.0154 | -0.14 |
| Profit Margin | 0.02 % | (1.27) % |
| Operating Margin | 0.03 % | (5.51) % |
| Current Valuation | 31.79 B | 16.62 B |
| Shares Outstanding | 154.92 M | 571.82 M |
| Shares Owned By Insiders | 0.35 % | 10.09 % |
| Shares Owned By Institutions | 99.65 % | 39.21 % |
| Number Of Shares Shorted | 15.58 M | 4.71 M |
| Price To Earning | 14.73 X | 28.72 X |
| Price To Book | 2.12 X | 9.51 X |
| Price To Sales | 0.47 X | 11.42 X |
| Revenue | 26.54 B | 9.43 B |
| Gross Profit | 2.8 B | 27.38 B |
| EBITDA | 1.04 B | 3.9 B |
| Net Income | 479.2 M | 570.98 M |
| Cash And Equivalents | 102.72 M | 2.7 B |
| Cash Per Share | 0.36 X | 5.01 X |
| Total Debt | 19.53 B | 5.32 B |
| Debt To Equity | 3.59 % | 48.70 % |
| Current Ratio | 2.75 X | 2.16 X |
| Book Value Per Share | 39.78 X | 1.93 K |
| Cash Flow From Operations | 458.62 M | 971.22 M |
| Short Ratio | 10.65 X | 4.00 X |
| Earnings Per Share | 2.66 X | 3.12 X |
| Price To Earnings To Growth | 1.03 X | 4.89 X |
| Target Price | 82.42 | |
| Number Of Employees | 30 K | 18.84 K |
| Beta | 1.69 | -0.15 |
| Market Capitalization | 13.11 B | 19.03 B |
| Total Asset | 27.2 B | 29.47 B |
| Retained Earnings | 4.13 B | 9.33 B |
| Working Capital | 2.91 B | 1.48 B |
Note: Disposition of 642 shares by Shamim Mohammad of CarMax at 68.71 subject to Rule 16b-3 [view details]
CarMax Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as CarMax . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 12872.37 | |||
| Daily Balance Of Power | (0.46) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 84.63 | |||
| Day Typical Price | 84.41 | |||
| Price Action Indicator | (0.97) | |||
| Period Momentum Indicator | (0.62) | |||
| Relative Strength Index | 62.27 |
About CarMax Buy or Sell Advice
When is the right time to buy or sell CarMax Inc? Buying financial instruments such as CarMax Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having CarMax in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Publicly traded companies that are involved in real estate development, property maintenance and management of real estate investment trusts (REIT) funds. The Real Estate theme has 42 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Real Estate Theme or any other thematic opportunities.
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Additional Tools for CarMax Stock Analysis
When running CarMax's price analysis, check to measure CarMax's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CarMax is operating at the current time. Most of CarMax's value examination focuses on studying past and present price action to predict the probability of CarMax's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CarMax's price. Additionally, you may evaluate how the addition of CarMax to your portfolios can decrease your overall portfolio volatility.