Carmax Inc Stock Alpha and Beta Analysis
| KMX Stock | USD 88.90 1.30 1.48% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as CarMax Inc. It also helps investors analyze the systematic and unsystematic risks associated with investing in CarMax over a specified time horizon. Remember, high CarMax's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to CarMax's market risk premium analysis include:
Beta 1.26 | Alpha 0.25 | Risk 1.84 | Sharpe Ratio 0.15 | Expected Return 0.27 |
CarMax Quarterly Cash And Equivalents |
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Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
CarMax |
CarMax Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. CarMax market risk premium is the additional return an investor will receive from holding CarMax long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in CarMax. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate CarMax's performance over market.| α | 0.25 | β | 1.26 |
CarMax expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of CarMax's Buy-and-hold return. Our buy-and-hold chart shows how CarMax performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.CarMax Market Price Analysis
Market price analysis indicators help investors to evaluate how CarMax stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading CarMax shares will generate the highest return on investment. By understating and applying CarMax stock market price indicators, traders can identify CarMax position entry and exit signals to maximize returns.
CarMax Return and Market Media
The median price of CarMax for the period between Wed, Nov 20, 2024 and Tue, Feb 18, 2025 is 83.77 with a coefficient of variation of 4.19. The daily time series for the period is distributed with a sample standard deviation of 3.46, arithmetic mean of 82.67, and mean deviation of 2.97. The Stock received a lot of media exposure during the period. Price Growth (%) |
| Timeline |
1 | Disposition of 7600 shares by Jon Daniels of CarMax at 84.0 subject to Rule 16b-3 | 12/23/2024 |
2 | Disposition of 12845 shares by Shamim Mohammad of CarMax at 63.04 subject to Rule 16b-3 | 01/08/2025 |
3 | Disposition of 13009 shares by Jill Livesay of CarMax at 63.04 subject to Rule 16b-3 | 01/15/2025 |
4 | Disposition of 19673 shares by Stuckey John M Iii of CarMax at 82.01 subject to Rule 16b-3 | 01/24/2025 |
5 | 2 Soaring Growth Stocks That Are Priced for Perfection | 01/27/2025 |
6 | Madison Mid Cap Fund Sold its Investment in CarMax | 01/30/2025 |
7 | Free Zoo Admission Special Delivery On I-15 Saturday Smiles | 01/31/2025 |
8 | Needham Company LLC Forecasts Strong Price Appreciation for CarMax Stock | 02/04/2025 |
9 | CarMax Inc Announces Nationwide Hiring Events for Automotive Technicians | 02/06/2025 |
10 | Harvey Investment Co. LLC Sells 1,485 Shares of CarMax, Inc. | 02/07/2025 |
11 | CarMax Reevaluating Plans For Car Auction Site Report | 02/10/2025 |
12 | CEO CarMax focused on customer experience | 02/12/2025 |
13 | Sonic Automotive Inc Q4 2024 Earnings Call Highlights Record Revenue and Strategic ... | 02/13/2025 |
About CarMax Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including CarMax or other stocks. Alpha measures the amount that position in CarMax Inc has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
| 2024 | 2025 (projected) | Dividend Yield | 0.0165 | 0.0146 | Price To Sales Ratio | 0.42 | 0.48 |
CarMax Upcoming Company Events
As portrayed in its financial statements, the presentation of CarMax's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, CarMax's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of CarMax's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of CarMax. Please utilize our Beneish M Score to check the likelihood of CarMax's management manipulating its earnings.
| 9th of April 2024 Upcoming Quarterly Report | View | |
| 28th of June 2024 Next Financial Report | View | |
| 29th of February 2024 Next Fiscal Quarter End | View | |
| 9th of April 2024 Next Fiscal Year End | View | |
| 30th of November 2023 Last Quarter Report | View | |
| 28th of February 2023 Last Financial Announcement | View |
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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.