CarMax Valuation
| XA4 Stock | 63.18 3.82 5.70% |
At this time, the firm appears to be undervalued. CarMax Inc shows a prevailing Real Value of USD68.66 per share. The current price of the firm is USD63.18. Our model approximates the value of CarMax Inc from analyzing the firm fundamentals such as Current Valuation of 28.39 B, ebitda of 2.09 B, and Price To Sales of 0.32 X as well as examining its technical indicators and probability of bankruptcy.
Undervalued
Today
Please note that CarMax's price fluctuation is very steady at this time. Calculation of the real value of CarMax Inc is based on 3 months time horizon. Increasing CarMax's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
CarMax's intrinsic value may or may not be the same as its current market price of 63.18, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 63.18 | Real 68.66 | Hype 63.18 |
The intrinsic value of CarMax's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence CarMax's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of CarMax Inc helps investors to forecast how CarMax stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of CarMax more accurately as focusing exclusively on CarMax's fundamentals will not take into account other important factors: CarMax Total Value Analysis
CarMax Inc is at this time anticipated to have takeover price of 28.39 B with market capitalization of 21.46 B, debt of 18.18 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the CarMax fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
28.39 B | 21.46 B | 18.18 B |
CarMax Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The newest return on assets of CarMax implies not a very effective usage of assets in March.CarMax Profitability Analysis
The company reported the revenue of 31.9 B. Net Income was 1.15 B with profit before overhead, payroll, taxes, and interest of 0.About CarMax Valuation
The stock valuation mechanism determines CarMax's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of CarMax Inc based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of CarMax. We calculate exposure to CarMax's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of CarMax's related companies.8 Steps to conduct CarMax's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates CarMax's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct CarMax's valuation analysis, follow these 8 steps:- Gather financial information: Obtain CarMax's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine CarMax's revenue streams: Identify CarMax's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research CarMax's industry and market trends, including the size of the market, growth rate, and competition.
- Establish CarMax's growth potential: Evaluate CarMax's management, business model, and growth potential.
- Determine CarMax's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate CarMax's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
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.