Wedbush lowered the price target for the CarMax Inc. (NYSE:KMX) stock from “an Outperform” to “a Neutral”. The rating was released on May 19, 2021. The research report from Northcoast has upgraded the stock from Neutral to Buy, with a price target set at $130. The stock was downgraded by JP Morgan, who disclosed in a research note on December 09, 2020, from Overweight to Neutral and set the price objective to $115. In their research brief published October 19, 2020, Seaport Global Securities analysts initiated the CarMax Inc. stock to Buy with a price target of $113.
The latest trade, Performances and Moving Averages give us the following Picture
The share price of CarMax Inc. (NYSE:KMX) raised 1.18% to close Friday’s market session at $134.84, higher as compared to yesterday’s close. The stock price fluctuated between $133.375 and $135.66 throughout the trading session with the volume trading being 740920 shares, which represented a significant variation when compared to the three months average volume of 1.15 million shares. The firm’s stock price fluctuated 3.26% within the last five trades and 17.25% within the last 30 trades, which was a significant change from the beginning of this year. Despite the fact that the share price increased 34.44% in the last 6 months and 2.44% was added to its value over the previous 3 months. KMX stock is trading at a margin of 9.18%, 9.99% and 19.53% apart from the 20-Day, 50-Day and 200-Day Simple Moving Average prices.
As of the close of trading, KMX deals in the Consumer Cyclical domain. The stock is trading -2.83 percent below its 52-week high and 59.20 percent above its 52-week low. For example, looking both at the price and the high and low measurements of 52 weeks will give you a clearer picture of the direction the price is heading. The firm’s Weighted Alpha is 43.97. A positive weighted alpha indicates the firm has done well over the course of the year, whereas one below 0 indicates that the firm has done poorly.
What Does CarMax Inc.’s Profitability and Valuation Ratios Tell Us About the Stock?
With regard to the profitability of the company, the operating margin is currently at 6.50 percent and the profit margin is 5.00 percent, and the company has reported a gross margin of 12.60 percent. The profit margin, also known as the revenue ratio or gross profit ratio, is an efficiency figure used to estimate the business’s profitability by comparing net income and sales. The higher the number, the more profits are generated for the company and vice versa.
The stock’s market cap achieved a total value of $21.44 billion as of the last trading session. Market capitalization is the total value of all outstanding shares of a corporation and it is used to measure a company’s market value. The price-to-earnings ratio for CarMax Inc. (NYSE:KMX) is 18.98. The price-to-earnings ratio is a method of assessing corporate values by comparing them to their per-share profit. Forward P/E stands at 19.16. Forward price-to-earnings is calculated using predicted earnings for the next financial year’s P/E determination. The stock has achieved an effective Price-to-Sales Ratio of 0.92 that mirrors the cost to be found for sales by the market. The firm managed a Price-to-Book ratio of 4.68, which equates the market value of a stock with its book value.
Is Insider Trading a Real Thing?
Almost all investors and traders prefer to invest in shares controlled by the management of a corporation as a management company will be more likely to run the business itself and to never conduct things against the management’s desires and will always try to do what is best for their shareholders. Currently, 0.30 percent of CarMax Inc. shares are owned by insiders, and 95.60 percent are held by financial institutions. Cafritz Diane L, the SVP, General Counsel & CHRO at CarMax Inc. (KMX) has sold 19,580 shares of firm on Jul 06 at a price of $132.69 against the total amount of $2.6 million. In another inside trade, Mayor-Mora Enrique N, SVP & CFO of CarMax Inc. (NYSE:KMX) sold 12,031 shares of the firm on Jun 30 for a total worth of $1.56 million at a price of $129.94. An inside trade which took place on Jun 29, EVP, Legal of CarMax Inc. Margolin Eric M sold 31,063 shares of firm against total price of $4.05 million at the cost of $130.51 per share.