CarMax Inc ($KMX) Stock Forecast: Down 8.3% Today

What is CarMax Inc?

CarMax (KMX) is a well-known company in the used car market, offering a wide range of vehicles to customers. The stock has been experiencing a bearish movement recently amidst various developments in the company and the market.

Why is CarMax Inc going down?

KMX stock is down 8.3% on Jun 17, 2026 16:50

• CarMax's stock faced a bearish movement as same-store sales and used-car profits continued to decline for the fourth consecutive quarter, raising concerns about the effectiveness of the company's turnaround strategy.
• Despite securing a new $500 million term loan facility to bolster liquidity and reporting strong Q1 earnings that beat expectations, the stock still faced downward pressure.
• CarMax's market view as Neutral, with an analyst price target of $47.00, might have contributed to the bearish movement as investors remain cautious about the company's financial strength and valuation.
• The slight dip in retail gross profit per used vehicle despite higher prices and wholesale demand could have also impacted investor sentiment, leading to the stock's decline.

KMX Price Chart

KMX Technical Analysis

KMX News

CarMax Slips as Used Vehicle Sales Keep Falling Amid Turnaround

CarMax's shares fell as same-store sales and used-car profits continued to decline for the fourth consecutive quarter. This performance raises concerns about the effectiveness of the company's turnaround strategy. Despite having gained 35% this year until Tuesday's close, the stock still trades significantly below its 2021 peak.

https://www.bloomberg.com/news/articles/2026-06-17/carmax-slips-as-used-vehicle-sales-keep-falling-amid-turnaround

CarMax Secures $500 Million Term Loan to Bolster Liquidity

CarMax (KMX) secured a new $500 million term loan facility on June 15, 2026, to refinance existing revolver debt, enhance liquidity, and support general corporate operations. This move strengthens the company's financial position as it implements a new four-pillar growth strategy, despite reporting a dip in diluted EPS in Q1 fiscal 2027 while revenue and unit sales increased. The market currently views KMX as a Neutral, with an analyst price target of $47.00.

https://www.tipranks.com/news/company-announcements/carmax-secures-500-million-term-loan-to-bolster-liquidity

CarMax (KMX) Reports Strong Q1 Earnings, Beats Expectations

CarMax (KMX) announced strong Q1 earnings, with GAAP EPS of $1.31 and revenue of $8.01 billion, both exceeding analyst expectations. Despite a slight dip in comparable store used unit sales, the company saw a 3.3% rise in combined retail and wholesale units. CarMax's financial strength remains a concern with a low rating of 3/10, and its P/E ratio is near its 10-year high, suggesting a potentially premium valuation for investors.

https://www.gurufocus.com/news/8920377/carmax-kmx-reports-strong-q1-earnings-beats-expectations

CarMax tops first-quarter revenue estimates on higher prices, wholesale demand

CarMax exceeded first-quarter revenue estimates, driven by increased used-vehicle prices and robust wholesale demand. Despite a slight dip in retail gross profit per used vehicle, the company's average used-vehicle prices rose significantly. This performance led to a premarket stock rise of over 5%, overcoming general struggles in the used-car market.

https://www.reuters.com/business/autos-transportation/carmax-tops-first-quarter-revenue-estimates-higher-prices-wholesale-demand-2026-06-17/

CarMax (NYSE: KMX) posts $8.0B Q1 revenue and unveils four-pillar growth plan

CarMax (NYSE: KMX) reported first-quarter fiscal 2027 results with net sales and operating revenues increasing by 6.2% to $8.0 billion, although net earnings declined by 11.8% to $185.6 million due to lower gross margins. The company introduced a new four-pillar growth strategy focusing on competitive pricing, seamless omni-channel experiences, maximizing value per transaction, and a leaner cost structure. Additionally, CarMax entered into a new $500 million Term Loan Facility to repay existing debt.

https://www.stocktitan.net/sec-filings/KMX/8-k-carmax-inc-reports-material-event-194eb51128f8.html

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CarMax Inc Price History

29.04.2026 - KMX Stock was up 5.9%

• CarMax's stock price experienced a 3.88% increase today, marking a sixth consecutive day of gains, reflecting significant positive momentum.
• The anticipation surrounding CarMax's forthcoming first-quarter financial results and annual meeting details likely contributed to heightened investor confidence and interest.
• Despite initial neutral ratings by analysts, CarMax's stock has continued its upward trajectory, signaling growing investor faith in the company's performance and future outlook.
• The favorable market sentiment towards CarMax amidst a bullish day for the stock could be attributed to expected robust financial results and strategic announcements scheduled for the upcoming events, driving investor enthusiasm and elevating the stock price.

11.05.2026 - KMX Stock was up 5.2%

• Today's bull run in CarMax's stock may reflect investor optimism for positive results in the upcoming earnings report on June 17.
• Despite the ongoing scrutiny, investors appear confident in the company's financial performance, likely on the expectation of robust operational results.
• The automotive industry's renewed emphasis on financial metrics and profitability, demonstrated by Asbury Automotive Group Inc's share price hike, could be boosting investor confidence in CarMax.
• Challenges faced by competitor America's Car-Mart, which is in need of financial assistance, might indirectly bolster CarMax's market positioning.

17.05.2026 - KMX Stock was down 7.7%

• Following CarMax's robust Q1 earnings and successful implementation of a growth strategy, there was a decline in the stock performance.
• Investors might be concerned about the company's decreasing net earnings and reduced gross margins, potentially impacting overall confidence.
• The stock's high P/E ratio approaching a 10-year peak could suggest an overvaluation, prompting some investors to take profits.
• The recent acquisition of a $500 million term loan facility to enhance liquidity has raised some doubts about CarMax's financial stability and growth potential, contributing to the bearish market trend.

17.05.2026 - KMX Stock was down 8.3%

• CarMax's stock faced a bearish movement as same-store sales and used-car profits continued to decline for the fourth consecutive quarter, raising concerns about the effectiveness of the company's turnaround strategy.
• Despite securing a new $500 million term loan facility to bolster liquidity and reporting strong Q1 earnings that beat expectations, the stock still faced downward pressure.
• CarMax's market view as Neutral, with an analyst price target of $47.00, might have contributed to the bearish movement as investors remain cautious about the company's financial strength and valuation.
• The slight dip in retail gross profit per used vehicle despite higher prices and wholesale demand could have also impacted investor sentiment, leading to the stock's decline.

28.04.2026 - KMX Stock was up 5.0%

• The stock witnessed a 4.0% gain, possibly driving the bullish movement, although concerns about potential overvaluation and weak financial strength were noted by some.
• Despite daily gains, CarMax underperformed compared to its competitors, indicating a mixed market reaction to its performance.
• An investigation into potential corporate misconduct added uncertainty to the stock, but investors seemed focused on the positive momentum of five consecutive days of gains.
• The bullish movement in CarMax's stock today reflects a blend of positive market sentiment, varied analyst ratings, and ongoing investigations that are contributing to volatility.

21.04.2026 - KMX Stock was up 6.2%

• CarMax's stock experienced a decline today, despite outperforming its competitors in the market downturn.
• The company is undergoing significant leadership changes and operational challenges, impacting its stock performance.
• CarMax's strategy of balancing growth with cost-cutting measures and expansion plans may have influenced investor sentiment.
• The general market downturn, as seen with the S&P 500 and Dow Jones falling, could have also contributed to the bearish movement in CarMax's stock.

21.04.2026 - KMX Stock was up 5.7%

• CarMax's stock experienced a strong bullish movement today, defying the general market trend.
• The positive market reaction could be attributed to the company's strategic cost-cutting measures and plans for expansion, indicating a potential shift in its growth trajectory.
• Beating earnings expectations and the announcement of increased SG&A savings and new store openings likely instilled confidence in investors, leading to the bullish movement.
• Despite facing competitive pressures and leadership uncertainties, CarMax's proactive approach towards efficiency and growth seems to have resonated well with the market, driving the stock's upward momentum.

22.04.2026 - KMX Stock was up 5.4%

• CarMax's stock experienced a significant 4.26% increase, outperforming its competitors in the market.
• The bullish movement can be attributed to the company's announcement of plans to lower used car prices and accept customers with lower credit scores to address affordability concerns, which resonated positively with investors.
• Despite concerns raised by Advance Auto Parts about consumer spending and economic uncertainties, CarMax's strategic approach to broaden its customer base and adapt to market conditions seems to have resonated well with investors, leading to the bullish movement in its stock.
• The positive trading day for CarMax also coincided with overall market optimism, as indicated by the rise in the S&P 500 Index and Dow Jones Industrial Average, further supporting the bullish sentiment towards the stock.

03.05.2026 - KMX Stock was up 5.5%

• Despite a decline in stock price, CarMax Inc. (KMX) experienced a bullish movement, showcasing resilience in the face of challenges.
• The recall of Nissan's Kicks SUVs due to a software error might have indirectly benefited CarMax, as consumers potentially turned to the used car market instead of new vehicle purchases.
• The ongoing investigations into potential corporate wrongdoing at CarMax could have initially caused uncertainty but did not significantly impact the bullish trend.
• The overall decline in new vehicle sales and the financial strain on consumers could have driven more individuals towards the used car market, benefiting companies like CarMax.

15.03.2026 - KMX Stock was down 5.4%

• The bearish movement in CarMax's stock today could be attributed to a combination of factors:
• The challenging operating environment flagged by analysts may have raised concerns about broader sector performance, impacting CarMax as well.
• CarMax's strategic shift towards dynamic margin management, prioritizing sales volume over per-unit profits, might have raised investor worries about short-term profitability.
• The mixed financial picture from CarMax's recent update, with margin pressure and net loss due to impairment charges, could have contributed to the negative sentiment surrounding the stock.
• Overall, the bearish movement in CarMax's stock today may be a reflection of concerns about the automotive industry's performance, margin pressures, and strategic shifts impacting short-term profitability.

06.04.2026 - KMX Stock was up 5.4%

• Despite challenges in the auto industry with increasing new-vehicle prices due to tariffs, CarMax Inc. stock saw a 1.00% increase, breaking a two-day downtrend.
• Investor confidence in CarMax's ability to navigate industry obstacles like higher expenses and supply chain disruptions likely contributed to the stock's performance.
• The incident relating to personal data privacy at O’Reilly Auto Parts may have indirectly influenced investor attitudes towards companies like CarMax, underscoring the importance of customer trust and data security in the digital era.
• While stocks for other retailers including Best Buy and Lowe's declined due to external factors such as rising oil prices, CarMax's steady performance suggests a level of consistency and future growth potential in the used vehicle market.

12.04.2026 - KMX Stock was down 5.5%

• CarMax (KMX) experienced a significant bearish movement due to a fraud probe initiated by external parties, investigating potential securities fraud related to the company's decision to lower used car prices and increase credit risk amidst an auto affordability crisis.
• The investigation raises concerns about CarMax's risk management practices, disclosure transparency, and the potential impact on its growth, profitability, and investor sentiment.
• Market sentiment towards CarMax (KMX) might have been further influenced by a 40% share price decline over the past year, leading to questions about its valuation and potential undervaluation according to different analyses.
• Investors are advised to closely monitor developments in the fraud probe, CarMax's responses to pricing and credit decisions, and any regulatory implications that could affect the company's future performance and reputation.