YouTube · Q1 2026 · 2026-04-29
KMX · NYSE
CarMax, Inc.
Auto & Truck Dealerships · United States
USD 55.350.9% daily changeQuote 2026-10-06 · USD
- Market cap (USD)
- US$7.86B
- Trailing P/E
- 26.23x
- Forward P/E
- 15.52x
- Quarterly revenue growth
- 17.7%
- Trailing net margin
- 1.0%
- Indicated dividend yield
- —
Snapshot 2026-10-06 · Latest financial period 2026-08-31 · Yahoo Finance. Quotes may be delayed; reporting periods can differ.
Next earnings: 2026-12-17 (provider estimate, not issuer-confirmed).
Company background
CarMax, Inc., through its subsidiaries, operates as a retailer of used vehicles and related products in the United States. The company operates in two segments: CarMax Sales Operations and CarMax Auto Finance. The CarMax Sales Operations segment offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; wholesale auctions; extended protection plans to customers at the time of sale; and reconditioning and vehicle repair services. The CarMax Auto Finance segment provides financing alternatives for retail customers across a range of credit spectrum and arrangements with various financial institutions. The company was founded in 1993 and is based in Richmond, Virginia.
Company websiteQ2 FY2027
Go beyond the headline.
KMX Stock: CarMax Volume Recovery Faces a Credit Test | Q2 FY2027
Published 2026-09-29
Q2 FY2027 REPORT HIGHLIGHTS
What’s changed for KMX
CarMax is selling more cars with better overhead leverage; we separate sustainable earnings from credit relief and gains before valuing the recovery.
More cars, less profit per car.
Retail used units rose 13.8%, but retail gross profit per unit fell to $2,105.
Overhead leverage returned.
SG&A per total unit fell $157 even as absolute SG&A increased 4.6%.
Finance helped the recovery.
Lower provisions and a $16.6 million loan-sale gain supported CAF income.
Capital returns are restarting carefully.
Management plans modest Q3 repurchases; authorization is not a cash balance.
Price asks for persistence.
Our three valuation checks support roughly $55 against the saved $59.10 quote.
Comparable businesses
KMX peer comparison
Same business group first, then company size. Preferred market cap: 0.5–2x; extended range: one-third–3x. Outside that range, industry benchmarks are labeled separately and excluded from peer medians.
| Metric | KMXCarMax, Inc.Snapshot 2026-10-06Financial period: 2026-08-31 | LADLithia Motors, Inc.Snapshot 2026-10-06Financial period: 2026-06-30 | ANAutoNation, Inc.Snapshot 2026-10-06Financial period: 2026-06-30 | Peer medianSimilar-size peers only |
|---|---|---|---|---|
| Market capMarket value, converted to USD | US$7.86B | US$6.47B | US$5.20B | US$5.84Bn=2 |
| Forward P/EProvider forward earnings estimate | 15.52x | 6.91x | 6.40x | 6.66xn=2 |
| EV / EBITDAEnterprise value / trailing EBITDA | 22.79x | 12.03x | 10.97x | 11.50xn=2 |
| Revenue growthLatest quarter vs prior-year quarter | 17.7% | 2.2% | -0.6% | 0.8%n=2 |
| Operating marginLatest reported quarter | 2.8% | 4.6% | 4.4% | 4.5%n=2 |
| Free cash flow yieldTrailing cash flow / market cap | 8.0% | 8.5% | 6.9% | 7.7%n=2 |
| Net debt / EBITDANet debt / trailing EBITDA | 15.88x | 8.55x | 7.44x | 8.00xn=2 |
| Debt / equityTotal debt / positive book equity | 2.87x | 2.58x | 5.02x | 3.80xn=2 |
| Trailing P/ETrailing twelve-month earnings | 26.23x | 9.75x | 7.28x | 8.52xn=2 |
| Price / bookPrice / positive book equity per share | 1.28x | 1.01x | 2.31x | 1.66xn=2 |
| EV / salesEnterprise value / trailing revenue | 0.87x | 0.61x | 0.61x | 0.61xn=2 |
| Earnings growthLatest quarter vs prior-year quarter | 81.6% | 16.9% | 138.5% | 77.7%n=2 |
| Gross marginTrailing twelve months | 11.7% | 15.4% | 17.8% | 16.6%n=2 |
| Net marginTrailing twelve months | 1.0% | 1.9% | 2.8% | 2.4%n=2 |
| Return on equityProvider trailing return; positive equity only | 4.7% | 10.7% | 32.8% | 21.7%n=2 |
| Free cash flow marginTrailing free cash flow / revenue | 2.1% | 1.4% | 1.3% | 1.4%n=2 |
| Dividend yieldIndicated annual dividend / price | — | 1.0% | — | — |
| Earnings payoutProvider trailing dividend payout | 0.0% | 7.3% | 0.0% | 3.7%n=2 |
| Current ratioCurrent assets / current liabilities | 2.33x | 1.00x | 0.78x | 0.89xn=2 |
| BetaProvider historical market sensitivity | 1.23 | 1.26 | 0.81 | 1.04n=2 |
YouTube · Q1 2026 · 2026-04-29
YouTube · Q1 2026 · 2026-05-02
Comparison methodology & limitations
Reviewed operating groups override broad sector classifications. Other companies are matched only within a sufficiently specific provider industry. Business mix, geography and accounting standards can still differ. Market caps are converted to USD using exchange rates captured during the snapshot refresh. Financial ratios that would mix currencies are omitted. Snapshots must be at most 14 days old and no more than seven days apart for automatic selection.
Peer medians require at least two valid similar-size peers for each metric. Negative earnings, nonpositive equity, missing data and irrelevant bank ratios are not presented as attractive valuations. A higher or lower number is not automatically a better investment. Financial statement periods are not calendar-aligned across companies.
Reported performance
Financial trends
Periods are grouped by their ending calendar year or quarter, not identical fiscal calendars. Exact period-end dates appear in tooltips and reported figures. When reporting currencies differ and a recent captured FX rate is available, money and EPS are normalized to USD for comparison. This is not a historical FX restatement. Gaps are not estimated.
Financial statements load separately from the research page.
Source: . Window ends at the latest available reporting period.
Revenue
Reported figures
Financial data & calculation notes
Standalone charts use the stated reporting currency. When a chart comparison spans currencies, money and EPS can be normalized to USD using a recent captured FX snapshot; this is for comparison only, not a historical FX restatement. Stock-based compensation is noncash. Free cash flow is operating cash flow less capital spending, which may include capitalized software. Missing metrics are not estimated or assumed to be zero. Banking and insurance ratios require industry-specific interpretation. Latest restatements may differ from figures in older episodes.
Market context
Valuation & price history
Adjusted closing price
Price history loads separately.
Price figures
Earnings-multiple scenario
Illustrative price = your earnings-per-share assumption × your P/E assumption. This is not a price target or a complete valuation model.
Starting assumptions, when available, use provider forward estimates as of 2026-10-06. Negative earnings require a different valuation method. This calculation omits balance-sheet, dilution and execution risks.
THE RESEARCH RECORD
Research history for KMX
Q2 FY20272026-09-29
FREE RESEARCH PACKET · Q2 FY2027
KMX: The Volume Recovery Still Has a Credit Test
CarMax is selling more cars with better overhead leverage; we separate sustainable earnings from credit relief and gains before valuing the recovery.
Research published September 29, 2026 · Download original report
Read Research PacketKMX Stock: CarMax Volume Recovery Faces a Credit Test | Q2 FY2027
Presentation · 2026-09-29 · YouTube
Q1 FY20272026-06-17
KMX Stock: CarMax Beat Earnings 39% - And The Stock Crashed 8%. Here’s Why Q1 FY2027
Presentation · 2026-06-17 · YouTube
Short takes Q1 FY2027
KMX -7.6% — 39% BEAT, STOCK CRASHED #Shorts
Watch Short on YouTube
Q4 FY20262026-04-18
KMX Stock: EPS Beats by 55% — Q4 FY2026 Earnings Analysis
Presentation · 2026-04-18 · YouTube