CarMax, Inc. (KMX)

Over the past six months, CarMax's stock price has experienced fluctuations. As of June 27, 2025, the share price was $66.60, representing a decrease of -2.87% from the prior week, with an overall -18.31% change over the last six months. A significant positive event was the release of its strong Q1 fiscal year 2026 results on June 20, 2025, which caused the stock to climb nearly 6%. Prior to this, in the fourth quarter of fiscal year 2025, CarMax reported a 13.9% increase in total gross profit.

CarMax's demand exhibits some seasonality, with inventory build often anticipating the tax refund season. Seasonal trends persist in service margins, and historical stock performance indicates some seasonality in stock price movements. The first quarter of fiscal year 2025 saw wholesale units decline, impacted by lower year-over-year seasonal appreciation.

CarMax, Inc. is the largest retailer of used vehicles in the United States, operating with a mission to revolutionize the car buying experience through integrity, honesty, and transparency. The company operates in the Consumer Cyclical sector, specifically within the Auto & Truck Dealerships industry, and the Vehicles & Parts industry group. CarMax's core business involves the purchase, reconditioning, and retail sale of used vehicles, complemented by a range of related products and services including used vehicle sales, vehicle financing, extended protection plans, service and repair, wholesale auctions, online sales, and car buying services.

CarMax operates exclusively in the United States. As of February 28, 2025, the company operated 250 used car stores across 109 U.S. television markets in 41 states. Its primary headquarters are located in Richmond, Virginia, with CarMax Auto Finance based in Kennesaw, Georgia.

CarMax has maintained a strong brand reputation, being named one of Fortune's 100 Best Companies to Work For® for the 21st consecutive year in 2025, ranking #69. CarMax also received accolades such as Fortune's "Best Workplaces in Retail" and "Most Innovative Companies", and recognition from the American Opportunity Index, PEOPLE, and Military Friendly. CarMax has partnered with Angel City Football Club, Wavecrest, and Carpool Logistics, launched new findings on consumer trends in used electric vehicle shopping, and extended partnerships with Richmond Ivy Soccer Club and Gotham FC. Potential risks to its brand reputation include events that damage its integrity or harm the perception of its brand's quality, as well as technology and data privacy risks.

CarMax's ownership structure is primarily composed of institutional investors, with a smaller percentage held by individual investors and insiders. Approximately 66.95% to 90.01% of the company's stock is owned by institutional investors, insiders hold about 0.47% to 2.50% of the stock, while public companies and individual investors own around 9.53% to 23.06%. Major institutional owners include Vanguard Group Inc, BlackRock, Inc., Principal Financial Group Inc, State Street Corp, Diamond Hill Capital Management Inc, Primecap Management Co/ca/, Janus Henderson Group Plc, VTSMX - Vanguard Total Stock Market Index Fund Investor Shares, VFINX - Vanguard 500 Index Fund Investor Shares, and PMBMX - MidCap Fund (f/k/a MidCap Blend Fund) R-3.