CarMax, Inc. (KMX) fair value analysis
S&P 500 · Updated 2026-10-19
KMX price how computed
Forward Fair Value verdict
UndervaluedKMX is trading at a 10–25% discount to estimated fair value.
Based on TickrTrends' weekly Forward Fair Value model.
- Last price
- $55.89
- Sector
- Consumer Cyclical
- 12-month range
- $30.88–$64.22
- Market cap
- $7.94B
- From 52-week high
- -13.0%
- Shares outstanding
- 142M
- Rank in Consumer Cyclical by discount to fair value
- #79 of 85
Last price is the 2026-10-01 month-start close, the freshest stored price; the chart runs through 2026-09-11.
CarMax, Inc. is the largest retailer of used automobiles in the United States, operating a nationwide chain of physical dealership locations where customers can purchase pre-owned vehicles. The company also provides automotive financing services and extended warranty products to support its vehicle sales operations across its store network.
KMX currently ranks #79 of 85 Consumer Cyclical stocks by discount to fair value. It has screened as Undervalued for 5 consecutive weekly runs.
Fundamentals (4 quarters) how computed
- Market cap
- $7.94B
- P/E (trailing)
- 20x
- Revenue (TTM)
- $26.3B
- Net margin
- 0.8%
- EPS (TTM)
- $2.80
- Gross margin
- 9.8%
- Debt / equity
- 3.05
- Revenue growth (3-yr avg)
- 4.4%
- Shares outstanding
- 142M
Derived indicators how computed
- Quality grade
- F
- Margin trend
- Stable
- 52-week position
- The top quarter of its range
Technicals how computed
- RSI (14-day)
- 56 · neutral
- 50-day average
- $58.46
- 200-day average
- $46.81
- Moving-average state
- 50-day above 200-day (golden cross state); price between the averages
What our data shows for KMX
- Our model validated 17 trailing price-to-earnings windows for KMX, built from quarterly earnings records.
- Shares are trading in the upper third of their 12-month price range of $30.88–$64.22.
- The 14-day relative strength index sits at a neutral 56.
The exact numbers are one step away
- The precise Forward Fair Value dollar figure for KMX
- Exact discount / premium to today's price
- The normalized historical P/E behind the estimate, and how many quarters support it
- Forward EPS input and fiscal-year basis
- Screeners and rankings across the full S&P 500 and Nasdaq universes
Forward Fair Value applies a conservatively normalized historical price-to-earnings multiple to the consensus earnings estimate for the next full fiscal year; how TickrTrends computes it.
Recent KMX news
TickrTrends' derived news-sentiment signal for KMX is currently leaning positive, computed from recent coverage.
- CarMax Inc (KMX) Stock Down 4.3% -- Now Undervalued? GF Score: 73/100 (gurufocus.com, 2026-10-21)
TickrTrends take: CarMax stock has declined in recent trading, which brings its valuation metrics into sharper focus for investors monitoring the Consumer Cyclical sector. TickrTrends currently assesses KMX as undervalued, suggesting the recent price movement may have created a gap between market price and underlying value. For valuation-focused readers, the key consideration is whether this discount persists as market conditions and company fundamentals evolve, particularly given the cyclical nature of the automotive retail industry. - HandsOn Bay Area, the CarMax Foundation, and Points of Light Transform and Beautify the Children’s Receiving Home Campus (manilatimes.net, 2026-10-21)
TickrTrends take: CarMax's foundation work through HandsOn Bay Area and Points of Light demonstrates community engagement and brand building activities that extend beyond its core automotive retail operations. While such corporate citizenship initiatives can strengthen brand reputation and customer loyalty in the Consumer Cyclical sector, they represent investments that may not be directly reflected in current financial metrics. Given TickrTrends' undervalued assessment, investors should monitor whether these foundation efforts contribute to measurable improvements in customer retention and market share that could justify valuation expansion over time. - CarMax Recognized as a Fortune 2026 Best Workplaces in Retail (manilatimes.net, 2026-10-20)
TickrTrends take: CarMax's recognition as a Fortune Best Workplaces in Retail reflects its ability to attract and retain talent in a competitive sector, which supports operational efficiency and customer service quality. For a valuation-focused reader, this workplace distinction may indicate lower employee turnover costs and stronger execution capabilities that could sustain margins as the Consumer Cyclical sector faces demand fluctuations. Given TickrTrends' undervalued assessment, investors should monitor whether CarMax's workplace reputation translates into measurable competitive advantages that support the company's pricing power and profitability relative to its current valuation.
More KMX news
- CarMax Inc (KMX) Shares Fall 3.1% -- What GF Score of 73 Tells Investors (gurufocus.com, 2026-10-19)
- KMX Upgraded by B of A Securities -- Price Target Raised to $65 (gurufocus.com, 2026-10-15)
- CarMax (KMX) Upgraded to Buy by BofA on Pricing Edge Amid FTC Mandate (gurufocus.com, 2026-10-15)
- A Look at CarMax Inc (KMX) After 3.6% Decline -- GF Value $75.27 vs Price $50.69 (gurufocus.com, 2026-10-12)
- CarMax (KMX) Earnings Show Turnaround Progress, But Margin Pressure Remains (insidermonkey.com, 2026-10-05)
- KMX SWOT Analysis: Financial Strengths and Growth Opportunities Revealed in 10-Q Filing (gurufocus.com, 2026-10-01)
What people are saying
Follow the KMX conversation: Stocktwits · Reddit · X
TickrTrends weekly updates
- 2026-10-19 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-12 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-11 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-10 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-06 — KMX moved up in sector discount rankings this week, improving from position 56 to position 46 among Consumer Cyclical stocks. The company's valuation assessment shifted from Fairly valued to Undervalued based on TickrTrends' derived indicators.
- 2026-09-28 — TickrTrends' derived indicators for KMX show that the DCF cross-check band moved from fairly valued to none this week. The stock's current valuation verdict remains fairly valued overall.
- 2026-09-21 — No material change this week: the verdict, bands and grades all held steady.
- 2026-09-17 — No material change this week: the verdict, bands and grades all held steady.
Frequently asked questions
Is KMX stock undervalued?
Based on TickrTrends' Forward Fair Value model (updated 2026-10-19), KMX is trading at a 10–25% discount to estimated fair value and screens as undervalued. The exact fair value and discount are available to subscribers.
What is KMX's TickrTrends verdict?
KMX's current verdict is Undervalued, refreshed with every weekly Forward Fair Value run.
How does KMX compare to other Consumer Cyclical stocks?
KMX ranks #79 of 85 Consumer Cyclical stocks in TickrTrends' coverage by discount to fair value.
Is KMX overbought or oversold?
KMX's 14-day RSI is in neutral territory - neither overbought nor oversold.
More in Consumer Cyclical
Head-to-head comparisons
KMX vs ABNB · KMX vs COLM · KMX vs DRI · KMX vs EXPE · KMX vs LOW