Group 1 - CarMax is set to announce its Q1 FY'26 earnings on June 20th, with expected revenue of approximately $7.56 billion, reflecting a 6% year-over-year increase [2] - Adjusted earnings per share are anticipated to be around $1.19, compared to $0.97 in the same quarter last year [2] - The company has seen revenue growth driven by increased second-hand vehicle sales volume and expanded financing operations [2] Group 2 - CarMax's profitability has improved due to better cost management and digital innovations enhancing customer experience and operational efficiency [2] - The company has a market capitalization of $10 billion and reported a net income of $501 million over the past twelve months [2] - CarMax's total revenue for the last twelve months was $26 billion [2] Group 3 - Historical data shows that CarMax has had 20 recorded earnings data points over the last five years, with 8 positive and 12 negative one-day returns [4] - Positive one-day returns occurred about 40% of the time, increasing to 58% when considering the last three years [4] - The median of the positive returns is 5.9%, while the median of the negative returns is -9.4% [4]

Company Overview - CarMax is the largest retailer of used vehicles in the United States, headquartered in Richmond, VA [11] - In fiscal 2025, CarMax retailed 790,000 used vehicles and sold 540,000 vehicles through wholesale auctions [11] Financial Metrics - CarMax has a Zacks Rank of 3 (Hold) and a VGM Score of A, indicating a solid performance [11] - The company has a Value Style Score of B, supported by a forward P/E ratio of 17.4, which is attractive for value investors [12] - The Zacks Consensus Estimate for CarMax's earnings for fiscal 2026 has increased by $0 to $3.78 per share, with two analysts revising their earnings estimates higher in the last 60 days [12] - CarMax has an average earnings surprise of 6.9%, suggesting it has a history of exceeding earnings expectations [12] Investment Considerations - With a solid Zacks Rank and top-tier Value and VGM Style Scores, CarMax is recommended for investors' consideration [12]

Core Insights - CarMax is enhancing the used electric vehicle (EV) buying experience through strategic partnerships and new resources aimed at empowering consumers [1][2][9] Group 1: Strategic Initiatives - CarMax has partnered with Recurrent to provide battery health assessments for used EVs, allowing consumers to access detailed battery range scores and reports [5][7] - The company is offering a $200 credit for the installation of Level 2 home chargers through Treehouse, addressing customer concerns about charging and range anxiety [6][7] - An online EV Hub has been launched to educate consumers on EV ownership, featuring guides and quizzes to assist in the purchasing process [3][4] Group 2: Market Positioning - CarMax aims to become a leader in the used EV sector, capitalizing on the growth of the electric vehicle market and enhancing the customer-centric experience [2][9] - The introduction of a badge on CarMax.com identifies vehicles eligible for the federal used EV tax credit of up to $4,000, simplifying the shopping experience for consumers [7] Group 3: Company Overview - In the fiscal year ending February 28, 2025, CarMax sold approximately 790,000 used vehicles and originated over $8 billion in receivables through CarMax Auto Finance [8]

Core Points - Richmond Ivy Soccer Club has unveiled their kits for the 2025 season, with CarMax returning as the front-of-jersey sponsor [1][8] - The Woven Together Kits feature custom designs in Midnight and Mint colorways, created by hummel Pro North America [1][4] Company Overview - CarMax has been a leader in the used car industry for over 30 years, emphasizing integrity and transparency in customer experience [2][7] - The company sold approximately 790,000 used vehicles and originated over $8 billion in receivables during the fiscal year ending February 28, 2025 [7][9] - CarMax operates 250 store locations and has been recognized for 21 consecutive years as one of the Fortune 100 Best Companies to Work For [9] Community Engagement - CarMax is committed to positively impacting communities, sponsoring various local sports teams and events, including the Richmond Ivy Soccer Club [2][3] - The partnership with Richmond Ivy SC aims to support and grow women's soccer in the Richmond area [3][10] Kit Design and Symbolism - The primary jersey's Midnight base symbolizes the depth of the Richmond community, while the mint green accents represent unity and support from fans [4][5] - The secondary kit features an Ivy design that reflects the club's aspirations and the interconnectedness of the community [5][6]

Group 1 - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1] - The Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum characteristics, helping investors identify securities with high potential for market outperformance [2][3] Group 2 - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales, appealing to value investors [3] - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings, sales, and cash flow [4] - The Momentum Score assists investors in capitalizing on price trends, utilizing factors like short-term price changes and earnings estimate revisions [5] Group 3 - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors seeking attractive value, growth forecasts, and momentum [6] - The Zacks Rank, based on earnings estimate revisions, has shown significant success, with 1 (Strong Buy) stocks yielding an average annual return of +25.41% since 1988, outperforming the S&P 500 [8] Group 4 - CarMax, the largest retailer of used vehicles in the U.S., retailed 790,000 used vehicles in fiscal 2025 and sold 540,000 vehicles through wholesale auctions [11] - CarMax holds a 3 (Hold) Zacks Rank with a VGM Score of B and a Value Style Score of B, supported by a forward P/E ratio of 16.99 [12] - Recent upward revisions in earnings estimates for CarMax indicate a consensus estimate of $3.82 per share, with an average earnings surprise of 6.9%, making it a noteworthy consideration for investors [12]

Investment Rating - The report assigns an "Overweight" (OW) rating to General Motors (GM) and Ford, while Tesla and Rivian are rated "Underweight" (UW) [6][7]. Core Insights - The automotive industry is experiencing varied performance metrics across different companies, with GM and Ford showing potential upside in their stock prices, while Tesla and Rivian face significant downside risks [6][7]. - The report highlights the importance of valuation metrics such as EV/EBITDA, P/E ratios, and sales growth projections for assessing investment opportunities within the automotive sector [6][22]. Global Auto OEMs Investment Comparables - General Motors (GM) has a current price of $44.57 with a market cap of $43.067 billion and a target price of $53.00, indicating a 19% upside potential [6]. - Ford (F) is priced at $9.63 with a market cap of $38.294 billion and a target price of $11.00, representing a 14% upside [6]. - Ferrari (RACE) is valued at $439.97 with a target price of $460.00, showing a 5% upside [6]. - Tesla (TSLA) is currently priced at $241.37 with a target price of $120.00, indicating a -50% downside [6]. - Rivian (RIVN) has a price of $11.60 with a target price of $11.00, reflecting a -5% downside [6]. Global Auto Parts Suppliers Valuation Metrics - The average EV/EBITDA for US auto parts suppliers is projected at 1.8x for 2024, with a corresponding EBITDA margin of 12% [22]. - Aptiv (APTV) is rated "Overweight" with a current price of $51.71 and a target price of $102, indicating a 97% upside [22]. - Borg Warner (BWA) is rated "Overweight" with a price of $26.45 and a target price of $46, representing a 74% upside [22]. - Lear Corp (LEA) is rated "Overweight" with a price of $79.42 and a target price of $140, indicating a 76% upside [22]. Performance Metrics - The report indicates that the average revenue CAGR for US auto parts suppliers is projected to be 2% from 2023 to 2025 [74]. - The EBITDA margin for US auto parts suppliers is expected to be around 12% in 2025, with some companies showing higher margins [74][83]. - The report also highlights the financial returns of various suppliers, with some companies achieving significant returns on invested capital (ROIC) [54][56].

On this news, CarMax's stock price fell $13.61 per share, or 17%, to close at $66.45 per share on April 10, 2025. The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, London, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomeran ...

Partnership Overview - Gotham FC has announced a multi-year extension of its partnership with CarMax, reinforcing their commitment to community and women's sports growth [1][3] - CarMax will continue as the front-of-kit sponsor and will be involved in various initiatives including the Gotham FC regular season and Fan Fest [2][3] Investment and Initiatives - CarMax's investment will enhance fan experiences through new digital content, parking incentives, and community programs for youth soccer players [4][5] - The CarMax Kids program aims to increase youth attendance at games by providing free tickets and transportation, serving over 530 young people to date [5] Marketing Impact - CarMax's marketing initiatives have led to a 27% increase in Gotham FC's social media following and a 67% rise in average home game attendance [7] - The partnership has resulted in a doubling of season ticket holders since 2023 and a 36 percentage point increase in partnership awareness among Gotham FC fans [7] Club Performance - Gotham FC, a top women's soccer club, started the 2025 NWSL season with a strong roster and aims to build on its previous successes, including winning the 2023 NWSL championship [8][11]

Core Insights - CarMax reports a steady increase in consumer interest for used electric vehicles (EVs) over the last three years, with a 40% drop in average used EV prices during the same period, indicating a shift towards EV adoption [3][8] - The percentage of searches for "electric vehicle" on carmax.com has nearly doubled from January 2022 to February 2025, with notable spikes in March 2022 and June 2024 [3][8] - The Tesla Model 3 and Model Y remain the most popular EVs, while the Ford F-150 Lightning and Rivian R1T have entered the top ten list for the first time [4][8] Consumer Trends - The most traded-in vehicles for EVs at CarMax are sedans and coupes, with Toyota being the top brand traded in, followed by Honda and Ford [5] - The Tesla Model 3 is the top traded-in model for an EV, with many owners transitioning to the larger Tesla Model Y [5] Regional Insights - Oregon has surpassed California as the state with the highest percentage of EV sales relative to total vehicle sales at CarMax, with California and Washington following [6][8] - New states such as Utah, New Mexico, Minnesota, and New Jersey have entered the top ten list for EV sales compared to total vehicle sales [6] Financial Performance - In the fiscal year ending February 28, 2025, CarMax sold approximately 790,000 used vehicles and 540,000 wholesale vehicles at auctions, with CarMax Auto Finance originating over $8 billion in receivables [9]

Core Insights - Jim Cramer recommended buying Simon Property Group, Inc. (SPG), describing it as a "terrific" company, with financial results expected on May 12 [1] - Truist Securities analyst Michael Ciarmoli maintained a Buy rating for TransDigm Group Incorporated (TDG) but lowered the price target from $1,534 to $1,490 [2] - Cramer suggested that CarMax, Inc. (KMX) should not be sold despite its recent decline, following weaker-than-expected fourth-quarter earnings [2] - Cramer expressed a positive outlook on Barrick Gold Corporation (GOLD), indicating that gold prices are likely to rise further, with shares of gold companies trading higher after reaching an all-time high [2] Price Action - Simon Property shares fell 2.1% to settle at $147.20 [3] - TransDigm shares decreased by 2.3% to close at $1,306.55 [3] - CarMax shares dipped 3.5% to settle at $62.33 [3] - Barrick Gold shares gained 1.4% to close at $20.45 [3]