CarMax(US:KMX) Businesswire·2025-11-05 00:54Core Viewpoint - A class action lawsuit has been filed against CarMax, Inc. for securities fraud, affecting investors who purchased shares between June 20, 2025, and September 24, 2025, with a deadline for filing a lead plaintiff motion set for January 2, 2026 [1][2]. Financial Performance - On September 25, 2025, CarMax reported its second quarter 2026 financial results, revealing a revenue decline of 6.0% year-over-year, a 7.2% drop in total retail used vehicle revenues, and a 5.6% decrease in total gross profit. The company attributed these declines to inventory adjustments and a $71.3 million increase in loan loss provisions [3]. Stock Market Reaction - Following the financial results announcement, CarMax's share price fell by $11.45, or 20.1%, closing at $45.60 per share on September 25, 2025, resulting in significant losses for investors [4]. Allegations in the Lawsuit - The lawsuit alleges that CarMax's management made materially false and misleading statements regarding the company's growth prospects, claiming that earlier growth was due to temporary factors related to tariff speculation. The defendants are accused of failing to disclose adverse facts about the company's business and operations, leading to misleading positive statements [5].