CarMax(US:KMX) Prnewswire·2025-11-21 15:17Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against CarMax, Inc. due to alleged violations of federal securities laws, with a deadline for investors to seek lead plaintiff status by January 2, 2026 [1][3]. Financial Performance - CarMax reported a decrease in CarMax Auto Finance income by 11.2%, with a provision for loan losses amounting to $142.2 million in Q2 of fiscal 2026, compared to $112.6 million in the same quarter of the previous year [4]. - The provision for loan losses included an increase of $71.3 million in lifetime loss estimates on existing loans, primarily due to worsening performance among the 2022 and 2023 vintages [4]. - Following the financial results announcement, CarMax's stock price fell by $11.45 per share, approximately 20%, closing at $45.60 per share on September 26, 2025 [4]. Legal Proceedings - The complaint alleges that CarMax and its executives made false or misleading statements regarding the company's growth prospects, which were overstated due to temporary benefits from customer behavior related to tariff speculation [3]. - Investors are encouraged to contact Faruqi & Faruqi if they have information regarding CarMax's conduct, including whistleblowers and former employees [5].