KMX SHAREHOLDERS: CarMax, Inc. Investors with Losses may have been Misled by the Company and are Urged to Contact BFA Law by January 2

Core Viewpoint - CarMax, Inc. is facing a class action lawsuit for securities fraud following a significant drop in stock price attributed to misleading statements regarding demand and financial performance [2][4][5]. Group 1: Lawsuit Details - A class action lawsuit has been filed against CarMax and its senior executives for securities fraud, with claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 [4]. - Investors have until January 2, 2026, to request to lead the case, which is pending in the U.S. District Court for the District of Maryland [4]. - The lawsuit alleges that CarMax misled investors about the sustainability of demand for its vehicles, particularly in light of U.S. tariffs that temporarily boosted sales [5]. Group 2: Financial Performance - CarMax reported disappointing financial results for Q2 of fiscal year 2026, including a 5.4% decline in retail used unit sales, a 6.3% decline in comparable store used unit sales, and a 2.2% decline in wholesale units [7]. - The company's net income for Q2 was approximately $95.4 million, down from $132.8 million in the previous year [7]. - The decline in sales was attributed to a "pull forward" in demand due to the announcement of tariffs, which led to a significant stock price drop of $11.45 per share, or roughly 20% [8]. Group 3: Executive Changes - The unexpected departure of CEO Bill Nash on November 6, 2025, has raised concerns about the company's management and its assessment of car loan portfolios [6]. - Following the announcement of Nash's departure and a weak preliminary Q3 outlook, CarMax's stock dropped over 24% [8].