Core Insights - CarMax, Inc. is under investigation for potential violations of federal securities laws, following a significant decline in stock price after disappointing earnings reports [1][3]. Group 1: Investigation Details - The investigation is led by Bleichmar Fonti & Auld LLP, a prominent securities law firm [1]. - The inquiry focuses on CarMax's claims regarding strong demand for used cars, which may have been artificially inflated due to pre-tariff purchasing behavior [2]. Group 2: Financial Performance - In fiscal Q2 2025, CarMax reported 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 [3]. - The company's net earnings for Q2 were approximately $95.4 million, down from $132.8 million in the previous year, attributed to a "pull forward" in demand due to tariff announcements [3]. Group 3: Stock Market Reaction - Following the earnings report, CarMax's stock price dropped by $11.45 per share, or roughly 20%, from $57.05 on September 24, 2025, to $45.60 on September 25, 2025 [3].

Core Viewpoint - The Law Offices of Frank R. Cruz is investigating America's Car-Mart, Inc. for potential violations of federal securities laws following significant stock price declines related to financial disclosures and performance issues [1][2][3][4]. Group 1: Investigation Background - On July 15, 2025, Car-Mart announced a delay in filing its annual report due to the need for enhanced disclosures regarding loan modifications for financially distressed borrowers, resulting in a stock price drop of $3.12 (5.2%) to $57.26 [2]. - On July 30, 2025, Car-Mart revealed that certain previously issued financial statements were no longer reliable due to omissions in disclosures about loan modifications, causing the stock price to fall by $3.70 (7.5%) to $45.57 [3]. - On September 4, 2025, Car-Mart reported a 5.7% decline in sales volumes, attributing it to a focus on customer quality and vehicle performance, leading to a significant stock price drop of $8.14 (18.2%) to $36.51 [4].

Bragar Eagel & Squire, P.C. Litigation Partner Brandon Walker Encourages Investors Who Suffered Losses In CarMax (KMX) To Contact Him Directly To Discuss Their Options If you purchased or acquired stock in CarMax and would like to discuss your legal rights, call Bragar Eagel & Squire partner Brandon Walker or Marion Passmore directly at (212) 355-4648. Click here to participate in the action. NEW YORK, Sept. 29, 2025 (GLOBE NEWSWIRE) -- What’s Happening: Bragar Eagel & Squire, P.C., a nationally recognized ...

LOS ANGELES--(BUSINESS WIRE)--CarMax, Inc. Investigated for Securities Fraud Violations – Contact the DJS Law Group to Discuss Your Rights – KMX. ...

RADNOR, Pa.--(BUSINESS WIRE)-- #classaction--The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) is currently investigating potential violations of the federal securities laws on behalf of investors of CarMax, Inc. (NYSE: KMX) ("CarMax†). On September 25, 2025, CarMax released its second quarter fiscal year 2026 financial results, disclosing significant revenue and profit declines year over year, including a revenue decline of 6.0%, total retail used vehicle revenues decline of 7.2%, and a t ...

Upgrades - Goldman Sachs upgraded Innoviz Technologies (INVZ) to Buy from Neutral with a price target of $2.50, up from $1.50, citing the company's design potential over the next six months and its "inexpensive" valuation [2] - Morgan Stanley upgraded Citizens Financial (CFG) to Overweight from Equal Weight with a price target of $71, up from $53, highlighting it as one of the "best profitability improvement stories" in the sector [2] - Wells Fargo upgraded Amer Sports (AS) to Overweight from Equal Weight with a price target of $40, up from $38, noting the opportunity to take advantage of the recent selloff and positive expert checks in China [3] - Deutsche Bank upgraded Lam Research (LRCX) to Buy from Hold with a price target of $150, up from $100, based on favorable memory supply/demand conditions and momentum at second-tier foundries [4] - Seaport Research upgraded General Dynamics (GD) to Buy from Neutral with a price target of $376, indicating attractive valuation and potential entry point due to near-term budget battles [5] Downgrades - Freedom Capital downgraded Electronic Arts (EA) to Hold from Buy with a price target of $195, up from $185, following reports of the company being in advanced talks to go private for around $50 billion, reflecting a 17% premium [6] - Seaport Research downgraded CarMax (KMX) to Neutral from Buy with no price target, citing disappointment in growth expectations for comps and earnings in fiscal Q2 [6] - Citi downgraded Merus (MRUS) to Neutral from Buy with a price target of $97, down from $101, after Genmab announced an acquisition of Merus for $97.00 per share, totaling a transaction value of $8.0 billion [6] - Morgan Stanley downgraded Wells Fargo (WFC) to Equal Weight from Overweight with a price target of $95, up from $87, noting limited upside following the removal of the asset cap [6] - Morgan Stanley downgraded U.S. Bancorp (USB) to Equal Weight from Overweight with a price target of $56, up from $52, acknowledging potential pressures on net interest income due to elevated deposit costs [6]

Group 1 - Constellation Brands (STZ) has been added to the Zacks Rank 5 (Strong Sell) List due to an 8.7% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - China Mengniu Dairy (CIADY) is also on the Zacks Rank 5 (Strong Sell) List, with an almost 8.6% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - AutoZone (AZO), a leading specialty retailer and distributor of automotive replacement parts and accessories in the U.S., has seen an almost 8.4% downward revision in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2]

Core Viewpoint - Uxin Limited reported strong growth in retail transaction volume and revenue for the second quarter of 2025, driven by improved inventory availability and the performance of its new superstore in Wuhan. The company raised its full-year growth guidance to approximately 130% year-over-year [4][5][18]. Financial Performance - Total revenues for the quarter ended June 30, 2025, were RMB 658.3 million (US$ 91.9 million), a 30.6% increase from RMB 504.2 million in the previous quarter and a 64.1% increase from RMB 401.2 million in the same period last year [5][6]. - Retail vehicle sales revenue reached RMB 607.6 million (US$ 84.8 million), representing an 87% year-over-year growth and a 30.5% increase from the last quarter [6][8]. - Gross margin for the quarter was 5.2%, down from 7.0% in the previous quarter and 6.4% in the same period last year, primarily due to aggressive promotions in the new car sector and the early-stage ramp-up of the Wuhan superstore [10][12]. - The company incurred a loss from operations of RMB 43.1 million (US$ 6.0 million), compared to RMB 35.3 million in the last quarter and RMB 62.5 million in the same period last year [12][13]. Operational Highlights - Retail transaction volume reached 10,385 units, marking a 154% year-over-year increase and a 37.6% increase from the previous quarter [4][6]. - The Wuhan superstore achieved monthly sales of approximately 1,400 units since its opening in February 2025, contributing to the overall sales growth [4][7]. - The company opened its fourth superstore in Zhengzhou on September 27, 2025, which spans approximately 150,000 square meters and can display up to 5,000 vehicles [17]. Future Outlook - For the third quarter of 2025, Uxin expects retail transaction volume to range between 13,500 and 14,000 units, with total revenues projected between RMB 830 million and RMB 860 million [18]. - The company anticipates a recovery in gross margin to approximately 7.5% in the upcoming quarter [18].

Core Viewpoint - CarMax, Inc. is under investigation for potential violations of federal securities laws following disappointing earnings reports and claims of misleading statements regarding demand for its vehicles [1][2]. Group 1: Investigation Details - Bleichmar Fonti & Auld LLP is leading the investigation into CarMax for possible securities law violations [1]. - The investigation is prompted by CarMax's claims of strong demand for used cars, which may have been artificially inflated due to pre-tariff purchasing behavior [2]. Group 2: Financial Performance - In fiscal Q2 2025, CarMax reported 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 [3]. - The company's net earnings for Q2 were approximately $95.4 million, down from $132.8 million in the previous year, attributed to a "pull forward" in demand due to tariff announcements [3]. - Following the earnings report, CarMax's stock price dropped by $11.45 per share, or about 20%, from $57.05 on September 24, 2025, to $45.60 on September 25, 2025 [3].

Core Viewpoint - The recent sell-off in CarMax's stock has reset market expectations, but the long-term business fundamentals remain intact despite short-term challenges [1][3]. Financial Performance - For the quarter ended August 31 (fiscal Q2), CarMax reported total sales of $6.59 billion, a decrease of 6% year-over-year, with retail used unit sales down 5.4% and comparable store used units declining 6.3% [5]. - Earnings per share for the quarter was $0.64, down from $0.85 a year ago, while SG&A expenses decreased modestly to $601 million [6]. - Retail gross profit per used vehicle was $2,216, and wholesale gross profit per unit was $993, remaining consistent with the previous year's second quarter [6]. Market Reaction - The stock fell over 20% following weaker-than-expected results and concerns about consumer demand and credit trends within CarMax Auto Finance [2][11]. - The market's reaction reflects a combination of softened demand, increased credit costs, and earnings that missed analysts' forecasts [11]. Long-term Outlook - Despite the current challenges, key elements of CarMax's long-term model remain intact, including steady unit margins, strong digital capabilities supporting the omnichannel approach, and planned SG&A reductions [12]. - Management expressed confidence in the long-term strategy, targeting at least $150 million in incremental SG&A reductions over the next 18 months [7][8]. Financing and Loan Losses - CarMax Auto Finance income declined 11% to $103 million, with provisions for loan losses rising to $142 million from $113 million a year ago [9]. - The allowance for loan losses increased to just over 3% of auto loans held for investment, up from 2.8% as of May 31 [9]. Stock Valuation - Following the sell-off to new 52-week lows in the mid-$40s, the stock's valuation appears attractive for investors willing to wait for a recovery in volumes and normalization of credit [13][14]. - The market has priced in significant negative news, but CarMax remains a leading player with stable per-unit profitability and a proven omnichannel model [14].