Is CarMax (KMX) overvalued or fairly valued?

MarketChacha shows CarMax's valuation in context — a trailing P/E of about 16.8, a forward P/E of about 20.4, a price-to-book of about 1.5 — alongside its revenue and profit growth and whether reported profit converts into operating cash, so you can judge value for yourself. MarketChacha does not issue ratings, price targets, or buy/sell advice.

Does CarMax's reported profit turn into cash?

Over 4 years, operating cash flow fully covered reported profit — earnings are backed by real cash. MarketChacha computes this cash-conversion check (2.42×) from reported figures — education, not a rating.

What is CarMax's revenue?

CarMax reported revenue of $25.9B for FY2026, with net profit of $247.3M, per official filings.

What is the share price of CarMax (KMX)?

CarMax last traded at $63.29 (+1.0% on the day), as of 9/4/2026 — a delayed quote shown for education, not investment advice.

CarMax

KMX · NYSE · Consumer Discretionary · United States

Snapshot

TickerKMX

ExchangeNYSE

SectorConsumer Discretionary

IndustryAuto & Truck Dealerships

CountryUnited States

Employees28,000

HeadquartersRichmond, United States

Websitewww.carmax.com

Filings tracked16

About CarMax

CarMax, Inc., through its subsidiaries, operates as a retailer of used vehicles and related products in the United States. The company operates in two segments: CarMax Sales Operations and CarMax Auto Finance. The CarMax Sales Operations segment offers customers a range of makes and models of used vehicles, including domestic, imported, and luxury vehicles, as well as hybrid and electric vehicles; wholesale auctions; extended protection plans to customers at the time of sale; and reconditioning and vehicle repair services. The CarMax Auto Finance segment provides financing alternatives for retail customers across a range of credit spectrum and arrangements with various financial institutions. The company was founded in 1993 and is based in Richmond, Virginia.

Who owns it

Insiders0.5%
Institutions99.5%
Public & other0.0%

713 institutional holders

Ownership breakdown from public market data.

Top holders

Blackrock Inc.12.04%
Vanguard Portfolio Management LLC5.13%
AQR Capital Management, LLC4.67%
Vanguard Capital Management LLC4.52%
Srs Investment Management, Llc4.17%
Two Sigma Investments, LP4.11%
State Street Corporation3.63%
Dimensional Fund Advisors LP3.51%

Largest institutional holders — last updated 6/30/2026.

Forensic scorecard

Latest ROE of 4.2% is on the low side — the business earns a modest return on shareholder capital.

Cash conversion2.42×

Over 4 years, operating cash flow fully covered reported profit — earnings are backed by real cash.

Net margin trend1.6% → 1.0%

Margin has held broadly steady over the period — stable profitability.

Return on equity4.2%

Latest ROE of 4.2% is on the low side — the business earns a modest return on shareholder capital.

Growth qualityrev -4% · PAT -20%

Profit growth is broadly tracking revenue growth — the earnings trend looks operational rather than one-off.

Computed by MarketChacha from reported figures (SEC XBRL). Education, not a rating or recommendation.

What's expected next

Next quarter

Rev $6.1B · EPS 0.45

Est. earnings growth -23.9%

Next fiscal year

Rev $27.7B · EPS 3.13

Est. earnings growth +13.4%

Analyst consensus estimates — not the company's own guidance.

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P/E ROE ROCE Margins Market cap

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Financials at a glance

Source: SEC XBRL

Annual

Quarterly · last 8

Revenue (FY2026)

$25.9B

Net margin

1.0%

ROE

4.2%

Revenue CAGR (3y)

-4.5%

Profit CAGR (3y)

-20.1%

EPS (FY2026)

1.68

Net profit (FY2026)

$247.3M

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Financials

Yearly

Period	Revenue	Net profit	EPS	Net margin	ROE
FY2026	$25.9B	$247.3M	1.68	1.0%	4.2%
FY2025	$26.4B	$500.6M	3.21	1.9%	8.0%
FY2024	$26.5B	$479.2M	3.02	1.8%	7.9%
FY2023	$29.7B	$484.8M	3.03	1.6%	8.6%

Quarterly

Period	Revenue	Net profit	EPS	Net margin
2026Q2	$8.0B	$185.6M	1.31	2.3%
2025Q4	$5.8B	$62.2M	0.43	1.1%
2025Q3	$6.6B	$95.4M	0.64	1.4%
2025Q2	$7.5B	$210.4M	1.38	2.8%
2024Q4	$6.2B	$125.4M	0.81	2.0%
2024Q3	$7.0B	$132.8M	0.85	1.9%
2024Q2	$7.1B	$152.4M	0.97	2.1%
2023Q4	$6.1B	$82.0M	0.52	1.3%
2023Q3	$7.1B	$118.6M	0.75	1.7%
2023Q2	$7.7B	$228.3M	1.44	3.0%

Figures as reported, in reporting currency. Source: SEC XBRL.

Filings & announcements

2026

8-K — Executive/director change, Exhibits
SEC7/31/2026material
10-Q filing
SEC6/24/2026
8-K — Executive/director change, Shareholder vote results, Exhibits
SEC6/24/2026material
8-K — Results of operations, Material financial obligation, Exhibits
SEC6/17/2026material
8-K — Executive/director change
SEC6/8/2026material
8-K — Executive/director change, Exhibits
SEC5/12/2026material
10-K filing
SEC4/15/2026
8-K — Results of operations, Exhibits
SEC4/14/2026material
8-K — Executive/director change, Exhibits
SEC4/9/2026material
8-K — Executive/director change, Exhibits
SEC3/2/2026material
8-K — Executive/director change, Reg FD disclosure, Exhibits
SEC2/12/2026material

2025

10-Q filing
SEC12/23/2025
8-K — Results of operations, Exhibits
SEC12/18/2025material
8-K — Results of operations, Executive/director change, Reg FD disclosure, Other events, Exhibits
SEC11/6/2025material
10-Q filing
SEC9/26/2025
8-K — Results of operations, Exhibits
SEC9/25/2025material

In the news

Education and discussion only — not investment advice. Financials from official filings (SEC/BSE) and reported company statements; market figures (delayed market data) are delayed and shown for reference only. Verify with the linked sources before acting.