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Auto Finance And Digital Sales Will Expand Dealer Reach

Published
29 Sep 24
Updated
10 Oct 25
AnalystConsensusTarget's Fair Value
US$57.79
25.3% undervalued intrinsic discount
10 Oct
US$43.17
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1Y
-40.9%
7D
-7.8%

Author's Valuation

US$57.7925.3% undervalued intrinsic discount

AnalystConsensusTarget Fair Value

Shared on10 Oct 25
Fair value Decreased 25%

CarMax's fair value estimate has been revised sharply lower, dropping from $76.93 to $57.79. Analysts point to mounting sales uncertainty, downward earnings revisions, and lack of visible turnaround strategies following weaker-than-expected Q2 results and multiple price target cuts across the Street.

Shared on26 Sep 25
Fair value Decreased 5.53%

CarMax’s consensus price target has been reduced from $81.44 to $76.93 as weaker-than-expected Q2 results, increased uncertainty around future strategy, and ongoing operating headwinds overshadow cautious optimism regarding operational improvements and growth initiatives. Analyst Commentary Weak Q2 results, including a broad earnings miss and underperformance across key metrics, have raised doubts about CarMax's ability to sustain market leadership and deliver additional growth.

Shared on07 May 25
Fair value Decreased 2.27%

Shared on30 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on23 Apr 25
Fair value Decreased 0.68%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on16 Apr 25
Fair value Decreased 8.39%

AnalystConsensusTarget has decreased revenue growth from 3.6% to 3.0%, decreased profit margin from 3.4% to 2.6% and increased future PE multiple from 16.8x to 20.6x.

Shared on09 Apr 25
Fair value Decreased 0.66%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on02 Apr 25
Fair value Decreased 0.21%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on26 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on19 Mar 25
Fair value Decreased 0.14%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on10 Mar 25
Fair value Increased 8.51%

AnalystConsensusTarget has increased revenue growth from 2.7% to 3.4%, increased profit margin from 2.6% to 3.4% and decreased future PE multiple from 20.8x to 17.0x.