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CarMax's (KMX) Earnings and Revenues Miss Estimates in Q4
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CarMax Inc. (KMX - Free Report) posted earnings per share of 67 cents in the fourth quarter of fiscal 2018 (ended Feb 28, 2018), reflecting a decline of 17.3% from 81 cents earned a year ago. Adjusted earnings came in at 77 cents per shares. Earnings missed the Zacks Consensus Estimate of 89 cents.
Net sales and operating revenues in the reported quarter increased 0.8% year over year to $4.1 billion. However, this figure missed the Zacks Consensus Estimate of $4.2 billion.
In fiscal 2018, earnings were $3.60 per share, up 10.4% year over year.
In fiscal 2018, net sales and operating revenues were $17.1 billion, up 7.8% from fiscal 2017.
During the quarter, used-vehicle revenues decreased 0.6% to $3.4 billion as unit sales declined 3.1% to 170,572 vehicles. Comparable-store used-vehicle unit sales decreased 8% in the quarter.
Wholesale vehicle revenues grew 13.2% to $527.2 million in the quarter. Unit sales increased 8.9% to 99,226 vehicles. The average selling price of wholesale vehicles rose 3.4% to $5,076.
Other sales and revenues declined 4.5% year over year. The company’s extended protection plan (EPP) revenues decreased 2.4%.
CarMax Auto Finance (CAF) reported an increase of 21.9% in income to $101.1 million in fourth-quarter fiscal 2018.
Store Openings
During the fourth quarter, CarMax opened four stores. It entered two new television markets and added two stores in existing television markets.
Share Repurchase Program
In the quarter under review, CarMax spent $127.8 million to repurchase 1.9 million shares under the existing share buyback program. As of Feb 28, 2018, the company had $1.02 billion of authorization remaining under its share repurchase program.
Financial Position
CarMax had cash and cash equivalents of $44.5 million as of Feb 28, 2018, increasing from $38.4 million as of Feb 28, 2017. Long-term debt (excluding current position) escalated to $995.5 million as of Feb 28, 2018, from $952.6 million as of Feb 28, 2017.
A few better-ranked stocks in the auto space are General Motors Co. (GM - Free Report) , Toyota Motor Corp. (TM - Free Report) and Allison Transmission Holdings, Inc. (ALSN - Free Report) , each sporting a Zacks Rank #1.
General Motors has expected long-term growth rate of 8.4%. The shares of the company rose 8.7% in the past year.
Toyota has expected long-term growth rate of 6.1%. The shares of the company advanced 20.9% in the past year.
Allison Transmission has an expected long-term growth rate of 15%. Past year, shares of the company returned 8.5%.
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
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CarMax's (KMX) Earnings and Revenues Miss Estimates in Q4
CarMax Inc. (KMX - Free Report) posted earnings per share of 67 cents in the fourth quarter of fiscal 2018 (ended Feb 28, 2018), reflecting a decline of 17.3% from 81 cents earned a year ago. Adjusted earnings came in at 77 cents per shares. Earnings missed the Zacks Consensus Estimate of 89 cents.
Net sales and operating revenues in the reported quarter increased 0.8% year over year to $4.1 billion. However, this figure missed the Zacks Consensus Estimate of $4.2 billion.
In fiscal 2018, earnings were $3.60 per share, up 10.4% year over year.
In fiscal 2018, net sales and operating revenues were $17.1 billion, up 7.8% from fiscal 2017.
During the quarter, used-vehicle revenues decreased 0.6% to $3.4 billion as unit sales declined 3.1% to 170,572 vehicles. Comparable-store used-vehicle unit sales decreased 8% in the quarter.
Wholesale vehicle revenues grew 13.2% to $527.2 million in the quarter. Unit sales increased 8.9% to 99,226 vehicles. The average selling price of wholesale vehicles rose 3.4% to $5,076.
Other sales and revenues declined 4.5% year over year. The company’s extended protection plan (EPP) revenues decreased 2.4%.
CarMax Auto Finance (CAF) reported an increase of 21.9% in income to $101.1 million in fourth-quarter fiscal 2018.
Store Openings
During the fourth quarter, CarMax opened four stores. It entered two new television markets and added two stores in existing television markets.
Share Repurchase Program
In the quarter under review, CarMax spent $127.8 million to repurchase 1.9 million shares under the existing share buyback program. As of Feb 28, 2018, the company had $1.02 billion of authorization remaining under its share repurchase program.
Financial Position
CarMax had cash and cash equivalents of $44.5 million as of Feb 28, 2018, increasing from $38.4 million as of Feb 28, 2017. Long-term debt (excluding current position) escalated to $995.5 million as of Feb 28, 2018, from $952.6 million as of Feb 28, 2017.
CarMax currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A few better-ranked stocks in the auto space are General Motors Co. (GM - Free Report) , Toyota Motor Corp. (TM - Free Report) and Allison Transmission Holdings, Inc. (ALSN - Free Report) , each sporting a Zacks Rank #1.
General Motors has expected long-term growth rate of 8.4%. The shares of the company rose 8.7% in the past year.
Toyota has expected long-term growth rate of 6.1%. The shares of the company advanced 20.9% in the past year.
Allison Transmission has an expected long-term growth rate of 15%. Past year, shares of the company returned 8.5%.
CarMax, Inc. Price, Consensus and EPS Surprise
CarMax, Inc. Price, Consensus and EPS Surprise | CarMax, Inc. Quote
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