Welcome to our dedicated page for CarMax news (Ticker: KMX), a resource for investors and traders seeking the latest updates and insights on CarMax stock.
CarMax Inc. (NYSE: KMX) is the largest retailer of used cars in the United States, founded in 1993 in Richmond, Virginia. Since its inception, CarMax has grown from a single store to over 240 locations, revolutionizing the car buying experience by making it easy and enjoyable. The company sells, finances, and services a wide range of vehicles, both used and new, through its extensive retail chain. CarMax also operates a significant wholesale business, auctioning used cars and adding to its robust revenue streams.
In the fiscal year ending February 28, 2023, CarMax sold approximately 810,000 used vehicles and 590,000 wholesale vehicles, showcasing its substantial market presence. The company also offers financial services, with CarMax Auto Finance originating nearly $9 billion in receivables, contributing to a $17 billion portfolio. Despite its size, CarMax estimates it holds only 3.7% of the U.S. market share for vehicles aged 0-10 years, aiming to increase this share to over 5% in the coming years.
CarMax is committed to sustainability and has made significant strides in reducing its carbon footprint. Recently, the company announced the pilot of its first all-electric semi-truck in California, a move aligned with its target of reducing greenhouse gas emissions by 50% by 2025 and achieving net-zero carbon emissions by 2050. The company also ranks 13th on the EPA’s Green Power Partnership Top 30 Retail list, with 36% of its electricity coming from renewable sources.
Recognized for its exemplary work environment, CarMax has been listed on the Fortune 100 Best Companies to Work For® for 19 consecutive years. The company prides itself on integrity, honesty, and transparency, providing a truly personalized experience for customers, whether online or in-store. The company’s success is attributed to its dedicated team of over 30,000 associates, who are fundamental to its ongoing growth and innovation in the automotive retail industry.
CarMax (NYSE: KMX) hosted a virtual Analyst Day, focusing on its digital transformation and omni-channel strategy. CEO Bill Nash emphasized the company's strong market position and ambitious growth targets. CarMax aims to increase its market share of 0- to 10-year-old vehicles to over 5% by 2025 and sell 2 million used autos annually by FY2026, projecting revenues of approximately $33 billion. The company highlights its competitive advantages, including technology, data utilization, and a customer-centric approach as key to driving future growth.
CarMax (NYSE: KMX) will host its Virtual Analyst Day on May 6, 2021, from 9:00 a.m. to 11:30 a.m. ET. Aimed at financial analysts and institutional investors, the event will showcase CarMax's omni-channel strategy and digital initiatives. Key executives, including CEO Bill Nash and CFO Enrique Mayor-Mora, will lead discussions. The event will be webcasted live, featuring a Q&A session with management. CarMax, the largest used auto retailer in the U.S., sold over 750,000 used vehicles and $6 billion in receivables during fiscal year 2021.
CarMax (KMX) has partnered with Dunkin’ to enhance its 24-Hour Test Drive promotion. Customers participating in the offer from now until May 16 will receive a $10 Dunkin’ gift card. The initiative aims to provide a fun and practical test drive experience, incorporating daily routines like coffee runs. Additionally, customers can enter a sweepstakes by sharing their experiences on social media. CarMax's 24-Hour Test Drives are part of its 'Love Your Car Guarantee,' which includes a 30-Day Money Back Guarantee. This collaboration aims to improve customer engagement and satisfaction.
CarMax (NYSE:KMX) has announced the acquisition of Edmunds for an enterprise value of $404 million, expected to be finalized by June 2021. This strategic move aims to enhance CarMax's digital offerings by leveraging Edmunds' technology and content, while maintaining Edmunds' independent operations. In 2020, Edmunds generated around $140 million in revenue. The acquisition follows a $50 million investment in Edmunds in 2020 by CarMax and is anticipated to create long-term shareholder value, although the short-term impact on earnings per share is expected to be immaterial.
CarMax, the leading used car retailer, reported a 4.1% increase in net sales to $5.16 billion for Q4 2021. However, net earnings fell by 2.3% to $209.9 million, with diluted EPS also decreasing to $1.27. Total used vehicle unit sales dropped by 0.9%, while comparable store sales declined by 2.3%. CarMax Auto Finance income surged by 68.2% due to lower loan loss provisions. The company recently signed an agreement to acquire Edmunds, enhancing its digital capabilities. Looking ahead, CarMax anticipates continued growth in sales and market share.
CarMax (NYSE: KMX) is set to release its financial results for the fourth quarter and fiscal year ending February 28, 2021, on April 1, 2021, before market opening. A conference call with key executives, including CEO Bill Nash and CFO Enrique Mayor-Mora, will discuss these results at 9:00 a.m. ET. Investors can access the call via phone or a live audio webcast on CarMax's investor relations site. The company is known for its integrity and transparency in the used car market, having sold over 830,000 used cars during the last fiscal year.
CarMax (NYSE: KMX) has pledged to achieve net zero carbon emissions by 2050, aligning with the Paris Agreement's climate goals. The company aims for a 50% reduction in greenhouse gas emissions by 2025, based on 2018 levels. Their strategy targets Scope 1 (own emissions) and Scope 2 (renewable energy use) emissions through various initiatives including energy conservation and renewable energy sourcing. Additionally, CarMax plans to lead in the electric vehicle market by enhancing its infrastructure and training to service used EVs.
CarMax (NYSE: KMX) announces $500 bonuses for full-time and $250 for part-time associates to recognize their hard work amid challenges. This incentive affects over 80% of its 22,000 associates, rewarding their commitment to customer service and innovation. The company has adapted to changing market conditions by launching CarMax Curbside and other initiatives, enhancing its omni-channel platform. CarMax has been recognized as one of the FORTUNE 100 Best Companies to Work For® for 16 consecutive years and is currently hiring 1,750 new associates.
On February 2, 2021, CarMax (NYSE:KMX) announced a Virtual Analyst Day scheduled for May 6, 2021. The event will feature presentations from key executives, including CEO Bill Nash and CFO Enrique Mayor-Mora, discussing the company's strategy and digital initiatives. A Q&A session will follow, allowing analysts and investors to engage. CarMax continues to lead the market with over 830,000 used cars sold in the last fiscal year and is recognized as one of the Fortune 100 Best Companies to Work For® for 16 consecutive years.
CarMax, the largest used-car retailer in the U.S., announced the launch of its Love Your Car Guarantee, introducing a 30-Day Money Back Guarantee and 24-Hour Test Drives. This initiative aims to enhance customer confidence and satisfaction by allowing buyers to return a vehicle within 30 days or 1,500 miles for a full refund. Research shows 96% of shoppers would utilize a 24-hour test drive option, reflecting a strong consumer interest in this offering. CarMax continues to innovate in the automotive retail sector, emphasizing a stress-free, no-haggle buying experience.
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