# CarMax Inc (KMX) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Automobiles. Price $63.29, market value $9.0 billion.

## Valuation
- **P/E (trailing): 39.3×** (5-yr avg 23.2×, 3-yr avg 25.9×). CarMax Inc trades at 39.3× trailing earnings, well above its own five-year average of 23.2×: investors are paying up relative to the company's past. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 20.6×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.3×**. Each dollar of revenue is priced at 0.3×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 1.5×**. The shares trade at 1.5× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 11.1%** (5-yr avg 2.5%). Free cash flow equals 11.1% of the market value, above its five-year average of 2.5%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 2.5%**. The inverse of the P/E: 2.5% of the price is earned each year.

## Profitability
- **Gross margin: 10.5%**. CarMax Inc keeps 10.5% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Net margin: 1.0%**. 1.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 4.2%**. 4.2% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on assets: 0.8%**. Each dollar of assets produces 0.8% of profit.

## Growth
- **Revenue growth (1 yr): -1.8%** (3-yr -4.5%/yr, 5-yr 6.4%/yr). Revenue fell 1.8% over the last year, against 6.4% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -47.7%** (3-yr -17.8%/yr, 5-yr -18.0%/yr). Earnings per share fell 47.7%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 13.0%/yr**. Free cash flow has compounded at 13.0% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 3.06**. Debt is 3.06 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. CarMax Inc does not currently pay a dividend.

## Price and momentum
- **Total return (1 yr): 3.8%** (YTD 63.8%, 3-mo 34.2%). The shares are up 3.8% over twelve months including dividends.
- **From 52-week high: -3.0%** (109.2% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 63**. An RSI of 63 is neutral.
- **Beta (1 yr): 1.36** (volatility 55%). Beta of 1.36 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=KMX · Page: https://foliofundamentals.com/stocks/kmx

Not investment advice.