Cautionary Commentary on CarMax (KMX) Amid Leadership Shakeup
"Lastly, looking at the car space, we're looking at shares of CarMax. This is ticker KMX. We're seeing the stock sinking today. Uh the lowest level since 2012. Analysts really warning of margin pressure here, but the company did terminate its CEO over lagging sales. And of course, we know uh the stock has really taken a nose dive so far this year. Stock is down about 58% so far in 2025, but we really are seeing a lot of people just really just grappling with and trying to understand here the termination of the CEO and you're really starting to see that drag here on the company."
— Nora Melinda
The speaker highlights a sharp decline in CarMax's stock, noting its lowest levels since 2012 and significant drop of 58% year-to-date, compounded by margin pressures and the CEO termination over lagging sales, suggesting mounting concerns about the company's direction.
Target:N/A
Horizon:Medium-term 3–12 months
Company CommentaryBearish
Medium ConvictionScore: 7.6
Company Opinion •Stock Movers • Nov 6, 2025
CarMax Struggles Amid Weak Results and Consumer Distress
+4.15%current return
"Wall Street analysts and investors really just coming out and saying, "Hey, you know, this is not a good look right now.""
— Bill Nash / Market Commentary
CarMax was the worst performing stock in the S&P 500 this week, down about 23%, following weaker-than-expected results. Management attributed the downturn to a strained used car market, impacted by factors such as consumer distress and fallout from tariffs, casting a negative light on its near-term prospects.
Entry:$44.85
Target:N/A
Horizon:Short-term <3 months
Company CommentaryBearish
Medium ConvictionScore: 7.4
Company Commentary •Stock Movers • Sep 27, 2025