CarMax Competitors

KMX Stock

USD 38.55 -1.03 -2.60%

The company runs in the Consumer Discretionary industry (Specialty Retail sector). The peer set for CarMax Inc commonly includes AutoNation, Group 1, Allison Transmission, Lear, and Lithia Motors. CarMax's dividend payout versus peers highlights whether the yield is sustainable or stretched.

CarMax vs Light Wonder Correlation Summary

Poor diversification

The correlation between CarMax and Light Wonder is 0.63, which Macroaxis classifies as Poor diversification for the selected horizon. In portfolio terms, the overlap shows how much shared movement remains after combining both positions.

Moving Against CarMax Stock

0.33

TRV

The Travelers Companies

Pair Corr

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Mean reversion in CarMax's price occurs when temporary dislocations correct back toward its historical intrinsic value estimate. This tendency of CarMax's price to converge to an average value over time is called mean reversion.

Sentiment

Range

Low	Sentiment	High
35.13	38.55	41.97

Details

Intrinsic

Valuation

Low	Intrinsic	High
31.28	34.70	42.41

Details

Naive

Forecast

Low	Next	High
32.42	35.84	39.26

Details

Bollinger

Band Projection (param)

Lower	Middle Band	Upper
36.92	41.86	46.80

Details

Peer benchmarking frames CarMax's operating metrics and market pricing against comparable companies. Placing CarMax's results in peer context distinguishes company-specific performance from industry-wide trends.

CarMax Competition Correlation Matrix

Reviewing how CarMax Inc moves relative to competing stocks can show whether peer exposure is reducing portfolio risk or simply repeating the same market bet. The business currently sits in the Consumer Cyclical sector and the Auto & Truck Dealerships industry. In practical terms, lower correlation may offer better diversification while higher correlation may leave the portfolio more exposed to one shared driver.

	AN	GPI	ALSN	LEA	LAD	HRB	ABG	MAT	BYD	LNW
AN		0.86	0.08	0.54	0.86	0.5	0.81	0.61	0.42	0.75	AN
GPI	0.86		-0.02	0.2	0.71	0.72	0.73	0.54	0.37	0.58	GPI
ALSN	0.08	-0.02		0.27	-0.22	-0.42	-0.22	-0.5	0.64	-0.3	ALSN
LEA	0.54	0.2	0.27		0.54	-0.3	0.52	0.3	0.32	0.46	LEA
LAD	0.86	0.71	-0.22	0.54		0.54	0.93	0.87	0.19	0.92	LAD
HRB	0.5	0.72	-0.42	-0.3	0.54		0.5	0.64	0.01	0.5	HRB
ABG	0.81	0.73	-0.22	0.52	0.93	0.5		0.8	0.13	0.88	ABG
MAT	0.61	0.54	-0.5	0.3	0.87	0.64	0.8		-0.08	0.86	MAT
BYD	0.42	0.37	0.64	0.32	0.19	0.01	0.13	-0.08		0.07	BYD
LNW	0.75	0.58	-0.3	0.46	0.92	0.5	0.88	0.86	0.07		LNW
	AN	GPI	ALSN	LEA	LAD	HRB	ABG	MAT	BYD	LNW

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High positive correlations

ABG	+ 0.93	LAD
LNW	+ 0.92	LAD
LNW	+ 0.88	ABG
MAT	+ 0.87	LAD
GPI	+ 0.86	AN
LAD	+ 0.86	AN

High negative correlations

MAT	- 0.5	ALSN
HRB	- 0.42	ALSN
HRB	- 0.3	LEA
LNW	- 0.3	ALSN
ABG	- 0.22	ALSN
LAD	- 0.22	ALSN

Risk-Adjusted Indicators

Return momentum in CarMax Stock is more useful when tested against peer-relative fundamentals and risk. Without risk-adjusted context, short-term returns may appear stronger than the volatility required to achieve them would suggest. These indicators are quantitative in nature and measure volatility and risk-adjusted expected returns across different positions.

	Mean Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
AN	1.39	-0.06	0.00	-0.05	0.00	0.00	2.94	-2.87	9.18
GPI	1.43	-0.20	0.00	-0.25	0.00	0.00	3.11	-2.74	10.03
ALSN	1.39	0.35	0.21	0.27	1.43	-1.61	3.58	-2.23	8.67
LEA	1.64	0.13	0.08	0.09	1.51	-2.12	4.76	-2.89	13.83
LAD	1.52	-0.23	0.00	-0.21	0.00	0.00	2.97	-3.02	8.59
HRB	2.16	-0.38	0.00	-3.82	0.00	0.00	3.40	-4.57	14.15
ABG	1.41	-0.25	0.00	-0.27	0.00	0.00	2.30	-2.74	9.18
MAT	1.71	-0.47	0.00	-0.65	0.00	0.00	2.25	-3.24	27.04
BYD	1.53	0.02	0.01	0.02	1.99	-1.59	3.10	-2.99	8.39
LNW	2.37	-0.39	0.00	-0.28	0.00	0.00	5.01	-4.62	14.15

CarMax Competitive Analysis

CarMax competes directly with AutoNation, Group 1, and Allison Transmission, and the financial data points to clear areas of divergence. On scale alone, CarMax's 5.47 B valuation and 25.88 B revenue define its weight class. The company converts revenue to profit at a 0.89% rate and delivers 4.08% on shareholder equity. AutoNation converts shareholder equity more efficiently at 27.06% versus CarMax at 4.08%. Group 1 keeps more of each revenue dollar with a 1.44% margin versus 0.89% at CarMax. CarMax pulls in 25.88 B in revenue while Allison Transmission reports 3.01 B.

Better Than Average

Worse Than Peers

View Performance Chart

	KMX	AN	GPI	ALSN	LEA	LAD	HRB
	2.60 38.55 CarMax	0.20 202.97 AutoNation	0.47 341.39 Group	0.36 135.51 Allison	1.08 128.32 Lear	0.07 276.39 Lithia	1.49 31.01 HRB
Market Volatility (90 Days Market Risk)	Very Low	Very Low	Very Low	Very Low	Very Low	Very Low	Low
Market Performance (90 Days Performance)	Weak	Weak	Weak	Balanced	Mild	Weak	Weak
Odds of Financial Distress (Probability Of Bankruptcy)	Low	Below Average	Low	Low	Low	Low	Moderate
Current Valuation (Equity Enterprise Value)	Above Model Estimate	Aligned With Model	Aligned With Model	Below Model Estimate	Below Model Estimate	Above Model Estimate	Above Model Estimate
Buy or Sell Analysis (Average Analysts Consensus)	Not Available	Not Available	Not Available	Not Available	Not Available	Not Available	Not Available
Trade Advice (90 Days Macroaxis Advice)	Cautious Hold	Strong Hold	Hold	Strong Buy	Buy	Hold	Strong Sell
Current Ratio	2.75 X	1.05 X	1.00 X	1.72 X	1.33 X	1.66 X	1.39 X
Net Asset	26.37 B	14.39 B	10.35 B	6.08 B	14.84 B	25.11 B	3.26 B
Profit Margin	0.0089	0.0235	0.0144	0.21	0.0188	0.0218	0.16
EBITDA	768.58 M	1.5 B	855.4 M	1.03 B	725.9 M	1.87 B	976.34 M
Operating Margin	0.0181	0.0405	0.0389	0.22	0.044	0.0389	-1.5
Current Valuation	23.89 B	17.09 B	9.87 B	12.45 B	8.36 B	21.66 B	6.58 B
Price To Book	0.93 X	2.98 X	1.45 X	5.92 X	1.29 X	0.99 X	74.01 X
Retained Earnings	4.04 B	5.98 B	4.42 B	-38 M	6.19 B	6.52 B	12.06 M
Current Asset	2.47 B	3.63 B	2.19 B	616.8 M	5.65 B	1.88 B	1.22 B
Five Year Return	N/A	N/A	1.15 %	1.64 %	1.63 %	0.79 %	4.43 %
Number Of Employees	27.8 K	24.8 K	20.45 K	4 K	164.3 K	30 K	4.3 K
Shares Outstanding	141.82 M	34.33 M	11.87 M	83.13 M	50.63 M	23.3 M	126.76 M
Cash Flow From Operations	1.78 B	111.9 M	694.5 M	824 M	1.09 B	542.8 M	680.88 M
Annual Yield	N/A	N/A	0.01 %	0.01 %	0.02 %	0.01 %	0.05 %
Total Debt	2.77 B	10.18 B	5.87 B	2.92 B	4.1 B	14.69 B	2.35 B
Return On Equity	0.0408	0.27	0.11	0.35	0.11	0.12	0.68
Trailing Beta	1.3	0.81	0.88	0.97	1.25	1.22	0.33
Return On Asset	0.0161	0.0611	0.0593	0.1	0.0449	0.0422	0.19
Number Of Shares Shorted	15.09 M	2.17 M	1.02 M	2.5 M	1.7 M	2.35 M	13.84 M
Book Value Per Share	41.53 X	66.51 X	234.09 X	22.54 X	99.42 X	280.99 X	-6.49 X
Current Liabilities	1.01 B	2.98 B	2.04 B	304.6 M	4.18 B	1.59 B	1.04 B
Total Asset	26.37 B	14.39 B	10.35 B	6.08 B	14.84 B	25.11 B	3.26 B
Debt To Equity	3.59 %	2.42 %	1.50 %	3.29 %	0.72 %	1.37 %	9.10 %
Short Ratio	4.81 X	4.69 X	5.08 X	2.82 X	2.63 X	6.63 X	6.25 X
Target Price	41.69	236.64	430.27	133.3	139.86	364.6	41.0
Last Dividend Paid	N/A	N/A	N/A	1.08	3.08	2.2	1.59
Shares Owned By Institutions	99.56 %	99.38 %	97.61 %	99.28 %	99.52 %	98.90 %	95.95 %
Price To Earnings	14.73 X	4.96 X	9.85 X	18.00 X	54.89 X	9.87 X	87.78 X
Market Capitalization	5.47 B	6.97 B	4.03 B	11.06 B	6.57 B	6.47 B	3.93 B
Price To Earnings To Growth	0.65 X	0.76 X	0.36 X	0.80 X	0.36 X	0.53 X	0.59 X
Price To Sales	0.20 X	0.25 X	0.18 X	3.67 X	0.28 X	0.17 X	1.04 X
Net Income	247.29 M	649.1 M	325.2 M	623 M	527.1 M	825.9 M	605.77 M
Earnings Per Share	1.68 X	17.05 X	25.14 X	7.33 X	8.15 X	32.33 X	4.28 X
Shares Owned By Insiders	0.44 %	1.51 %	2.39 %	0.72 %	0.48 %	1.10 %	1.24 %
Revenue	25.88 B	27.63 B	22.57 B	3.01 B	23.26 B	37.63 B	3.76 B
Working Capital	2.9 B	-892.9 M	259.5 M	1.77 B	2 B	1.16 B	-136.06 M
Cash And Equivalents	246.96 M	58.6 M	32.5 M	180 M	1.03 B	246.7 M	983.28 M
Cash Per Share	0.36 X	8.93 X	1.79 X	1.89 X	14.00 X	8.44 X	5.53 X
Gross Profit	3.37 B	4.95 B	3.62 B	1.46 B	1.74 B	5.81 B	1.67 B
Day Typical Price	39.02	202.67	339.22	135.69	128.97	276.72	31.09
Accumulation Distribution	0.0424	0.0152	1812.47	10954.74	11003.04	0.0221	0.0461
Market Facilitation Index	1.7	3.11	1.0E-4	0.0	0.0	6.18	1.47
Daily Balance Of Power	-0.61	-0.13	0.203	-0.21	-0.38	-0.03	-0.32
Period Momentum Indicator	-1.03	-0.41	1.61	-0.49	-1.40	-0.19	-0.47
Rate Of Daily Change	0.97	1.0	1.0	1.0	0.99	1.0	0.99
Day Median Price	39.26	202.52	338.14	135.78	129.29	276.89	31.14
Price Action Indicator	-1.23	0.25	4.06	-0.51	-1.67	-0.60	-0.36
Relative Strength Index	41.66	51.49	48.44	67.85	57.26	48.45	43.63
Coefficient Of Variation	-1,798	-3,823	-1,073	518.76	1690.23	-841.79	-780.33
Mean Deviation	2.37	1.39	1.43	1.39	1.64	1.52	2.16
Jensen Alpha	-0.20	-0.06	-0.20	0.349	0.1321	-0.23	-0.38
Total Risk Alpha	-0.20	-0.06	-0.20	0.3496	0.1331	-0.23	-0.37
Sortino Ratio	N/A	N/A	N/A	0.2098	0.0822	N/A	N/A
Downside Variance	N/A	N/A	N/A	2.76	2.57	N/A	N/A
Standard Deviation	3.42	1.91	2.04	1.86	2.38	1.89	2.87
Kurtosis	5.93	1.97	3.55	1.6	5.69	-0.27	2.03
Potential Upside	3.98	2.94	3.11	3.58	4.76	2.97	3.4
Treynor Ratio	-0.16	-0.05	-0.25	0.2679	0.0892	-0.21	-3.82
Maximum Drawdown	23.17	9.18	10.03	8.67	13.83	8.59	14.15
Variance	11.7	3.66	4.15	3.44	5.65	3.56	8.24
Market Risk Adjusted Performance	-0.15	-0.04	-0.24	0.2779	0.0992	-0.20	-3.81
Risk Adjusted Performance	-0.04	-0.02	-0.08	0.1856	0.0615	-0.11	-0.11
Skewness	-1.54	0.527	-0.84	0.3937	1.86	-0.02	0.138
Semi Deviation	N/A	N/A	N/A	1.43	1.51	N/A	N/A
Information Ratio	-0.06	-0.03	-0.1	0.1879	0.0554	-0.12	-0.13
Value At Risk	-4.26	-2.87	-2.74	-2.23	-2.89	-3.02	-4.57
Expected Short fall	N/A	N/A	N/A	-1.61	-2.12	N/A	N/A
Downside Deviation	N/A	N/A	N/A	1.66	1.6	N/A	N/A
Semi Variance	N/A	N/A	N/A	2.03	2.28	N/A	N/A

CarMax Competition Peer Performance Charts

How to Analyze CarMax Against Peers

CarMax's peer analysis compares CarMax with related companies to put valuation, quality, and risk metrics in context. This establishes whether recent performance is company-specific or broadly sector-driven. A practical workflow includes:

Set a relevant peer group: Include direct competitors and close alternatives with comparable business exposure.
Benchmark core financials: Compare profitability, growth, capital structure, and cash flow quality.
Check valuation dispersion: Review whether CarMax trades at a premium or discount versus peers and why.
Evaluate risk profile: Compare volatility, drawdowns, and correlation to avoid false diversification assumptions.
Document the thesis: Record where CarMax leads or lags and what catalysts could close or widen the gap.

Use this as an educational baseline, then validate conclusions with current filings, market conditions, and portfolio objectives.

Peer Comparison Metrics & Methodology

CarMax's beta is lower than the peer group average, meaning its stock tends to swing less during broad market moves. Relative ranking may help frame which fundamentals deserve deeper follow-up. For peer comparison, CarMax has a market cap of 5.47 B, P/E of 14.73, profit margin of 0.89%.

CarMax Inc data is compiled from periodic company reporting and market reference feeds and standardized for comparability.

Editorial review and methodology oversight provided by: Vlad Skutelnik, Macroaxis Contributor