On the stock market since 1997, it operates in the world of automobiles. It has 27,796 employees. Now — the numbers.
This is an established company with proven profits.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
The gap is $17.7B. In times of high interest rates, a gap like that can squeeze a company.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly below the class average.
Clearly below the class average.
The price isn’t cheap next to earnings — that’s why this grade sits in the middle.
Clearly below the class average.
The stock has been running stronger than the market lately.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Business Quality: Profit power and business quality trail similar companies in the sector.
angles, checked one by one.
The 2 that stand out are on screen; the rest came back neutral.
The council scores out of 10; report-card grades are out of 100.
Profit per Sale: The profit kept from each sale is thin.
An investor who bought at the very peak is down 61% today. The business is the same; what changed most is the price — and the expectations — the market pins on it.
Over the last 12 months, company executives reported 29 buys and 21 sells. Management buying with its own money is usually read as a good sign.
Over the last 3 years, sales fell about 4% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
The company’s market value is 33 times its annual profit. Even a small disappointment could hit the price hard.
The stock trades 15% above the average analyst price target.
On our five-subject report card, KMX sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: KMX is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.