CarMax lifts earnings outlook drivers, shares trade higher on NYSE analyst focus

By Anna Wagner, Analysts & Consensus desk. Reviewed prior to publication on 2026-06-23, 19:47.

CarMax Inc (US1431301027) draws renewed analyst attention this week after a solid first-quarter earnings beat and a higher price target from UBS, while the shares continue to trade actively on the NYSE. UBS now sees the used-car retailer at 57 US dollars, as Investing.com reports, up from a previous 42 dollars target. Investing.com analyst note on UBS move

What UBS changes in its model

UBS lifted its CarMax price target to 57 dollars citing higher expected unit growth and stronger earnings power into fiscal 2027 and 2028. Investing.com analyst note on UBS move The bank keeps a Neutral rating, but raises its earnings-per-share estimates for fiscal 2027 to 2.72 dollars and for fiscal 2028 to 3.26 dollars, increases of 19 percent and 23 percent versus its previous model.

The new projections assume vehicle unit growth of about 3 percent annually over the next two fiscal years, reflecting a gradual recovery in used-car demand and a more effective pricing strategy. Investing.com analyst note on UBS move According to InvestingPro data cited in the note, consensus for CarMax’s fiscal 2027 EPS currently stands at 2.66 dollars, so UBS now runs modestly ahead of the street.

How Wall Street views CarMax after Q1

The analyst discussion builds on a stronger-than-expected first quarter of fiscal 2027, where CarMax reported earnings per share of 1.31 dollars against a consensus of 0.96 dollars. Investing.com analyst note on UBS move Revenue came in around 8 billion dollars, comfortably above the approximately 7.39 billion dollars analysts had anticipated.

Under new CEO Keith Barr, the company is adjusting its pricing and inventory strategy, with vehicle volumes up about 3 percent in the quarter and wholesale units advancing roughly 8 percent, according to the same report. Investing.com analyst note on UBS move Other houses remain more cautious: Mizuho recently raised its target from 38 to 43 dollars with a Hold stance, while Barclays stays Underweight with a 31 dollar target, citing patchy historical execution. Zacks recap of CarMax Q1 results and rating context

How CarMax makes its money

CarMax operates a nationwide used-vehicle retail model in the United States, combining large-format physical superstores with a growing online platform for browsing, financing and home delivery. The company generates revenue from used-car sales to retail customers, wholesale auctions of vehicles it does not retail, and associated financing and service products.

Where the shares trade today

CarMax shares (US1431301027) trade on 2026-06-23 at 52.48 US dollars on the NYSE, according to the latest quote data, implying a market capitalization of roughly 7.44 billion US dollars at that price level.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, an offer, or a solicitation to buy or sell any financial instrument. Figures and dates are based on publicly available sources believed to be reliable but cannot be guaranteed.