Why CarMax Stock Fell 14% in September
Shares of CarMax (NYSE: KMX) fell 14% in September, according to data provided by S&P Global Market Intelligence. The stock was trending a little lower early in the month but its fall accelerated after the company reported earnings for the second quarter of its fiscal 2021 on Sept. 24.
In Q2, CarMax had record sales. Not only were quarterly vehicle sales up 3.9% year over year, but the average gross profit per unit was also up. Used vehicle gross profit was up to $2,214, an increase of a little more than 1% from last year. Gross profit for wholesale vehicles hit a record at $1,086 per unit. These gains resulted in net earnings of $297 million, handily beating analyst expectations.
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Source Fool.com
