(1888PressRelease)
April 01, 2009 - Mira, Portugal – SADIF Investment Analytics SA, today announced the release of a new equity research report covering CarMax Inc (KMX). The report utilizes SADIF's powerful StockMarks™ stock rating system and is required reading for any current or potential CarMax investor.
Report Summary: Shares in US used car retailer CarMax declined steadily between the end of 2006 and the end of 2008. The company's shares have rebounded 65% since the start of the year. Investors remain hopeful that used car sales will flourish at the expense of new car sales during the US recession. Nevertheless, the frozen auto loan securitization market has limited the ability of car shoppers to get credit to purchase cars. Investors will see if this has impacted the company's earnings when CarMax reports fourth quarter results on April 2nd. In the company's third quarter results announced December 19th, comparable store sales fell 24% compared to the third quarter of fiscal 2008.
The average used vehicle selling price fell 7% as used-car valuations declined due to curbed consumer spending. The company also made a loss of USD 15.4M in its CarMax Auto Finance business compared to an income of USD 16.3M in the year-earlier period. While the company's upcoming results will reveal the company's current financial position, we should focus on the company's long-term underlying fundamentals when making long-term investment decisions. We can assess the company's fundamentals through the use of the StockMarks framework. CarMax currently has an overall long-term investment-attractiveness rating (Total StockMark or SMT) of 82, rating above the US market average. This rating places CarMax second when compared to nine of the company's closest peers, selected on the basis of similarity of business, market positioning factors such as size and share comparisons.
The complete report breaks down the Total StockMark into its three components – Business, Management and Price, performing a thorough analysis of CarMax for long-term investors.
A summary of the StockMarks™ ratings for CarMax is available here:
http://sadifanalytics.com/stockmarks/company.php?ticker=KMX&cod_country=125
The report has been distributed to Reuters, and forwarded to Yahoo Finance and FT.com. It is available under 'Analyst Reports' from these websites, from multiple professional platforms including Reuters Knowledge, TheMarkets.com and Thomson Research or directly from SADIF-Investment Analytics SA at:
http://sadifanalytics.com/stockmarks/article/hist_article.php?cod_country=125
About SADIF-Investment Analytics SA:
SADIF-Investment Analytics SA is an independent investment research company covering sixteen different markets and over 12,000 companies. The StockMarks™ system is based on proven investment principles and is designed to drive long-term shareholder returns.
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