CarMax’s stock rallies after earnings, sales rise above expectations
Shares of CarMax Inc. surged 1% in premarket trade Wednesday, after the used car retailer reported a fiscal second-quarter profit and sales that rose above expectations, as improved conversion rates offset lower store traffic. Net earnings for the quarter to Aug. 31 increased to $220.9 million, or $1.24 a share, from $181.4 million, or 98 cents a share, in the same period a year ago. The FactSet consensus was for earnings of $1.22 a share. Sales rose 8.6% to $4.77 billion, above the FactSet consensus of $4.65 billion, as used vehicle sales rose 7.6% to $3.98 billion to top expectations of $3.95 billion. Same-store used unit sales rose 2.1%, beating the FactSet consensus of a 0.6% increase. The stock had edged up 0.7% over the past three months through Tuesday, while the S&P 500 has gained 7.1%.
Source : MTV
