By Kuldip K. Ambastha<\/p>\n\n\n\n
On Thursday, September 29, 2022, the stock price of CarMax, Inc. (KMX<\/a>), a used vehicle retailer, dropped by -24.6% per share. The American company’s latest quarterly performance results disappointed Wall Street, especially from the perspective of earnings per share (EPS). The current landscape of high inflation, higher interest rates (making for more expensive vehicle loans alongside stricter credit underwriting standards), and low consumer confidence has lessened the demand for used vehicles. Both individuals and wholesaling companies, the two key customer segments of CarMax, have lowered their used vehicle purchasing activities. Since the used vehicle market is often a leading indicator for where the new vehicle market is heading, in the near future we all may see less demand for new vehicles as well.<\/p>\n\n\n\n Keywords – CarMax, Inc.<\/a>, CarMax<\/a>, KMX<\/a>, used<\/a>, new<\/a>, vehicle<\/a>, retailer<\/a>, retail<\/a>, earnings per share<\/a>, EPS<\/a>, Wall Street<\/a>, inflation<\/a>, interest rates<\/a>, confidence<\/a>, demand<\/a>, purchasing<\/a>, individual<\/a>, wholesale<\/a>, customer<\/a>, consumer<\/a>, client<\/a>.<\/p>\n\n\n\n Disclosure \u2013 The principals and clients of Ambastha Financial LLC have no positions in KMX<\/a>.<\/p>\n\n\n\n Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted \u00a9 2022 – Ambastha Financial LLC.<\/p>\n\n\n\n CONTACT US<\/strong><\/p>\n\n\n