CarMax, Inc. (KMX) is currently Undervalued by 110.19%

CarMax, Inc. (KMX) appears undervalued by approximately 110.19% based on our live valuation percent and intrinsic value estimate derived from DCF, P/E Multiple, and P/S Multiple models. Valuation can still differ across analyst models, growth expectations, and risk assumptions.

Upside (live) 110.19% (from live valuation API)
Confidence (live) 9.5/10 (Very High)

Confidence Score is based on the magnitude of upside or downside vs intrinsic value.

Fair value estimate

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Current price

$50.21

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Why is CarMax, Inc. overvalued or undervalued?

Based on intrinsic value, CarMax, Inc. (KMX) looks priced ahead of a cash-flow-based fair value that blends growth, reinvestment needs, and a risk-adjusted discount rate.

Compared to historical valuation, today’s multiple exceeds the range implied by the company’s own five-year average—suggesting the market is more optimistic than its own past pricing of similar fundamentals.

Market expectations embedded in the price imply a demanding bar for execution: revenue cadence, margin stability, and capital returns would need to accelerate to justify a sustained premium versus fair value.

Key metrics

P/E ratio: 29.8x
Revenue growth (TTM y/y): 10%
Profit margin: 38.8%
Fair value (model): Unlock

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Frequently asked questions — KMX

Is KMX overvalued right now?

A stock is overvalued when its market price sits above a reasonable fair value range. Use the live snapshot on this page for KMX, then validate with fundamentals and peer multiples.

What is CarMax, Inc.'s intrinsic value?

Our DCF, P/E Multiple, and P/S Multiple models estimate whether KMX trades above or below fair value. At $50.21, CarMax, Inc. currently looks undervalued on this snapshot. Tickerplace Pro unlocks the full dollar fair value estimate.

How is CarMax, Inc.'s intrinsic value calculated?

Tickerplace calculates KMX's fair value using Discounted Cash Flow (DCF), P/E Multiple, and P/S Multiple models. We compare the resulting intrinsic value estimate to the live market price to flag undervalued or overvalued positioning.

Is KMX undervalued right now?

Based on our 2026 valuation models, CarMax, Inc. (KMX) appears undervalued at $50.21 with about 110.2% upside to fair value. Treat this as a screen—verify fundamentals on the company profile.

Peers for KMX: open their overvalued / undervalued view.

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