CarMax Reports Earnings Beat But Stock Falls Due to Profit Decline and Price Cuts
CarMax (NYSE: KMX) stock fell 15.6% after its Q4 2026 earnings report, despite beating revenue and earnings estimates. The company reported a non-GAAP profit of $0.34 per share on $5.95 billion in sales, but faced a significant drop in gross profit and a GAAP loss of $0.85 per share. The stock decline was driven by concerns over profitability and future price-cutting strategies.
Topics: Earnings Price-Cutting Strategy Profitability Stock Price Movement