Goldman Sachs Reports on CarMax (KMX)

Goldman Sachs commented on CarMax KMX in a report released today. In the report, Goldman Sachs was mixed in its assessment of the company. Goldman Sachs writes, “April CarMax Auto Finance securitization data showed continued strength, with net charge-offs tracking below average, +2 bp mom vs. +4 bp historical mean, while average pool delinquencies increased a bit more than average, +40 bp mom vs. the +25 bp historical average. We believe the stronger charge-off performance, despite higher delinquencies, is being driven by surging collateral value. In contrast to KMX, ACF and COF reported better delinquency trends, with ACF declining -5 bp mom vs. +43 average, and COF -27 bp vs. +36 bp average.” Goldman Sachs has a Neutral rating on CarMax and a price target of $35.00. Shares of the company closed the trading day Monday at $30.63, down from $30.71 at open.