CarMax (KMX) Stock Looks Expensive Even After Stronger Earnings

CarMax has delivered a mix of strong and weak stretches for shareholders over the past few years, which puts fresh attention on a simple question for today’s buyers. Is the current US$53.33 share price properly supported by the earnings power of the used car retailer. The stock has fallen 62.8% over the past 5 years, which makes the current valuation debate far more about what the business is earning today than about past share price momentum. Recent updates highlighted stronger revenue and...