Thomas Folliard (Insider Trades), CEO of CarMax Inc. (KMX), sold 271,435 shares of the company on July 19. The average price per share was $55.39, for a total transaction of $15.03. CarMax Inc. is a U.S. used vehicle retailer headquartered in Richmond, Virginia. The company has a market cap of $11.02 billion.
The number of insider sells increased from four transactions of 164,920 shares in 2013, to 27 transactions totaling 1,942,070 shares in 2014. In the following year, the number and volume of KMX insider sells decreased to 22 transactions totaling 829,762 shares. There were 12 insider sells totaling 44,559 shares in 2016 to date.
Aside from the sole insider buy of KMX thus far, there were no insider buys of the company since 2013. Including the aforementioned transaction, Folliard sold 1,815,559 KMX shares in seven transactions since 2013. His earliest transaction of 340,000 shares at an average per share price of $37.43 increased in value by about 50% since then.
Another KMX insider, Executive Vice President Eric Margolin (Insider Trades), sold 57,894 shares of the company on July 18. The average per share price was $55.52. Since 2013, the number of insider sells directly related to month-end price.
For more information about insider transactions with KMX, click here.
The company reported net earnings of $175.4 million, or 90 cents per share, in the first quarter of 2016 ended March 31. Net earnings decreased in comparison to $182.0 million, or 86 cents per share, reported in the first quarter of 2015. Net sales and operating revenues increased from $4.01 billion to $4.13 billion when comparing the same periods of time.
During the first quarter of 2016, the company opened two stores in new markets, including one in Springfield, Illinois, and another in San Francisco, California. The company also opened a store in El Paso, Texas, at the end of the quarter.
CarMax repurchased 2.6 million shares of common stock for $132.0 million pursuant to its share repurchase program during the first quarter 2016.
On April 13, the company announced its pledge of $1.4 million to support veterans and their families. The money will go towards organizations supporting the military, such as Hiring Our Heroes, KaBOOM! and The Mission Continues until 2019.
KMX annual revenue and annual net income increased 11.44% and 11.38% since 2011, respectively.
According to GuruFocus information, CarMax has a business predictability rank of 3.5 out of 5 stars. For more information about business predictability rank, click here.
Jim Simons (Trades, Portfolio) and Ron Baron (Trades, Portfolio) reduced their stakes in the company during the first quarter 2016. Simons sold out all 167,500 held shares for an average per share price of $47.21. The total estimated loss of Simons’ holding since the second quarter of 2015 is 14%. Ron Baron (Trades, Portfolio) reduced his stake in KMX by 21.89% during the first quarter 2016, selling 715,548 shares. Baron reduced his stake in the company each quarter since the third quarter 2014. The total estimated gain of Baron’s holding since the first quarter of 2011 is 53%. For more information about guru transactions with KMX, click here.
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