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CarMax (NYSE:KMX) Debt-to-Equity

: 3.42 (As of Nov. 2022)
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CarMax's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2022 was $638 Mil. CarMax's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2022 was $18,150 Mil. CarMax's Total Stockholders Equity for the quarter that ended in Nov. 2022 was $5,488 Mil. CarMax's debt to equity for the quarter that ended in Nov. 2022 was 3.42.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for CarMax's Debt-to-Equity or its related term are showing as below:

KMX' s Debt-to-Equity Range Over the Past 10 Years
Min: 0.08   Med: 0.71   Max: 4.33
Current: 3.42

During the past 13 years, the highest Debt-to-Equity Ratio of CarMax was 4.33. The lowest was 0.08. And the median was 0.71.

KMX's Debt-to-Equity is ranked worse than
96.19% of 1130 companies
in the Vehicles & Parts industry
Industry Median: 0.48 vs KMX: 3.42

CarMax Debt-to-Equity Historical Data

The historical data trend for CarMax's Debt-to-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

CarMax Annual Data
Trend Feb13 Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22
Debt-to-Equity
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.96 4.22 4.21 3.56 3.68

CarMax Quarterly Data
Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22
Debt-to-Equity Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.64 3.68 3.52 3.56 3.42

Competitive Comparison

For the Auto & Truck Dealerships subindustry, CarMax's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

CarMax Debt-to-Equity Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, CarMax's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where CarMax's Debt-to-Equity falls in comparison to its industry or sector. The grey bar indicates the Debt-to-Equity's extreme value range as defined by GuruFocus.



CarMax Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

CarMax's Debt to Equity Ratio for the fiscal year that ended in Feb. 2022 is calculated as

CarMax's Debt to Equity Ratio for the quarter that ended in Nov. 2022 is calculated as

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


CarMax  (NYSE:KMX) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.


Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.


CarMax Debt-to-Equity Related Terms

Thank you for viewing the detailed overview of CarMax's Debt-to-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


CarMax (NYSE:KMX) Business Description

CarMax logo
Traded in Other Exchanges
Address
12800 Tuckahoe Creek Parkway, Richmond, VA, USA, 23238
CarMax sells, finances, and services used and new cars through a chain of over 230 used retail stores. It was formed in 1993 as a unit of Circuit City and spun off into an independent company in late 2002. Used-vehicle sales typically account for about 83% of revenue and wholesale about 13%, with the remaining portion composed of extended service plans and repair. In fiscal 2022, the company retailed and wholesaled 924,338 and 706,212 used vehicles, respectively. CarMax is the largest used-vehicle retailer in the U.S. but still estimates that it has only about 4% U.S. market share of vehicles 0-10 years old in 2021. It seeks over 5% share by the end of calendar 2025 and revenue of $33 billion-$45 billion by fiscal 2026. CarMax is based in Richmond, Virginia.
Executives
Enrique N Mayor-mora officer: SVP & CFO 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Mark F Oneil director C/O CARMAX, INC., 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Pietro Satriano director C/O US FOODS HOLDING CORP., 9399 W. HIGGINS RD., STE 100, ROSEMONT IL 60018
David W. Mccreight director C/O URBAN OUTFITTERS, INC., 5000 SOUTH BROAD STREET, PHILADELPHIA PA 19112
Peter J Bensen director MCDONALD'S CORPORATION, 2915 JORIE BOULEVARD, OAK BROOK IL 60523
Robert J. Hombach director C/O BAXALTA INCORPORATED, 1200 LAKESIDE DRIVE, BANNOCKBURN IL 60015
Darren C Newberry officer: SVP 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Charles Joseph Wilson officer: SVP 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Sona Chawla director N56 W17000 RIDGEWOOD DRIVE, MENOMONEE FALLS WI 53051
Diane L Cafritz officer: SVP & CHRO 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Jill A Livesay officer: VP, Controller & PAO CARMAX, INC., 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
John T Standley director
Alan B. Colberg director ASSURANT, INC., ONE CHASE MANHATTAN PLAZA, 41 FL., NEW YORK NY 10005
Marcella Shinder director 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238
Jon G Daniels officer: SVP, CAF 12800 TUCKAHOE CREEK PARKWAY, RICHMOND VA 23238

CarMax (NYSE:KMX) Headlines

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