CarMax (MEX:KMX) Margin of Safety % (DCF Earnings Based): -52.10% (As of Jun. 26, 2026)


MEX:KMX CarMax Inc MEX:KMX
58 GF Score
Price MXN850.00
GF Value MXN1,351.49
Valuation Possible Value Trap
! 5 Warning Signs
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What is CarMax Margin of Safety % (DCF Earnings Based)?

CarMax MEX:KMX 58 Margin of Safety % (DCF Earnings Based) is -52.10% as of Jun. 26, 2026. GuruFocus rates MEX:KMX with a GF Score™ of 58/100 and a GF Value™ of MXN1,351.49 (Possible Value Trap). The stock has 5 warning signs investors should review.

Margin of Safety % (DCF Earnings Based) = (Intrinsic Value: DCF (Earnings Based) - Current Price) / Intrinsic Value: DCF (Earnings Based).

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-06-26), CarMax's Predictability Rank is 2.5-Stars. CarMax's intrinsic value calculated from the Discounted Earnings model is MXN558.86 and current share price is MXN850.00. Consequently,

CarMax's Margin of Safety % (DCF Earnings Based) using Discounted Earnings model is -52.10%.

MEX:KMX vs AN, LAD, RUSHA: Margin of Safety % (DCF Earnings Based) Comparison

For the Auto & Truck Dealerships subindustry, CarMax's Margin of Safety % (DCF Earnings Based), along with its competitors' market caps and Margin of Safety % (DCF Earnings Based) 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 Margin of Safety % (DCF Earnings Based) vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, CarMax's Margin of Safety % (DCF Earnings Based) distribution charts can be found below:

* The bar in red indicates where CarMax's Margin of Safety % (DCF Earnings Based) falls into.


MEX:KMX
58GF Score
CarMax Inc MEX:KMX
Margin of Safety % (DCF Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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CarMax Margin of Safety % (DCF Earnings Based) Calculation

CarMax's Margin of Safety % (DCF Earnings Based) for today is calculated as

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(558.86-850.00)/558.86
=-52.10 %

* 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.

The intrinsic value is calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow.

What does a Margin of Safety % (DCF Earnings Based) of -52.10% mean?
CarMax (MEX:KMX) has a Margin of Safety % (DCF Earnings Based) of -52.10% as of Jun. 26, 2026. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on CarMax.
Is CarMax's Margin of Safety % (DCF Earnings Based) too high?
CarMax's current Margin of Safety % (DCF Earnings Based) is -52.10%. Overall, CarMax has a GF Score™ of 58/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does CarMax's Margin of Safety % (DCF Earnings Based) compare to AN and LAD?
CarMax's Margin of Safety % (DCF Earnings Based) of -52.10% can be compared against companies in the Vehicles & Parts industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF Earnings Based) for a Vehicles & Parts company?
A good Margin of Safety % (DCF Earnings Based) depends on the Vehicles & Parts industry context. However, Margin of Safety % (DCF Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF Earnings Based) mean?
A high Margin of Safety % (DCF Earnings Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on CarMax. CarMax's current Margin of Safety % (DCF Earnings Based) is -52.10%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CarMax stock overvalued right now?
Based on GuruFocus' analysis, CarMax (MEX:KMX) is currently considered Possible Value Trap. The stock's GF Value™ is MXN1,351.49, compared to a current price of MXN850.00 — trading 37.1% below its estimated fair value. The current Margin of Safety % (DCF Earnings Based) is -52.10%. CarMax's overall GF Score™ is 58/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF Earnings Based) calculated?
Margin of Safety % (DCF Earnings Based) is calculated from a company's financial statements. For CarMax (MEX:KMX), the current Margin of Safety % (DCF Earnings Based) is -52.10% as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is CarMax (MEX:KMX) Overvalued in 2026?

Based on GuruFocus' analysis, CarMax stock appears to be undervalued. The current stock price of MXN850.00 is trading 37.1% below its estimated GF Value™ of MXN1,351.49. GuruFocus considers CarMax to be Possible Value Trap.

Key valuation signals for MEX:KMX:

  • Margin of Safety % (DCF Earnings Based): -52.10%
  • GF Value™: MXN1,351.49 vs. price of MXN850.00 (37.1% below fair value)
  • GF Score™: 58/100 with 5 warning signs

No single metric tells the full story. See the MEX:KMX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

CarMax Business Description

Address 12800 Tuckahoe Creek Parkway, Richmond, VA, USA, 23238
CarMax sells, finances, and services used and new cars through a chain of over about 260 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 were 80% of fiscal 2026 revenue and wholesale about 17%, with the remaining portion composed of extended service plans and repair. In fiscal 2026, the company retailed and wholesaled 780,684 and 538,203 used vehicles, respectively. CarMax is the largest used-vehicle retailer in the US, but still estimates that it had only about 3.6% US market share of vehicles zero to 10 years old in calendar 2025. CarMax is based in Richmond, Virginia.
58GF Score

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Margin of Safety % (DCF Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN850.00
Price
MXN1,351.49
GF Value