$KMX

U.S. consumer loan delinquencies fell to 2.57% in Q2, but mortgage and auto loan delinquencies rose. Subprime loans, particularly in mortgages and auto loans, are driving the weakness. Companies like American Express (AXP), McDonald's (MCD), Walmart (WMT), Carvana (CVNA), CarMax (KMX), and Ally Financial (ALLY) are affected by economic trends.

CarMax (KMX) shares dropped 9% after reporting Q1 earnings of $1.31 per share, beating estimates, with revenue at $8 billion. Comparable-store used vehicle sales fell 0.8%, and gross profit declined 4.4%. CEO Keith Barr cited operational inefficiencies and high costs, planning a turnaround strategy to improve customer experience and leverage the store network.

Five consumer stocks—Cheesecake Factory (CAKE), Victoria's Secret (VSXY), Cracker Barrel (CBRL), CarMax (KMX), and Airbnb (ABNB)—have outperformed Nvidia (NVDA) this year, with gains between 38% and 130%. Cracker Barrel saw a 62% rise after a Q3 guidance raise, while Wells Fargo raised its target to $60. Cheesecake Factory's stock doubled, driven by Fox Restaurant Concepts' growth. Victoria's Secret beat Q1 estimates and raised full-year guidance. Airbnb and CarMax also reported strong Q2 and Q1

Analysts upgraded Ford (F) to Buy, Texas Instruments (TXN) to Buy, and Reddit (RDDT) to Overweight, while downgrading Caterpillar (CAT) to Neutral. The Dow rose 1.03%, S&P 500 gained 0.21%, and Nasdaq fell 0.22%. Oil prices dropped, and Bitcoin declined 3%.

CarMax (KMX) shares rose 3.6% on continued positive sentiment after strong Q1 FY2027 results, with revenue up 6.2% to $8.0B and EPS at $1.31. Analysts upgraded ratings and targets in July, citing cost reductions and growth strategies. Recent operational announcements reinforced management's focus on customer experience.

Morningstar says US-listed earnings are set to rise 44.6% in Q2 vs Q1, with 55% of reported stocks beating FactSet by at least 5%. It screens for undervalued “earnings crushers” meeting criteria and names six: ALB, TEAM, BAX, KMX, IONS, SNY, each with reported EPS and revenue vs consensus and discounts to fair value.

Morningstar says 55% of US-listed stocks it covers beat FactSet earnings by at least 5% as of Aug. 11. It screened for six undervalued “earnings crushers” with 10%+ EPS beats and 5%+ revenue beats, including Albemarle, Atlassian, Baxter International, CarMax, Ionis Pharmaceuticals, and Sanofi, citing EPS, revenue, Morningstar ratings, and discounts to fair value.

Carvana (CVNA) shares are down about 30% YTD in 2026 after below-consensus full-year adjusted EBITDA guidance, despite a record Q2 with $7.376B revenue and $769M adjusted EBITDA. CarMax (KMX) is up about 51% YTD on turnaround progress, including a Q1 FY2027 EPS beat and raised SG&A savings target. Analysts cut CVNA targets and upgraded KMX, with differing insider flows.

Wall Street analyst calls covered Ford (F) upgraded to Buy at Citigroup with a $20 target, Caterpillar (CAT) cut to Neutral at Baird with a $900 target, and Reddit (RDDT) initiated as Overweight at KeyBanc with a $225 target. Other moves included Bloom Energy (BE) Buy at $290 and Texas Instruments (TXN) Buy at $405. Market context cited a Dow gain and lower oil.

CARMAX INC (KMX) filed an SEC Form 8-K — Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers. Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers On July 31, 2026, CarMax, Inc. (the “Company”) announced that Diane Cafritz, the Company’s Executive Vice President and Chie