CarMax, Inc vs Microsoft — how do they compare? CarMax, Inc trades at $56.41 (market cap $7.93B), while Microsoft trades at $398.3 (market cap $2.99T). The key difference: Microsoft is far larger — about 377× CarMax, Inc's market cap, and Microsoft pays a 0.9% dividend while CarMax, Inc pays none. Which is the better fit depends on your goals.
| KMX | MSFT | |
|---|---|---|
Market Cap | $7.93B | $2.99T |
Sector | Consumer Cyclical | Technology |
52-Week High | $63.53 | $542.07 |
52-Week Low | $30.88 | $352.83 |
Enterprise Value | $26.44B | $2.97T |
Volume | — | 36,654,621 |
Dividend Yield | — | 0.9% |
Signals from Pluang's Aura AI — not financial advice
CarMax (KMX) trades at $55.89, down 2.51% on the day, with a bullish technical signal from moving averages but a neutral stance from oscillators. The company reported mixed earnings, with a Q2 2025 miss but subsequent beats in Q3 2025 and Q1 2026. Revenue has trended down from $31.9B in 2022 to $26.35B in 2025, though net income margin improved slightly to 1.89%. Recent news highlights a strategic turnaround under new CEO Keith Barr, with insider buying and positive analyst updates despite an ongoing legal investigation.
The outlook for KMX hinges on successful execution of its four-pillar strategy to boost volume and efficiency, offering potential upside if targets are met. However, high debt levels, margin pressure, and legal scrutiny pose significant risks. Analyst consensus is cautious with a hold-heavy rating and a price target of $48.91 below the current price, indicating skepticism about near-term growth.
Microsoft (MSFT) trades at $393.82, down 1.82% today, but maintains strong fundamentals with consistent earnings beats and robust revenue growth. The stock shows a bullish technical signal with support at $390 and resistance at $397. Recent financial performance includes $281.72B revenue and $101.83B net income for 2025, with analyst consensus strongly bullish at 80.49% buy ratings and a $546.70 price target.
Outlook remains positive driven by AI leadership and cloud growth, though risks include elevated capital expenditures and competitive pressures. The company's strong cash flow generation and dividend payments provide shareholder value, while technical indicators suggest near-term consolidation before potential upward movement.
Trailing returns across standard periods
Latest headlines on both assets
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 between $33 billion to $45 billion by fiscal 2026. CarMax is based in Richmond, Virginia.
Read more on KMX →Microsoft Corporation develops, manufactures, licenses, sells, and supports software products. The Company offers operating system software, server application software, business and consumer applications software, software development tools, and Internet and intranet software. Microsoft also develops video game consoles and digital music entertainment devices.
Read more on MSFT →