CarMax, Inc vs ProShares UltraPro Short QQQ ETF — how do they compare? CarMax, Inc trades at $52.61 (market cap $7.64B), while ProShares UltraPro Short QQQ ETF trades at $32.95 (market cap $2.23B). The key difference: CarMax, Inc is far larger — about 3.4× ProShares UltraPro Short QQQ ETF's market cap, and CarMax, Inc is trading nearer its 52-week high, ProShares UltraPro Short QQQ ETF nearer its low. Which is the better fit depends on your goals — on Pluang, investors hold CarMax, Inc for 49 Days and ProShares UltraPro Short QQQ ETF for 12 Days on average.
| KMX | SQQQ | |
|---|---|---|
Market Cap | $7.64B | $2.23B |
Volume | 3,610,116 | 60,436,012 |
Sector | Consumer Cyclical | Leveraged / Inverse |
52-Week High | $64.22 | $89.43 |
52-Week Low | $30.88 | $31.83 |
Typical Hold Time | 49 Days | 12 Days |
Enterprise Value | $25.34B | — |
Signals from Pluang's Aura AI — not financial advice
CarMax (KMX) trades at $53.79, up 0.96% with recent earnings beats driving positive momentum. The stock shows bearish technical signals but strong fundamental improvements with Q2 2026 EPS of $1.16 beating estimates by 58%. Revenue grew 19.5% to $7.9 billion in the latest quarter, while the company's Shift into GEAR strategy shows early success. Valuation metrics remain reasonable with P/E of 25.37 and P/S of 0.28, though net margins remain thin at 1.06%.
KMX presents a turnaround story with improving operational execution but faces margin pressure and high debt levels. The consensus price target of $58.89 suggests 9.5% upside potential, though analyst sentiment remains cautious with 62% hold ratings. Key risks include used car market volatility and interest rate sensitivity, while catalysts include continued execution of the growth strategy and potential share buybacks.
SQQQ (ProShares UltraPro Short QQQ) trades at $33.37, up 4.02% today, reflecting its bearish positioning against the Nasdaq 100. Technical indicators show a predominantly bearish signal with moving averages indicating selling pressure, while oscillators remain neutral. The ETF serves as a leveraged short tool for hedging QQQ exposure, with recent news highlighting its strategic use in portfolio protection amid tech sector volatility.
The outlook for SQQQ remains tied to Nasdaq 100 performance, offering potential gains during market downturns but carrying high risk due to daily rebalancing and decay. Key risks include rapid market reversals and the structural challenges of leveraged inverse ETFs. Investor sentiment is cautious, with media coverage emphasizing its role as a hedging instrument rather than a long-term hold.
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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 →SQQQ is a leveraged inverse ETF that seeks daily investment results, before fees and expenses, that correspond to three times the inverse (-3x) of the daily performance of the Nasdaq-100 Index. It is a tactical trading tool designed for sophisticated investors to profit from or hedge against declines in large-cap technology and growth stocks. Due to its daily reset and the effects of compounding, it is intended for short-term use and carries significant risk if held during periods of high market volatility.
Read more on SQQQ →