KMXCAUTIOUS

KMX P/E Ratio Analysis

30.5x

Higher than 72% of Consumer Cyclical sector peers

Updated 581h ago·SEC filings & market data

Key Takeaway

The P/E ratio of 30.5x means investors pay $30.50 for every $1.00 of the company's annual earnings per share, a common price-to-earnings measure of valuation.

Sector Performance

72th percentile

KMX

30.5x

Sector Median

27.0x

Sector Avg

36.8x

Prior Period

27.8x(Apr 2026)

↓ Declining

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Deep Analysis

The P/E ratio of 30.5x means investors pay $30.50 for every $1.00 of the company's annual earnings per share, a common price-to-earnings measure of valuation.

This sits above the Consumer Cyclical sector median of 28.3x, placing CarMax in the 63rd percentile among peers, so it is more expensive than most comparable firms. Trend data is N/A: the year-over-year change and quarter-over-quarter change are both N/A, and no eight-quarter history is available, so you cannot infer momentum from this metric. The combination of a high price relative to earnings and no trend information means the valuation risk is elevated due to uncertainty about whether earnings growth will justify the premium. This metric directly supports the overall CAUTIOUS verdict, since paying 30.5x earnings with no demonstrated improvement leaves little margin for error.

Frequently Asked Questions

What does the P/E Ratio tell investors about KMX?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does KMX's P/E Ratio compare to its sector?

KMX's P/E Ratio of 30.5x compares to a Consumer Cyclical sector median of 27.0x, placing it in the 72th percentile.

Who are KMX's closest peers by P/E Ratio?

The closest Consumer Cyclical peers by P/E Ratio include: BWA (27.0x), BKNG (27.6x), AMZN (29.0x), AMCR (29.1x), ABNB (31.1x).

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Learn More About P/E Ratio

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.