Truist raised the firm’s price target on CarMax (KMX) to $37 from $35 and keeps a Hold rating on the shares. Q3 was largely in-line with the firm’s estimates and pre-announcement, including a used unit comp decline of 9%, the analyst tells investors in a research note. The firm added that while the company making price and advertising investments could pressure earnings further, it believes such investments are necessary as competition in the used vehicle industry seems to have evolved far quicker than CarMax has.
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