CarMax price target raised to $37 from $35 at Truist

Truist raised the firm’s price target on CarMax (KMX) to $37 from $35 and keeps a Hold rating on the shares. The company’s Q3 was largely in-line with estimates and its pre-announcement, including a used unit comp decline of 9.0%, the analyst tells investors in a research note. CarMax expects to make price and advertising investments, which could pressure earnings far more than the firm had “conservatively” modeled, but such investments are necessary as competition in the used vehicle industry seems to have evolved far quicker than CarMax has, Truist added.