Is CarMax Stock Oversold?

Shares of CarMax (NYSE: KMX) took a significant hit recently, dropping sharply following the company's latest quarterly earnings report. The decline added to an already tough backdrop for the stock. Shares are now down 37% over the last 12 months and 69% over the past five years.With the stock price taking a beating, investors may be wondering if the used-car retailer is finally trading at a bargain. After all, beneath the headline losses, the company did see sequential improvements in its sales volume.But a closer look at the company's financial health, management's decision to pause share repurchases, and the stock's valuation suggests investors may want to exercise some caution.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool