We recently published a list of Traders Heavily Sold Down These 10 Stocks on Thursday. In this article, we are going to take a look at where CarMax Inc. (NYSE:KMX) stands against other stocks that traders heavily sold down on Thursday.
The stock market wiped away earlier gains, ending Thursday’s trading in another bloodbath session, as investors sold off positions amid President Donald Trump’s announcement that he had actually raised tariffs on Chinese goods to 145 percent.
The Nasdaq was battered the most among all major indices, losing 4.31 percent. The S&P 500 followed with a 3.46-percent drop while the Dow Jones came in last, down 2.50 percent.
Meanwhile, 10 companies were heavily sold down on Thursday, recording double-digit losses as investors parked funds to minimize risks from the ongoing uncertainties. In this article, we have listed Thursday’s 10 worst performers and detailed the reasons behind their drop.
To come up with the list, we considered only the stocks with a $2 billion market capitalization and $5 million trading volume.
A happy customer inspecting a newly purchased used car with the help of a sales assistant.
CarMax Inc. (NYSE:KMX)
CarMax Inc. tumbled by 17 percent on Thursday to finish at $66.45 each over a number of negative catalysts that dampened investor sentiment, missed analyst estimates, and nixed forecasts on long-term growth.
On Thursday, KMX said that it removed the timelines for its long-term targets “given the potential impact of macroeconomic factors.”
KMX President and CEO Bill Nash, however, clarified that the withdrawal of long-term targets does not mean that the outlook has turned bearish.
“It definitely wasn’t pessimistic,” he noted.
During the fourth quarter of fiscal year 2025, KMX reported earnings per share of $0.58, falling short of the $0.65 as forecast by analysts.
Revenues, on the other hand, grew 7 percent to $6 billion, while digital sales jumped 25 percent year-on-year.
For 2026, KMX said it would continue to expand stores and reconditioning centers into new locations.
Overall, KMX ranks 2nd on our list of stocks that traders heavily sold down on Thursday. While we acknowledge the potential of KMX as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than KMX but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
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