ACV Auctions Inc. (ACVA)vsCarMax Inc (KMX)
ACVA
ACV Auctions Inc.
$4.39
-4.77%
CONSUMER CYCLICAL · Cap: $764.17M
KMX
CarMax Inc
$41.88
-0.52%
CONSUMER CYCLICAL · Cap: $6.18B
Smart Verdict
WallStSmart Research — data-driven comparison
CarMax Inc generates 3564% more annual revenue ($27.83B vs $759.61M). KMX leads profitability with a 1.6% profit margin vs -8.7%. KMX earns a higher WallStSmart Score of 54/100 (C-).
ACVA
Hold39
out of 100
Grade: F
KMX
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ACVA.
Margin of Safety
-120.8%
Fair Value
$20.74
Current Price
$41.88
$21.14 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
15.1% revenue growth
Reasonable price relative to book value
Growing faster than its price suggests
Attractively priced relative to earnings
Generating 1.1B in free cash flow
Areas to Watch
0.0% earnings growth
Smaller company, higher risk/reward
ROE of -15.2% — below average capital efficiency
Negative free cash flow — burning cash
Distress zone — elevated risk
ROE of 7.5% — below average capital efficiency
1.6% margin — thin
Operating margin of 1.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : ACVA
The strongest argument for ACVA centers on Price/Book, Revenue Growth. Revenue growth of 15.1% demonstrates continued momentum.
Bull Case : KMX
The strongest argument for KMX centers on Price/Book, PEG Ratio, P/E Ratio. PEG of 0.66 suggests the stock is reasonably priced for its growth.
Bear Case : ACVA
The primary concerns for ACVA are EPS Growth, Market Cap, Return on Equity.
Bear Case : KMX
The primary concerns for KMX are Altman Z-Score, Return on Equity, Profit Margin. Debt-to-equity of 2.75 is elevated, increasing financial risk. Thin 1.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
ACVA profiles as a growth stock while KMX is a value play — different risk/reward profiles.
ACVA carries more volatility with a beta of 1.69 — expect wider price swings.
ACVA is growing revenue faster at 15.1% — sustainability is the question.
KMX generates stronger free cash flow (1.1B), providing more financial flexibility.
Bottom Line
KMX scores higher overall (54/100 vs 39/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
ACV Auctions Inc.
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
ACV Auctions, Inc., operates a digital marketplace that connects buyers and sellers for online wholesale vehicle auctions. The company is headquartered in Buffalo, New York.
CarMax Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
CarMax is a used vehicle retailer based in the United States. It operates two business segments: CarMax Sales Operations and CarMax Auto Finance.
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