CarMax Inc (KMX)vsLowe's Companies Inc (LOW)
KMX
CarMax Inc
$58.38
-0.71%
CONSUMER CYCLICAL · Cap: $8.60B
LOW
Lowe's Companies Inc
$192.43
-0.88%
CONSUMER CYCLICAL · Cap: $110.43B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 221% more annual revenue ($90.43B vs $28.20B). LOW leads profitability with a 7.3% profit margin vs 0.8%. KMX appears more attractively valued with a PEG of 0.61. KMX earns a higher WallStSmart Score of 53/100 (C-).
KMX
Buy53
out of 100
Grade: C-
LOW
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for KMX.
Margin of Safety
-34.3%
Fair Value
$144.62
Current Price
$192.43
$47.81 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Generating 3.1B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
Distress zone — elevated risk
ROE of 4.2% — below average capital efficiency
0.8% margin — thin
0.0% earnings growth
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
7.3% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : KMX
The strongest argument for KMX centers on Price/Book, PEG Ratio. PEG of 0.61 suggests the stock is reasonably priced for its growth.
Bull Case : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap, P/E Ratio. PEG of 1.33 suggests the stock is reasonably priced for its growth.
Bear Case : KMX
The primary concerns for KMX are P/E Ratio, Altman Z-Score, Return on Equity. Debt-to-equity of 3.05 is elevated, increasing financial risk. Thin 0.8% margins leave little buffer for downturns.
Bear Case : LOW
The primary concerns for LOW are EPS Growth, Altman Z-Score, Return on Equity.
Key Dynamics to Monitor
KMX carries more volatility with a beta of 1.17 — expect wider price swings.
LOW is growing revenue faster at 8.3% — sustainability is the question.
LOW generates stronger free cash flow (3.1B), providing more financial flexibility.
Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
KMX scores higher overall (53/100 vs 50/100). 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.
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.
Visit Website →Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
Visit Website →Compare with Other AUTO & TRUCK DEALERSHIPS Stocks
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