CarMax Inc (KMX)vsMP Materials Corp (MP)
KMX
CarMax Inc
$40.34
+1.08%
CONSUMER CYCLICAL · Cap: $5.66B
MP
MP Materials Corp
$67.43
-2.46%
BASIC MATERIALS · Cap: $12.28B
Smart Verdict
WallStSmart Research — data-driven comparison
CarMax Inc generates 9976% more annual revenue ($27.76B vs $275.46M). KMX leads profitability with a 0.9% profit margin vs -31.2%. KMX earns a higher WallStSmart Score of 52/100 (C-).
KMX
Buy52
out of 100
Grade: C-
MP
Avoid28
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+83.0%
Fair Value
$270.07
Current Price
$40.34
$229.73 discount
Intrinsic value data unavailable for MP.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 70.0% year-over-year
Areas to Watch
Distress zone — elevated risk
ROE of 4.1% — below average capital efficiency
0.9% margin — thin
Operating margin of 1.8%
ROE of -5.0% — below average capital efficiency
Earnings declined 55.6%
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : KMX
The strongest argument for KMX centers on PEG Ratio, Price/Book. PEG of 0.38 suggests the stock is reasonably priced for its growth.
Bull Case : MP
The strongest argument for MP centers on Revenue Growth. Revenue growth of 70.0% demonstrates continued momentum.
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 0.9% margins leave little buffer for downturns.
Bear Case : MP
The primary concerns for MP are Return on Equity, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
KMX profiles as a value stock while MP is a hypergrowth play — different risk/reward profiles.
MP carries more volatility with a beta of 1.91 — expect wider price swings.
MP is growing revenue faster at 70.0% — sustainability is the question.
MP generates stronger free cash flow (-79M), providing more financial flexibility.
Bottom Line
KMX scores higher overall (52/100 vs 28/100). Both earn "Buy" and "Avoid" 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 →MP Materials Corp
BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA
MP Materials Corp. The company is headquartered in Las Vegas, Nevada.
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