Investigation into Securities Violations Against CarMax, Inc.

Strategic Insights -

A potential securities investigation is underway against CarMax, Inc., a leading used car retailer. The investigation follows the Company's release of its second-quarter fiscal 2026 financial results, which disclosed a significant decrease in income from CarMax Auto Finance due to increased provisions for loan losses. This news led to a significant decline in the price of CarMax stock, prompting an investigation into potential securities violations. Investors who suffered losses as a result may be eligible to contact a leading national law firm focusing on complex litigation.

Key Takeaways:

  • CarMax, Inc. is under investigation for potential securities violations following the release of its second-quarter fiscal 2026 financial results.
  • The Company disclosed a 11.2% decrease in income from CarMax Auto Finance due to a $142.2 million provision for loan losses in the second quarter of fiscal 2026.
  • The provision for loan losses included an increase of $71.3 million in the estimate of lifetime losses on existing loans, primarily due to worsening performance among the 2022 and 2023 vintages.
  • The price of CarMax stock fell $11.45 per share, approximately 20%, to close at $45.60 per share on September 26, 2025.
  • Investors who suffered losses may be eligible to contact Kaplan Fox & Kilsheimer LLP, a leading national law firm focusing on complex litigation.
  • The firm offers over 50 years of experience in securities litigation and a track record of successfully shaping the law on behalf of clients.
  • Contacting or submitting information to Kaplan Fox & Kilsheimer LLP does not create an attorney-client relationship nor an obligation on the part of the firm to retain the individual as a client.

Statistics:

  • $142.2 million: The provision for loan losses in the second quarter of fiscal 2026 compared to $112.6 million in the prior year's second quarter.
  • $71.3 million: The increase in the estimate of lifetime losses on existing loans due to worsening performance among the 2022 and 2023 vintages.
  • $70.9 million: The remaining estimate of lifetime losses on current quarter originations.
  • $11.45: The decline in price of CarMax stock per share.
  • 20%: The approximate decline in the price of CarMax stock on September 26, 2025.

Sources:

  • COMTEX_469570151/2549/2025-10-16T18:41:40
  • Kaplan Fox & Kilsheimer LLP website at .