CarMax Shares Plunge After Q2 Earnings Miss

CarMax shares plunged after the used‑car retailer missed Wall Street expectations, dropping as much as about 21% intraday and extending a roughly 30% year‑to‑date decline. The company reported net income of $95.4 million, revenue fell about 6% to $6.59 billion—missing analyst estimates near $7.01–7.02 billion—and adjusted EPS was roughly $0.64, below prior-year results. Softer consumer demand, higher repair and cleanup costs, an 11% drop in auto‑finance income, and declines in vehicle and wholesale sales weighed on margins. CEO Bill Nash called the period “challenging,” said he remains confident in the long‑term strategy and cited a new marketing campaign and planned SG&A reductions, and the miss pulled down several peer auto retailers as investors awaited signs of a sustained recovery.