FRAUD ALERT: CarMax, Inc. (KMX) Investors are Reminded to Contact BFA Law about its Ongoing Securities Fraud Class Action Investigation

New York, New York--(Newsfile Corp. - October 17, 2025) - Leading securities law firm Bleichmar Fonti & Auld LLP announces an investigation into CarMax, Inc. (NYSE: KMX) for potential violations of the federal securities laws.

If you invested in CarMax, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/carmax-inc-class-action.

Why Is CarMax being Investigated?

CarMax sells used cars. During the relevant period, the Company touted the strong and sustainable demand for its cars, driven by factors such as a seamless customer experience. CarMax also stated that it had properly assessed and reserved for the risk of the car loans it previously issued to customers.

In truth, it appears that the announcement of U.S. tariffs imposed on cars provided a short-term boost to demand, as customers purchased cars prior to the tariffs taking effect, and CarMax had not properly assessed or reserved for its portfolio of car loans.

The Stock Declines as the Truth Is Revealed

On September 25, 2025, the Company reported disappointing financial results for the second quarter of its fiscal year 2026. Specifically, CarMax announced sales declines across the board, including a 5.4% decline in retail used unit sales, a 6.3% decline in comparable store used unit sales, and a 2.2% decline in wholesale units. The Company also posted a disappointing Q2 net earnings of about $95.4 million, down from $132.8 million over the prior year. A main reason for the declines, according to CarMax, was a "pull forward" in demand into Q1 due to the announcement of tariffs. CarMax further reported an 11.2% decrease in income from its financing segment year-over-year, which it attributed to a loan loss provision for the quarter of $142.2 million.

On this news, the price of CarMax stock fell $11.45 per share, or roughly 20%, from $57.05 per share on September 24, 2025, to $45.60 per share on September 25, 2025.

Click here for more information: https://www.bfalaw.com/cases/carmax-inc-class-action.

What Can You Do?

If you invested in CarMax you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/carmax-inc-class-action

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named "Elite Trial Lawyers" by the National Law Journal, among the top "500 Leading Plaintiff Financial Lawyers" by Lawdragon, "Titans of the Plaintiffs' Bar" by Law360 and "SuperLawyers" by Thomson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.'s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

https://www.bfalaw.com/cases/carmax-inc-class-action

Attorney advertising. Past results do not guarantee future outcomes.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/270739