CarMax Director Bensen Buys $130,5k Stock, First Purchase in Two Years
1d ago|4 min readStandard
Fazen Markets Editorial Desk
Collective editorial team · methodology
carmaxinsider-trading
Fazen Markets Editorial Desk
Collective editorial team · methodology
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Peter J. Bensen, a director at CarMax Inc., purchased $130,500 worth of company stock on June 24, 2026. The purchase was disclosed in a regulatory filing reported on the same day. This transaction represents Bensen's first open-market acquisition of CarMax shares in over two years. He acquired the stock at an average price of $67.25 per share.
Insider buying at CarMax is an infrequent signal. The company's last reported director-level open-market purchase occurred in May 2024, when another director bought shares worth approximately $250,000. The current macro backdrop features elevated interest rates, with the Federal Funds target range holding steady above 5.00%.
This environment has tightened auto loan affordability for consumers. The catalyst for insider activity likely stems from CarMax's evolving inventory and pricing dynamics. The used vehicle market is experiencing a normalization in supply after years of post-pandemic scarcity.
Prices for used vehicles have declined from historic highs. This deflationary pressure impacts CarMax's gross profit per unit but may stimulate higher sales volume. The company is also investing heavily in its omnichannel retail experience and digital capabilities.
The purchase of 1,941 shares at $67.25 brings Bensen's direct holdings to over 24,000 shares. CarMax's stock is down approximately 18% year-to-date, compared to the S&P 500's gain of 8.5% over the same period. The company's market capitalization stands near $11.2 billion.
CarMax's most recent quarterly earnings reported revenue of $5.8 billion. The company's selling, general and administrative (SG&A) expenses increased to $662 million. The net earnings per share figure was $0.32 for the quarter.
| Metric | CarMax (Recent Quarter) | Peer Average (AN, CVNA) |
|---|---|---|
| Gross Profit per Unit | $2,100 | ~$2,400 |
| Used Unit Sales | 200,000 | N/A |
CarMax's gross profit per unit remains below levels seen during the peak of 2023. The company's liquidity position includes over $600 million in cash and equivalents.
The purchase suggests a view that current headwinds are priced in. A key second-order effect could be a tailwind for auto lenders like Ally Financial (ALLY) and Capital One (COF) if transaction volumes recover. Auto auction firms like KAR Auction Services (KAR) also benefit from higher wholesale turnover.
Conversely, new car dealership groups like Lithia Motors (LAD) and AutoNation (AN) face incremental competition from a more aggressive used car market. A 10% increase in CarMax's sales volume could translate to a 3-5% headwind for new vehicle sales at competing lots. The risk to this thesis is a deeper deterioration in consumer credit.
Positioning data shows short interest in CarMax remains elevated near 8% of float. Flow has been neutral to slightly negative in sector ETFs like the Consumer Discretionary Select Sector SPDR Fund (XLY). Long-only institutional holders have been reducing exposure to the auto retail segment throughout 2026.
The next major catalyst is CarMax's quarterly earnings report, scheduled for July 24, 2026. Investors will scrutinize the gross profit per unit metric and any commentary on loan approval rates. The Federal Reserve's next FOMC meeting on July 31 will provide critical guidance for auto financing costs.
Key technical levels to monitor include stock support at $65.00, which aligns with the 2024 low. Resistance sits at the 50-day moving average near $72.50. A sustained break above this level on heavy volume would confirm a shift in momentum.
If the July earnings report shows stabilizing margins alongside unit growth, the stock could re-rate toward its book value of $75 per share. Continued compression in gross profit, however, would likely pressure the stock toward the $60 support zone.
A director's open-market purchase is a legally significant signal of personal conviction, as insiders are prohibited from trading on non-public material information. For retail investors, it indicates a key decision-maker views the stock as undervalued at current prices. It does not guarantee a price increase but adds a data point for fundamental analysis. Retail investors should consider this signal alongside broader company financials and market conditions.
Insider activity at AutoNation has been markedly different in 2026. AutoNation executives and directors have been net sellers, executing multiple planned sale transactions throughout the year. This divergence highlights differing internal views on the used versus new car market outlook. The lack of buying at AutoNation suggests its leadership is more focused on capital return via dividends and buybacks than on signaling undervaluation through personal purchases.
Historical analysis shows that significant director-level purchases at CarMax have preceded periods of stock price stabilization or recovery approximately 70% of the time within a 12-month window. The most successful precedent was a cluster of buys in late 2020, after which the stock gained over 40% in the following year. However, purchases made during periods of rapidly rising interest rates, like in 2022, saw longer latency before positive returns materialized, underscoring the influence of macro factors.
A director’s first purchase in two years signals a belief that CarMax’s challenges are fully reflected in its depressed stock price.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. CFD trading carries high risk of capital loss.
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