CarMax Inc (KMX)
Return on assets (ROA)
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 479,204 | 497,948 | 453,525 | 460,795 | 484,762 | 575,586 | 807,444 | 966,806 | 1,151,297 | 1,201,406 | 1,167,268 | 1,178,697 | 746,919 | 751,908 | 689,764 | 626,667 | 888,433 | 866,055 | 883,210 | 870,501 |
| Total assets | US$ in thousands | 27,196,800 | 27,173,200 | 27,300,200 | 26,962,400 | 26,182,700 | 25,938,900 | 26,470,500 | 26,338,700 | 26,338,300 | 25,575,200 | 24,453,300 | 22,832,900 | 21,541,500 | 20,932,800 | 21,246,300 | 19,972,500 | 21,082,200 | 20,487,200 | 20,140,300 | 19,714,500 |
| ROA | 1.76% | 1.83% | 1.66% | 1.71% | 1.85% | 2.22% | 3.05% | 3.67% | 4.37% | 4.70% | 4.77% | 5.16% | 3.47% | 3.59% | 3.25% | 3.14% | 4.21% | 4.23% | 4.39% | 4.42% |
February 29, 2024 calculation
ROA = Net income (ttm) ÷ Total assets
= $479,204K ÷ $27,196,800K
= 1.76%
The return on assets (ROA) for CarMax Inc has shown fluctuations over the past few quarters. ROA measures how efficiently a company is using its assets to generate profit.
In the most recent quarter, ending on February 29, 2024, CarMax Inc had an ROA of 1.76%. This represents a slight decrease from the previous quarter's ROA of 1.83% in November 2023. However, compared to the same quarter in the prior year, where the ROA was 1.85%, the current ROA is slightly lower.
Looking further back, there has been a general downward trend in ROA over the past few quarters. In August 2022, CarMax Inc had an ROA of 3.05%, which has steadily declined to the current 1.76%. This indicates a decrease in the company's ability to generate profit from its assets over time.
Although the ROA has been fluctuating, it is important for CarMax Inc to closely monitor and manage its asset efficiency to improve profitability. A declining ROA may suggest that the company is not utilizing its assets effectively to generate profits, which could impact its overall financial performance in the long run.
Peer comparison
Feb 29, 2024