CarMax Inc (KMX)

Debt-to-capital ratio

Nov 30, 2024 Aug 31, 2024 May 31, 2024 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
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 6,211,210 6,179,610 6,166,870 6,073,740 6,044,360 6,005,660 5,823,170 5,613,080 5,487,570 5,414,230 5,400,640 5,235,440 5,109,800 4,915,180 4,703,480 4,364,610 4,128,480 3,982,560 3,578,310 3,768,880
Debt-to-capital ratio 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

November 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $6,211,210K)
= 0.00

The debt-to-capital ratio for CarMax Inc has consistently remained at 0.00 over the period from February 29, 2020, to November 30, 2024. This indicates that the company has not had any debt relative to its capital during this time frame. A debt-to-capital ratio of zero suggests that the company has not utilized any debt financing to fund its operations or expansion, and instead has relied solely on equity financing. While having no debt can indicate financial stability and lower financial risk, it may also suggest missed opportunities for leveraging debt to potentially enhance returns. CarMax Inc's consistent zero debt-to-capital ratio reflects a conservative approach to capital structure and financial management.