Valuation check: KMX's P/E ratio is 38.58, below the Consumer Discretionary sector average of 51.44.
Get informed when a big investor buys or sells
+ Follow38.58
The P/E ratio compares a company's stock price to its earnings per share. A lower P/E ratio may indicate that the stock is undervalued.
Carmax (KMX) currently reports a P/E ratio of 38.58. That is below the Consumer Discretionary sector average of 51.44. Use the charts on this page to explore Carmax's P/E ratio history and peer comparisons.
Carmax's P/E ratio of 38.58 is lower than the Consumer Discretionary sector average of 51.44. That is roughly 25.0% below the sector mean. A reading lower peers can reflect different growth expectations, capital structure, or profitability — so it is worth checking the peer comparison chart before drawing conclusions.
The P/E ratio is a valuation multiple that relates Carmax's market price to a fundamental measure such as earnings, sales, or book value. At 38.58, KMX can look expensive or cheap only in context — versus its own history, growth rate, and Consumer Discretionary peers. Higher multiples often price in stronger expected growth; lower ones can signal value or concern.
Start with the current P/E ratio of 38.58, then check the historical chart for trend and the peer comparison chart for relative positioning. The Consumer Discretionary average is 51.44. From there, open related valuation or income-statement pages for Carmax, and consider following KMX for alerts when major investors trade the stock.
Carmax is classified in the Consumer Discretionary sector. On P/E ratio, it currently shows 38.58 versus a sector average near 51.44. Sector peers often share similar capital intensity and growth regimes, so relative rankings inside Consumer Discretionary are usually more informative than comparing KMX with unrelated industries.