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KMX vs. SBUX: A Head-to-Head Stock Comparison

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Here’s a clear look at KMX and SBUX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolKMXSBUX
Company NameCarMax, Inc.Starbucks Corporation
CountryUnited StatesUnited States
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustrySpecialty RetailHotels, Restaurants & Leisure
Market Capitalization8.68 billion USD101.75 billion USD
ExchangeNYSENasdaqGS
Listing DateFebruary 4, 1997June 26, 1992
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of KMX and SBUX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

KMX vs. SBUX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolKMXSBUX
5-Day Price Return-0.57%-3.81%
13-Week Price Return-14.95%5.79%
26-Week Price Return-34.01%-20.79%
52-Week Price Return-28.02%-3.02%
Month-to-Date Return2.12%0.39%
Year-to-Date Return-29.29%-1.91%
10-Day Avg. Volume2.53M8.15M
3-Month Avg. Volume3.32M10.26M
3-Month Volatility34.29%27.77%
Beta1.331.02

Profitability

Return on Equity (TTM)

KMX

8.96%

Specialty Retail Industry

Max
61.19%
Q3
37.24%
Median
18.81%
Q1
8.92%
Min
-13.03%

KMX’s Return on Equity of 8.96% is on par with the norm for the Specialty Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.

SBUX

115.68%

Hotels, Restaurants & Leisure Industry

Max
83.01%
Q3
39.51%
Median
17.38%
Q1
5.32%
Min
-45.92%

SBUX’s Return on Equity of 115.68% is exceptionally high, placing it well beyond the typical range for the Hotels, Restaurants & Leisure industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

KMX vs. SBUX: A comparison of their Return on Equity (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Net Profit Margin (TTM)

KMX

2.08%

Specialty Retail Industry

Max
21.28%
Q3
10.68%
Median
6.08%
Q1
2.43%
Min
-4.54%

Falling into the lower quartile for the Specialty Retail industry, KMX’s Net Profit Margin of 2.08% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

SBUX

7.18%

Hotels, Restaurants & Leisure Industry

Max
26.45%
Q3
14.67%
Median
8.69%
Q1
3.34%
Min
-11.30%

SBUX’s Net Profit Margin of 7.18% is aligned with the median group of its peers in the Hotels, Restaurants & Leisure industry. This indicates its ability to convert revenue into profit is typical for the sector.

KMX vs. SBUX: A comparison of their Net Profit Margin (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Operating Profit Margin (TTM)

KMX

2.78%

Specialty Retail Industry

Max
33.35%
Q3
15.84%
Median
9.34%
Q1
3.83%
Min
-8.97%

KMX’s Operating Profit Margin of 2.78% is in the lower quartile for the Specialty Retail industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

SBUX

10.81%

Hotels, Restaurants & Leisure Industry

Max
38.76%
Q3
21.15%
Median
14.20%
Q1
6.43%
Min
-14.56%

SBUX’s Operating Profit Margin of 10.81% is around the midpoint for the Hotels, Restaurants & Leisure industry, indicating that its efficiency in managing core business operations is typical for the sector.

KMX vs. SBUX: A comparison of their Operating Profit Margin (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Profitability at a Glance

SymbolKMXSBUX
Return on Equity (TTM)8.96%115.68%
Return on Assets (TTM)2.04%8.19%
Net Profit Margin (TTM)2.08%7.18%
Operating Profit Margin (TTM)2.78%10.81%
Gross Profit Margin (TTM)11.20%23.74%

Financial Strength

Current Ratio (MRQ)

KMX

2.39

Specialty Retail Industry

Max
2.83
Q3
1.89
Median
1.39
Q1
1.11
Min
0.64

KMX’s Current Ratio of 2.39 is in the upper quartile for the Specialty Retail industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

SBUX

0.76

Hotels, Restaurants & Leisure Industry

Max
2.68
Q3
1.62
Median
1.11
Q1
0.74
Min
0.19

SBUX’s Current Ratio of 0.76 aligns with the median group of the Hotels, Restaurants & Leisure industry, indicating that its short-term liquidity is in line with its sector peers.

KMX vs. SBUX: A comparison of their Current Ratio (MRQ) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Debt-to-Equity Ratio (MRQ)

KMX

3.02

Specialty Retail Industry

Max
3.02
Q3
1.57
Median
0.64
Q1
0.20
Min
0.00

KMX’s leverage is in the upper quartile of the Specialty Retail industry, with a Debt-to-Equity Ratio of 3.02. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

SBUX

8.07

Hotels, Restaurants & Leisure Industry

Max
9.88
Q3
4.54
Median
1.52
Q1
0.27
Min
0.00

SBUX’s leverage is in the upper quartile of the Hotels, Restaurants & Leisure industry, with a Debt-to-Equity Ratio of 8.07. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

KMX vs. SBUX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Interest Coverage Ratio (TTM)

KMX

--

Specialty Retail Industry

Max
48.12
Q3
35.95
Median
14.13
Q1
3.61
Min
-36.00

Interest Coverage Ratio data for KMX is currently unavailable.

SBUX

37.01

Hotels, Restaurants & Leisure Industry

Max
26.88
Q3
11.95
Median
3.87
Q1
1.19
Min
-11.84

With an Interest Coverage Ratio of 37.01, SBUX demonstrates a superior capacity to service its debt, placing it well above the typical range for the Hotels, Restaurants & Leisure industry. This stems from either robust earnings or a conservative debt load.

KMX vs. SBUX: A comparison of their Interest Coverage Ratio (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Financial Strength at a Glance

SymbolKMXSBUX
Current Ratio (MRQ)2.390.76
Quick Ratio (MRQ)0.800.52
Debt-to-Equity Ratio (MRQ)3.028.07
Interest Coverage Ratio (TTM)--37.01

Growth

Revenue Growth

KMX vs. SBUX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

KMX vs. SBUX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

KMX

0.00%

Specialty Retail Industry

Max
6.53%
Q3
2.69%
Median
1.08%
Q1
0.00%
Min
0.00%

KMX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SBUX

2.66%

Hotels, Restaurants & Leisure Industry

Max
5.88%
Q3
2.37%
Median
0.68%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.66%, SBUX offers a more attractive income stream than most of its peers in the Hotels, Restaurants & Leisure industry, signaling a strong commitment to shareholder returns.

KMX vs. SBUX: A comparison of their Dividend Yield (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Dividend Payout Ratio (TTM)

KMX

0.00%

Specialty Retail Industry

Max
165.81%
Q3
80.94%
Median
31.61%
Q1
0.00%
Min
0.00%

KMX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SBUX

103.48%

Hotels, Restaurants & Leisure Industry

Max
127.31%
Q3
56.79%
Median
19.58%
Q1
0.00%
Min
0.00%

SBUX’s Dividend Payout Ratio of 103.48% is in the upper quartile for the Hotels, Restaurants & Leisure industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

KMX vs. SBUX: A comparison of their Dividend Payout Ratio (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Dividend at a Glance

SymbolKMXSBUX
Dividend Yield (TTM)0.00%2.66%
Dividend Payout Ratio (TTM)0.00%103.48%

Valuation

Price-to-Earnings Ratio (TTM)

KMX

15.58

Specialty Retail Industry

Max
48.56
Q3
29.15
Median
22.00
Q1
15.46
Min
7.95

KMX’s P/E Ratio of 15.58 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SBUX

38.96

Hotels, Restaurants & Leisure Industry

Max
59.44
Q3
33.98
Median
22.25
Q1
15.53
Min
7.61

A P/E Ratio of 38.96 places SBUX in the upper quartile for the Hotels, Restaurants & Leisure industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

KMX vs. SBUX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Price-to-Sales Ratio (TTM)

KMX

0.32

Specialty Retail Industry

Max
5.08
Q3
2.69
Median
1.23
Q1
0.48
Min
0.09

In the lower quartile for the Specialty Retail industry, KMX’s P/S Ratio of 0.32 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

SBUX

2.80

Hotels, Restaurants & Leisure Industry

Max
7.74
Q3
3.88
Median
2.05
Q1
1.19
Min
0.17

SBUX’s P/S Ratio of 2.80 aligns with the market consensus for the Hotels, Restaurants & Leisure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

KMX vs. SBUX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Price-to-Book Ratio (MRQ)

KMX

1.54

Specialty Retail Industry

Max
16.93
Q3
7.98
Median
3.69
Q1
1.79
Min
0.21

KMX’s P/B Ratio of 1.54 is in the lower quartile for the Specialty Retail industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

SBUX

64.12

Hotels, Restaurants & Leisure Industry

Max
20.90
Q3
9.78
Median
4.29
Q1
2.22
Min
0.47

At 64.12, SBUX’s P/B Ratio is at an extreme premium to the Hotels, Restaurants & Leisure industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

KMX vs. SBUX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Specialty Retail and Hotels, Restaurants & Leisure industry benchmarks.

Valuation at a Glance

SymbolKMXSBUX
Price-to-Earnings Ratio (TTM)15.5838.96
Price-to-Sales Ratio (TTM)0.322.80
Price-to-Book Ratio (MRQ)1.5464.12
Price-to-Free Cash Flow Ratio (TTM)12.5840.21