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

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

Company Profile

KMX is a standard domestic listing, while TM trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolKMXTM
Company NameCarMax, Inc.Toyota Motor Corporation
CountryUnited StatesJapan
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS IndustrySpecialty RetailAutomobiles
Market Capitalization8.68 billion USD259.61 billion USD
ExchangeNYSENYSE
Listing DateFebruary 4, 1997March 17, 1980
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of KMX and TM 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. TM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolKMXTM
5-Day Price Return-0.57%1.74%
13-Week Price Return-14.95%9.76%
26-Week Price Return-34.01%3.56%
52-Week Price Return-28.02%14.38%
Month-to-Date Return2.12%8.47%
Year-to-Date Return-29.29%-7.02%
10-Day Avg. Volume2.53M32.22M
3-Month Avg. Volume3.32M29.91M
3-Month Volatility34.29%36.57%
Beta1.331.47

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.

TM

12.02%

Automobiles Industry

Max
25.70%
Q3
12.88%
Median
6.92%
Q1
0.71%
Min
-15.89%

TM’s Return on Equity of 12.02% is on par with the norm for the Automobiles industry, indicating its profitability relative to shareholder equity is typical for the sector.

KMX vs. TM: A comparison of their Return on Equity (TTM) against their respective Specialty Retail and Automobiles 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.

TM

8.82%

Automobiles Industry

Max
9.92%
Q3
5.78%
Median
3.23%
Q1
0.11%
Min
-5.31%

A Net Profit Margin of 8.82% places TM in the upper quartile for the Automobiles industry, signifying strong profitability and more effective cost management than most of its peers.

KMX vs. TM: A comparison of their Net Profit Margin (TTM) against their respective Specialty Retail and Automobiles 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.

TM

9.60%

Automobiles Industry

Max
13.07%
Q3
7.22%
Median
5.29%
Q1
0.43%
Min
-4.46%

An Operating Profit Margin of 9.60% places TM in the upper quartile for the Automobiles industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

KMX vs. TM: A comparison of their Operating Profit Margin (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Profitability at a Glance

SymbolKMXTM
Return on Equity (TTM)8.96%12.02%
Return on Assets (TTM)2.04%4.61%
Net Profit Margin (TTM)2.08%8.82%
Operating Profit Margin (TTM)2.78%9.60%
Gross Profit Margin (TTM)11.20%19.29%

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.

TM

1.27

Automobiles Industry

Max
2.19
Q3
1.54
Median
1.26
Q1
1.09
Min
0.48

TM’s Current Ratio of 1.27 aligns with the median group of the Automobiles industry, indicating that its short-term liquidity is in line with its sector peers.

KMX vs. TM: A comparison of their Current Ratio (MRQ) against their respective Specialty Retail and Automobiles 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.

TM

1.07

Automobiles Industry

Max
2.34
Q3
1.13
Median
0.58
Q1
0.28
Min
0.06

TM’s Debt-to-Equity Ratio of 1.07 is typical for the Automobiles industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

KMX vs. TM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Specialty Retail and Automobiles 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.

TM

--

Automobiles Industry

Max
77.87
Q3
42.86
Median
13.88
Q1
2.13
Min
-49.07

Interest Coverage Ratio data for TM is currently unavailable.

KMX vs. TM: A comparison of their Interest Coverage Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Financial Strength at a Glance

SymbolKMXTM
Current Ratio (MRQ)2.391.27
Quick Ratio (MRQ)0.801.11
Debt-to-Equity Ratio (MRQ)3.021.07
Interest Coverage Ratio (TTM)----

Growth

Revenue Growth

KMX vs. TM: 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. TM: 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.

TM

3.09%

Automobiles Industry

Max
10.71%
Q3
5.39%
Median
3.14%
Q1
0.00%
Min
0.00%

TM’s Dividend Yield of 3.09% is consistent with its peers in the Automobiles industry, providing a dividend return that is standard for its sector.

KMX vs. TM: A comparison of their Dividend Yield (TTM) against their respective Specialty Retail and Automobiles 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.

TM

38.83%

Automobiles Industry

Max
114.43%
Q3
59.30%
Median
37.15%
Q1
16.40%
Min
0.00%

TM’s Dividend Payout Ratio of 38.83% is within the typical range for the Automobiles industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

KMX vs. TM: A comparison of their Dividend Payout Ratio (TTM) against their respective Specialty Retail and Automobiles industry benchmarks.

Dividend at a Glance

SymbolKMXTM
Dividend Yield (TTM)0.00%3.09%
Dividend Payout Ratio (TTM)0.00%38.83%

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.

TM

8.93

Automobiles Industry

Max
27.69
Q3
19.99
Median
9.85
Q1
6.60
Min
4.25

TM’s P/E Ratio of 8.93 is within the middle range for the Automobiles industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

KMX vs. TM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Specialty Retail and Automobiles 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.

TM

0.79

Automobiles Industry

Max
1.52
Q3
0.84
Median
0.41
Q1
0.23
Min
0.08

TM’s P/S Ratio of 0.79 aligns with the market consensus for the Automobiles industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

KMX vs. TM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Specialty Retail and Automobiles 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.

TM

1.09

Automobiles Industry

Max
4.25
Q3
2.00
Median
0.87
Q1
0.46
Min
0.19

TM’s P/B Ratio of 1.09 is within the conventional range for the Automobiles industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

KMX vs. TM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Specialty Retail and Automobiles industry benchmarks.

Valuation at a Glance

SymbolKMXTM
Price-to-Earnings Ratio (TTM)15.588.93
Price-to-Sales Ratio (TTM)0.320.79
Price-to-Book Ratio (MRQ)1.541.09
Price-to-Free Cash Flow Ratio (TTM)12.5852.42