CarMax price target raised to $70 from $60 at RBC Capital

RBC Capital analyst Steven Shemesh raised the firm’s price target on CarMax to $70 from $60 and keeps an Outperform rating on the shares. The company’s gross profit per unit in Q4 was solid, though the profit environment will remain pressured as retail prices come down and higher rates continue to cause affordability issues for consumers, the analyst tells investors in a research note. The firm adds however that this appears to be "well understood" by investors and appropriately reflected in buy-side consensus.