OpCo says CarMax strength follows suggestion company could be activist target

Oppenheimer analyst Brian Nagel notes that CarMax shares are trading modestly higher today, which he attributes to comments from Activist Insight suggesting that an activist investor could be targeting company. While he has not spoken with CarMax management and has "no way of verifying reports from Activist Insight," he believes the company "could represent an attractive activist investor target," Nagel tells investors. With that said, he does not foresee "any need for significant changes to operational and financial control," said the analyst, who keeps an Outperform rating and $75 price target on the shares.