CarMax Analysts Throw in the Towel as Road Ahead Gets Murkier

A CarMax location in Fremont, California.

Photographer: Amy Osborne/Bloomberg

CarMax Inc.’s disastrous quarterly numbers prompted at least five Wall Street firms to lower their ratings on the stock as the used-car retailer faces long-term challenges and uncertainties.

The company gave preliminary resultsBloomberg Terminal for the fiscal third quarter that missed analysts estimates by a wide margin, and said it saw a decline in sales of retail units.