CarMax (KMX) – Used Car Play – June 11th, 2020

The bullish DailyPlay for Thursday, June 11th is CarMax (KMX). KMX has rallied 21.4% in the last month and its 1M and 6M trend turned bullish on May 22nd as car sales jump above pre-COVID numbers. 

Fundamental View

  • Stimulus and tax refunds drive car sales above pre-COVID levels
  • 84% of revenue derived from used car sales, favorable in a post COVID environment
  • Earnings June 19th (9 days)

Technical View

  • A pullback towards 20 D EMA in a strong trend provides good risk/reward for a long opportunity
  • Strong relative strength score (8 out of 10)
  • Both 1M and 6M trends are bullish

DailyPlay Trades & Performance

New! Track open DailyPlay trades with performance metrics and analytics. 

Upcoming Education

Maximize Your Profits with Debit Vertical Spreads- Thursday @ 4:15 PM EST