CarMax Shareholders Urged to Act Before Class Action Deadline Approaches

CarMax Shareholder Alert: Important Notice for Investors

In a crucial reminder to investors, Kahn Swick & Foti, LLC (KSF), under the guidance of former Louisiana Attorney General Charles C. Foti, Jr., is alerting those who have experienced significant losses in their CarMax, Inc. (NYSE: KMX) investments. Investors who acquired CarMax securities between June 20, 2025, and November 5, 2025, have until January 2, 2026, to apply as lead plaintiffs in a pending class action lawsuit against the company.

Background of the Lawsuit

The class action arose due to allegations against CarMax and certain executives for failing to disclose crucial material information during the period of rapid financial uncertainties. This failure to communicate pertinent details is believed to violate federal securities laws, leading to substantial losses for shareholders.

In a significant announcement on September 25, 2025, CarMax revealed its financial results for the second quarter of fiscal year 2026. The disclosures highlighted a troubling decrease in retail unit sales, down by 5.4%, as well as a 6.3% drop in comparable store unit sales and a 2.2% decline in wholesale units. Moreover, net earnings per diluted share fell sharply to $0.64, compared to $0.85 in the previous year. In response to this unfavorable financial news, CarMax's stock suffered a staggering 20.07% decline, dropping $11.5 per share and closing at $45.60 on the same day.

Investor Action Required

If you are among those who bought CarMax shares or securities during the specified class period and have sustained financial losses, it is essential to seek legal advice regarding your options. The law firm KSF is offering assistance to affected investors to navigate the complexities of this class action. You are encouraged to reach out to Lewis Kahn, Managing Partner at KSF, at 1-877-515-1850 or via email at [email protected]. Furthermore, prospective lead plaintiffs must file with the court by the specified deadline to be recognized in the action.

The ongoing case is officially titled Cap v. CarMax, Inc., No. 25-cv-03602, and is being heard in the United States District Court for the District of Maryland. The implications of this lawsuit are significant, as it pertains to the rights of investors to seek recourse for their financial disillusionment stemming from CarMax's alleged mismanagement of disclosures during a turbulent economic period.

About Kahn Swick & Foti, LLC

Kahn Swick & Foti, LLC has firmly established itself as a leading boutique law firm specializing in securities litigation. With a stellar reputation and rankings among the top ten plaintiff law firms by SCAS, KSF has a strong track record of working on behalf of both institutional and retail investors to recover losses resulting from corporate wrongdoing. Its extensive array of offices across key regions in the United States, including New York, Delaware, California, Louisiana, Chicago, and even a representative office in Luxembourg, demonstrates its commitment to serving its clients nationwide.

For more information about your legal rights as an investor facing substantial losses against CarMax, please visit KSF Counsel. It’s vital that you understand your rights and the potential for recovery through this class action.