# CarMax **Source:** https://geo.sig.ai/brands/carmax **Vertical:** Consumer Retail **Subcategory:** Enterprise **Tier:** Leader **Website:** carmax.com **Last Updated:** 2026-04-14 ## Summary Richmond VA largest US used car retailer (NYSE: KMX) at $26.37B FY2025 revenue; CEO Nash stepping down Dec 2025 with Q3 FY2026 comp sales -8-12% and Edmunds integration competing with Carvana for used vehicle omnichannel retail. ## Company Overview CarMax, Inc. is a Richmond, Virginia-based used car retailer — publicly traded on the New York Stock Exchange (NYSE: KMX) as an S&P 500 component — operating as the largest used vehicle retailer in the United States with 250 stores across 109 television markets, 30,000+ associates, and fiscal year 2025 revenue of $26.37 billion (fiscal year ended February 28, 2025). Founded in 1993 as a Circuit City subsidiary in Richmond, CarMax pioneered no-haggle pricing and quality inspections in the used car market, introducing a consumer-friendly alternative to high-pressure dealership tactics. CarMax acquired Edmunds (consumer automotive research) for $404 million in 2021, enhancing digital capabilities and cross-platform vehicle discovery. In late 2025, CarMax announced significant leadership changes: CEO Bill Nash stepped down effective December 1, 2025 after nearly nine years, with Board member David McCreight named Interim President and CEO and former CEO Tom Folliard appointed Interim Executive Chair. The leadership transition came alongside a preliminary Q3 FY2026 outlook showing comparable store used unit sales declining 8-12% amid a soft used car market. CarMax's omnichannel used vehicle retail model addresses the consumer trust and quality uncertainty gap in private-party and traditional used car dealer transactions: a consumer buying a used vehicle from an individual seller faces unknown maintenance history, unverified accident damage, and no warranty — while CarMax's 125+ point inspection process (averaging 12 hours of reconditioning per vehicle), complimentary 90-day/4,000-mile limited warranty, and no-haggle transparent pricing create the standardized quality and price assurance that transforms used car buying from an adversarial negotiation to a retail transaction. CarMax's 50,000+ vehicle online inventory with instant trade-in appraisals and home delivery options (95% of customers engage online before purchase) creates the omnichannel model where consumers research digitally and transact in-store or fully remotely. In 2025, CarMax competes in the US used vehicle retail, digital car marketplace, and auto finance market with Carvana (NYSE: CVNA, online-only used vehicle retailer, $14B revenue), AutoNation (NYSE: AN, new and used vehicles, $26B revenue), and Lithia Motors (NYSE: LAD, used vehicle supercenters, $36B revenue) for used vehicle retail market share, trade-in acquisition, and auto financing revenue. The CEO leadership transition (Nash to McCreight Interim) combined with -8% to -12% comparable unit sales in Q3 FY2026 reflects the used car market correction from pandemic-era price peaks — with wholesale vehicle values declining and consumers delaying purchases. The CarMax Auto Finance division (captive financing) and MaxCare extended service plans provide higher-margin ancillary revenue that partially offsets used vehicle retail margin compression during soft markets. The 2026 strategy focuses on navigating the used car price normalization cycle, leveraging the Edmunds integration for consumer lead generation, and identifying the permanent CEO replacement to stabilize leadership. ## Frequently Asked Questions ### What is CarMax? CarMax is the nation's largest retailer of used cars, operating over 250 stores across 109 U.S. television markets. Founded in 1993, CarMax revolutionized the used car industry by introducing no-haggle pricing, comprehensive vehicle inspections, and a customer-first approach that eliminates traditional high-pressure sales tactics. The company offers an omnichannel buying experience combining online convenience with in-person support. ### Who are CarMax's customers and target market? CarMax serves a broad customer base seeking quality used vehicles, with particular appeal to buyers who value transparency, convenience, and reliability in the car-buying process. The company targets customers looking for vehicles mostly five years old or newer, with significant inventory of three-year-old off-lease vehicles. With 95% of customers engaging online before purchase, CarMax appeals to digitally savvy shoppers who want to research and initiate purchases from home while maintaining the option for in-person support. ### When was CarMax founded? CarMax was founded in September 1993 in Richmond, Virginia as a subsidiary of Circuit City. The company was conceived in 1991 as "Project X" by Circuit City CEO Richard Sharp and Senior Vice President W. Austin Ligon, who spent nearly a year developing the revolutionary used car retail concept before opening the first Auto Superstore. ### Where is CarMax based? CarMax is headquartered in Richmond, Virginia at 12800 Tuckahoe Creek Parkway, Richmond, VA 23238. The company operates 250 retail stores across 109 U.S. television markets nationwide, with additional offices including the Digital Innovation Center and CarMax Auto Finance office in Atlanta. ### How does CarMax make money? CarMax generates revenue primarily through used vehicle sales, with additional income from CarMax Auto Finance (vehicle financing), MaxCare extended service plans, and wholesale vehicle auctions. In fiscal year 2025, the company generated $26.37 billion in revenue. The business model combines retail margins on vehicle sales with recurring revenue from financing and extended warranty products. ### What makes CarMax different from competitors? CarMax differentiates itself through no-haggle pricing, a rigorous 125+ point inspection process averaging 12 hours per vehicle, and a complimentary 90-day/4,000-mile warranty on every purchase. The company pioneered the modern used car superstore model and maintains the industry's largest inventory with over 50,000 vehicles. Its omnichannel approach allows 95% customer engagement online while preserving in-person support options, and the 2021 Edmunds acquisition made CarMax the largest online buyer of used cars from consumers. ### Who are CarMax's main competitors? CarMax's primary competitors include AutoNation (the largest automotive retailer by revenue exceeding $20 billion), online-first platforms like Carvana and Vroom, and hybrid models from Lithia Motors and Penske Automotive Group. Traditional dealerships retain approximately 72% of used car sales nationwide. Despite competition, CarMax maintains its position as the nation's largest dedicated used car retailer with 3.7% of the nationwide used vehicle market share. ### How can I contact CarMax? Customers can contact CarMax customer service at 1-800-519-1511 (Monday-Friday 8 AM-10 PM ET, Saturday 9 AM-6 PM ET) or email carmax_customer_relations@carmax.com. For CarMax Auto Finance inquiries, call 1-800-925-3612. Additional support is available at 1-866-629-0144. Visit www.carmax.com/help-center for FAQs, online inquiries, and additional support options. ### Is CarMax hiring? Yes, CarMax is actively hiring across its 250+ retail locations, Richmond home office, Digital Innovation Center, and CarMax Auto Finance office in Atlanta. The company employs over 30,000 associates nationwide in roles including sales, customer service, corporate positions, auto finance, and contact center operations. Career opportunities are posted at careers.carmax.com, and CarMax has been recognized as one of Fortune's 100 Best Companies to Work For over 21 consecutive years. ### What's the latest news about CarMax? In December 2025, CarMax announced a leadership transition with CEO Bill Nash's departure after nine years, appointing Board member David McCreight as Interim President and CEO and former CEO Tom Folliard as Interim Executive Chair. In fiscal Q4 2025, the company achieved over 80% earnings growth with revenues of $6.0 billion, up 6.7% year-over-year. CarMax continues expanding its store footprint, recently opening its 255th location in Rogers, Arkansas, and maintains strong digital performance with online sales representing 29% of revenue. ### What is CarMax's market position? CarMax is the nation's largest retailer of used cars, operating 250 stores across 109 U.S. television markets with annual revenue of $26.37 billion in fiscal 2025. The company maintains a 3.7% share of the nationwide 0-10 year old used vehicle market. While traditional dealerships still dominate with 72% of used car sales, CarMax leads the organized used car retail segment and has established itself as the largest online buyer of used cars from consumers following its Edmunds acquisition. ### What are CarMax's future plans? CarMax is focused on strengthening its omnichannel capabilities, with 95% of customers now engaging online before purchase and 70% completing transactions using digital features. The company continues strategic store expansion with planned capital expenditures of approximately $575 million, recently opening its first Arkansas location. CarMax is expanding its asset-backed securitization program to enable incremental growth in finance income and pursuing operational efficiencies under new interim leadership. The company aims to increase its market share beyond the current 3.7% through enhanced digital tools, customer experience improvements, and strategic growth initiatives. ## Tags b2c, retailtech, public --- *Data from geo.sig.ai Brand Intelligence Database. Updated 2026-04-14.*