The USD 61.9 support, currently tested, should allow CarMax to rally again.

From a fundamental viewpoint, CarMax seems undervalued in terms of enterprise value. Based on the current price, its market capitalization, plus its net debt, represents 0.86 times its estimated revenues for the current year.

The security follows a downward trend in the short term, under the USD 65.55 resistance area.
The trend is bearish also in the mid-term, under USD 65.55. However, the selling pressure could soon run out of steam. Indeed, while the stock shows an oversold condition, the USD 61.95 support area currently tested might stop the bearish trend in the short term (double-bottom configuration).

Considering technical and fundamental elements, it seems to be an appropriate timing to open a long position in CarMax in order to benefit from the USD 61.95 support area. A first target price will be the USD 65.55 resistance, ie a potential of 5.5%. A stop loss order will be placed under the mid-term support currently tested.