CarMax Investors Face Jan. 2 Deadline in Securities Suit Over Tariff-Linked Demand, Credit Risks

Motions for lead plaintiff in a Maryland federal case are due as firms seek shareholders following sharp stock drops tied to CarMax’s fall disclosures.

Overview

The securities class action, captioned Jason Cap v. CarMax, Inc., No. 1:25-cv-03602, is pending in the U.S. District Court for the District of Maryland.
Investors who bought CarMax shares between June 20, 2025 and November 5, 2025 are being reminded to move for lead-plaintiff status by January 2, 2026, with no class yet certified.
Filings claim CarMax overstated durable demand that was actually boosted by pre-tariff purchasing and downplayed risks within CarMax Auto Finance.
On September 25, 2025, CarMax reported Q2 FY2026 declines and a $142.2 million loan-loss provision that included a $71.3 million increase in estimated lifetime losses, and shares fell about 20%.
On November 6, 2025, the company announced CEO Bill Nash’s unexpected departure and a weak preliminary Q3 outlook, prompting an additional share-price drop of more than 24%.