Particle.news
Download on the App Store

CarMax Lawsuits Escalate After CEO Ousted and Weak Q3 Outlook Triggers Selloff

Investors pursuing class claims say CarMax touted unsustainable growth tied to tariff-driven pull‑forward, with lead‑plaintiff motions due January 2.

Overview

  • CarMax said CEO Bill Nash was terminated effective December 1 and projected Q3 EPS of $0.18–$0.36 with comparable-store unit declines of 8%–12%, sending shares down as much as 23% on November 6.
  • A securities class action is pending as Cap v. CarMax, Inc., No. 25-cv-03602, in the U.S. District Court for the District of Maryland.
  • Most filings define the class period as June 20, 2025 to September 24, 2025, while the Rosen Law Firm expanded its filing to include purchases through November 5, 2025.
  • Complaints allege CarMax overstated sustainable growth and failed to disclose that earlier gains reflected customers pulling purchases forward due to tariff speculation.
  • Law firms including Robbins LLP, Robbins Geller, Bernstein Liebhard, Kahn Swick & Foti, Rosen Law, Hagens Berman, and Bronstein Gewirtz & Grossman are soliciting investors, citing a January 2, 2026 deadline to seek lead-plaintiff status.