CarMax Securities Suit Advances as Jan. 2 Lead‑Plaintiff Deadline Nears

Overview

• A federal securities class action against CarMax is pending in the U.S. District Court for the District of Maryland, captioned Jason Cap v. CarMax, Inc., No. 1:25‑cv‑03602, asserting claims under Sections 10(b) and 20(a).
• Investors who bought CarMax securities from June 20, 2025 through November 5, 2025 face a January 2, 2026 deadline to seek appointment as lead plaintiff.
• Filings allege CarMax presented temporary, tariff‑driven demand as sustainable growth and downplayed credit risk in its CarMax Auto Finance portfolio.
• On September 25, 2025, CarMax reported weaker Q2 FY2026 results and higher loan‑loss provisioning, prompting roughly a 20% stock drop, with notices citing either a $142 million provision or a $71.3 million increase.
• On November 6, 2025, the company announced the unexpected departure of CEO Bill Nash alongside a weak preliminary Q3 outlook, triggering a further share decline of about 24%.