Carmax (KMX)? What can I say? Shouldn't they have been put out of business by the obliteration of the asset-backed securitization market? Shouldn't their used car business have been killed by "Cash for Clunkers," where instead of trading in one used car for another, you got more money for that used car if you bought a new car? Carmax stunned everyone, especially the shorts, when it saw sales spike during "Cash for clunkers," as the program just caused a lot of attention on cars in general -- at least that was their explanation. They blew out the numbers and now they are scrambling for inventory! High-quality problem, because it allows them to raise their average selling price and pretty much assures a great quarter next time around. The asset-backed market took off this quarter as the Federal Reserve's program to restart it (TALF) worked, and now the market is functioning well on its own. Why isn't that story told?

With a game changing philosophy on the used car market, and earnings set for this week, CarMax should be able to impress investors.

10.6

...business model

Carmax redefined used car sales. If you look at the 5 year history, this organization has survived in the face economic adversity.

Shares Held 231,610

Shares Held 231,610

I think the company is great and will do well again soon

growth potential, company I understand

Buffett

Because as a former employee I didn't bet the farm when the stock was at $1.50!

has done nothing since I've owned it

volitile

earnings