RE:Used Car MarketThe same thing happened last quarter, where Carmax dissappointed and whined about the used car market, ACQ stock declined some in sympathy, and then ACQ reported their earnings for the same quarter where they made money hand over fist. They showed strong markets in all categories, except new car sales, that solely due to restricted supply but ACQ still led the Canadian market in that category as well.
At some point the used car market will cycle back to normal levels. Let's face it, cars age and eventually the world will need new cars or we are all going to have to build ourselves a barn in the backyard, to hold our horses. I doubt we are going to go there.
This is all temporary stuff. Just imagine ACQ in 2027, and ask yourself if you think they will be making more money or less money then they are now. Carmax's last quarter will mean absolutely nothing to that question. Investors should try not to get too distracted from this stuff or they risk missing an incredble decade long great growth story, sellling at a crazy low price.