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CarMax reported a 50.4% year-over-year drop in Q3 net earnings to $62.2 million, triggering a leadership change and a new cost-cutting plan.
CarMax is facing a securities fraud lawsuit alleging the company misled investors by overstating its growth prospects. This legal challenge, combined with analyst expectations of a weak third-quarter report, creates significant headwinds for the company's stock.
Goldman Sachs Asset Management is acquiring Innovator Capital Management, a leading provider of defined outcome ETFs, for $2 billion. This strategic purchase signals a major push into investment products that offer downside protection against market losses.
Following dramatic recoveries from their 2022 lows, Carvana, Coinbase, and Robinhood will join the S&P 500. The inclusion validates their operational turnarounds while attracting significant passive investment inflows and renewed institutional interest, though questions about their high valuations persist.
Carvana's stock reached an all-time high following the announcement of its inclusion in the S&P 500 index, effective December 22. This event, coupled with a bullish analyst rating, solidifies a significant turnaround for the company, which now has a market capitalization exceeding that of traditional auto giants like Ford and GM.