In our view, CarMax (NYSE:KMX) has been among the cheapest stocks in the Fund as its valuation suffered from uneven used vehicle comp performance and a narrative that digital disruption was taking a toll. We believe the market has started looking forward to the nationwide roll-out of CarMax's omnichannel offering in early 2020. Optimism has also been bolstered by the strongest used unit comp performance in five years as reported for the quarter ending May 31.
From Chuck Akre (Trades, Portfolio)'s second-quarter 2019 shareholder letter.
This article first appeared on GuruFocus.
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