Will CarMax (KMX) Benefit from an A.I.-Powered Virtual Assistant?

Akre Capital Management, an investment management company, published the “Akre Focus Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the quarter, the fund (Institutional share class) returned 8.62% compared to the S&P 500 Total Return’s 8.74% increase. In the second quarter, the focus shifted to Artificial intelligence (AI) which contributed to the broader market indices. The fund (the Institutional share class) returned 15.07% for the trailing 12-month period ending June 30, 2023, compared to the S&P 500 Total Return’s 19.59% gain. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Akre Focus Fund highlighted stocks like CarMax, Inc. (NYSE:KMX) in the second quarter 2023 investor letter. Headquartered in Richmond, Virginia, CarMax, Inc. (NYSE:KMX) is a used vehicle retailer. On July 14, 2023, CarMax, Inc. (NYSE:KMX) stock closed at $83.40 per share. One-month return of CarMax, Inc. (NYSE:KMX) was 4.73%, and its shares lost 10.15% of their value over the last 52 weeks. CarMax, Inc. (NYSE:KMX) has a market capitalization of $13.195 billion.

Akre Focus Fund made the following comment about CarMax, Inc. (NYSE:KMX) in its second quarter 2023 investor letter:

“The Fund owns many businesses that stand to benefit enormously from A.I. CarMax, Inc. (NYSE:KMX) has launched an A.I.-powered virtual assistant to guide online shoppers through the car buying process. We need not chase businesses we do not own in order for the Fund to participate in the future of A.I.”

CarMax, Inc. (NYSE:KMX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 38 hedge fund portfolios held CarMax, Inc. (NYSE:KMX) at the end of the fourth quarter which was 38 in the previous quarter.

We discussed CarMax, Inc. (NYSE:KMX) in another article and shared the list of best auto and truck dealership stocks to buy. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

Suggested Articles:

Disclosure: None. This article is originally published at Insider Monkey.