10:58 AM EDT, 04/02/2024 (MT Newswires) -- CarMax ( KMX ) is likely to report mostly in-line fiscal Q4 earnings, with upside potential later in 2024 through 2026, Wedbush Securities said in a note Tuesday.

The used-vehicle retailer is scheduled to report fiscal Q4 financial results on April 11. Wedbush projects earnings at $0.40 per share, compared with market expectations for $0.41, the firm said. It increased its used unit comps outlook to reflect a drop of 1.5% from a 4% decline as expected previously.

Wedbush analysts, including Seth Basham, said in the note they are "optimistic" about CarMax ( KMX ) into 2024 and continue to expect the company to outperform the industry over the medium term.

The firm expects fiscal 2024 EPS of $3.65 and used unit comps growth of 4.3% versus market expectations for $3.48 and 3.6%, respectively, according to the note.

Wedbush raised its price target on the CarMax ( KMX ) stock to $100 from $90, with an outperform rating.

The company's shares were down 1.6% in recent trading.

Price: 84.57, Change: -1.37, Percent Change: -1.59