CarMax Shares Drop 23% After Sudden Leadership Shake-Up

(RTTNews) - CarMax, Inc. (KMX) shares fell 22.9 percent to $31.46 on Thursday after the used-car retailer announced a major leadership overhaul.

Former CEO Tom Folliard will return as Interim Executive Chair, and board member and seasoned retail strategist David McCreight was named Interim President and Chief Executive Officer. With effect from December 1, current CEO Bill Nash is leaving the board and his position.

After opening at $36.08, the stock fluctuated between $31.27 and $36.49 before closing at $31.46, a significant decline from its previous close of $40.81 on the New York Stock Exchange. The average trading volume was 4.4 million shares, but it jumped to 16.5 million shares.

Over the last 52 weeks, CarMax's stock has fluctuated between $31.27 and $91.25.