$CPRTNeutralMed

A Look at Copart Inc (CPRT) After 4.1% Gain -- GF Value $55.22 v

Copart Inc (CPRT) shares recently gained 4.1% but are down significantly year-to-date and over the past year. GuruFocus assesses CPRT as undervalued, trading at $34.40 compared to its GF Value™ of $55.22, suggesting potential for investors. Despite strong financial health and profitability indicated by a high GF Score™, insider selling activity and low momentum scores warrant caution.

0/10
Med
Neutral
short to medium term
mixed; recent gain suggests short-term bullishness, but underlying valuation and insider activity warrant caution.

Copart Inc (CPRT) is currently undervalued based on its GF Value of $55.22, with a market price of $34.40. The stock has recently gained 4.1%, but remains down significantly year-to-date and over the past year. Financial health appears strong, but insider selling and low momentum scores suggest caution.

The news focuses on Copart Inc's recent stock performance, valuation, and financial health, making it highly relevant for trading decisions.

Potential for upward correction towards GF Value over medium term, but short-term volatility may persist due to insider activity.

Background

Copart Inc has experienced significant stock declines over the past year, raising questions about its valuation and future prospects.

Why it matters

The undervaluation presents a potential buying opportunity, but insider selling and low momentum scores introduce caution.

Market relevance

While CPRT's valuation metrics suggest a potential rebound, internal activities and technical signals advise prudence.

Market effects

The automotive and salvage sectors may see increased investor interest if CPRT's undervaluation prompts sector-wide reassessment.

Limited; the impact is primarily localized to the US market where CPRT operates.

Low; CPRT is a regional player with minimal influence on global markets.

Alternative perspectives

The insider selling activity and low momentum scores could indicate underlying issues, suggesting the stock may underperform in the near term despite undervaluation.

Potential macroeconomic headwinds or sector-specific challenges could impede the stock's recovery, which are not fully captured in the current analysis.

Key entities

  • Copart Inc

    A global leader in online vehicle auction and remarketing services.

Related articles

$CPRTHighAI 9/10

Copart Q3 Earnings Call Highlights

Copart reported fiscal Q3 2026 revenue up 2.1% to $1.24B and net income of $402.4M, with diluted EPS up 2.4% to $0.43, according to its earnings call. Insurance unit volumes fell 2.7% globally (4.2% in the U.S.). Management cited higher average selling prices (+4.6%) and gross margin rising 71 bps to 46.3%.

$CPRTHigh

Copart Stock Posts Q3 Beat With 50% Gross Margins, International Acceleration, and a $55 TIKR Target

Copart (CPRT) reported a strong Q3 FY2026, beating revenue and EPS estimates with $1.24B and $0.43 respectively. Despite a decline in global insurance unit volumes, rising average selling prices and significant international segment growth contributed to record gross margins of 50.5%. TIKR's valuation model suggests a target price of ~$55, indicating a potential 61% upside, contingent on steady margin expansion and a recovery in volume.

$CPRTMed

Copart, Inc. Stock 12‑Month Price Target Cut to $41.62, Implies 21% Upside

Copart, Inc.'s average 12-month price target has been lowered from $42.38 to $41.62 by 8 analysts, suggesting a potential upside of approximately 21% from its May 21 closing price. Despite the reduction, the consensus rating from 15 analysts remains "Buy," with a breakdown of 9 Buys, 5 Holds, and 1 Sell. Investors can find detailed price target data and analyst recommendations on TradingView's Forecasts tab and News Flow.

$CPRTMed

ABN Amro Investment Solutions Acquires 90,339 Shares of Copart, Inc. $CPRT

ABN Amro Investment Solutions significantly increased its stake in Copart, Inc. (NASDAQ:CPRT) during the fourth quarter, acquiring an additional 90,339 shares and bringing its total holdings to 199,794 shares valued at $7.82 million. This move comes as Copart reported strong quarterly earnings, surpassing analyst expectations with $0.43 EPS and $1.24 billion in revenue. Despite a recent insider stock sale by CEO Jeffrey Liaw and mixed analyst ratings, institutional ownership of Copart remains high at 85.78%.

$CPRTMed

Copart posts $1.2B revenue as net income dips 1% in Q3 2026

Copart, Inc. (NASDAQ: CPRT) announced its third-quarter fiscal 2026 financial results, reporting a 2.1% increase in revenue to $1.2 billion. Despite the revenue growth, net income attributable to Copart, Inc. decreased by 1.0% to $402.4 million, while fully diluted earnings per share rose by 2.4% to $0.43. The company also provided year-to-date figures, showing a slight decrease in revenue and modest increases in gross profit and net income for the nine months ended April 30, 2026.