Copart (NASDAQ:CPRT) Issues Earnings Results

Copart (NASDAQ:CPRT) announced its quarterly earnings results on Thursday. The business services provider reported $0.35 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.38 by ($0.03), Zacks reports. The business had revenue of $1.15 billion during the quarter, compared to analysts’ expectations of $1.14 billion. Copart had a net margin of 33.48% and a return on equity of 16.63%.

Copart Stock Performance

NASDAQ CPRT traded down $1.28 during mid-day trading on Thursday, reaching $30.75. 14,909,335 shares of the stock were exchanged, compared to its average volume of 10,144,791. The stock has a market capitalization of $28.47 billion, a PE ratio of 19.10, a PEG ratio of 1.56 and a beta of 1.03. Copart has a 1-year low of $26.81 and a 1-year high of $49.05. The business’s fifty day simple moving average is $30.34 and its 200 day simple moving average is $32.12.

Insiders Place Their Bets

In other Copart news, CEO Jeffrey Liaw sold 27,745 shares of the stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $30.49, for a total transaction of $845,945.05. Following the transaction, the chief executive officer owned 99,641 shares of the company’s stock, valued at $3,038,054.09. This represents a 21.78% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 9.60% of the company’s stock.

Institutional Investors Weigh In On Copart

Hedge funds and other institutional investors have recently made changes to their positions in the business. Triumph Capital Management increased its stake in shares of Copart by 424.2% during the 4th quarter. Triumph Capital Management now owns 1,017 shares of the business services provider’s stock valued at $40,000 after acquiring an additional 823 shares during the last quarter. DV Equities LLC acquired a new position in Copart during the fourth quarter worth approximately $48,000. Larson Financial Group LLC raised its stake in Copart by 36.7% during the third quarter. Larson Financial Group LLC now owns 1,363 shares of the business services provider’s stock worth $61,000 after purchasing an additional 366 shares during the period. Geneos Wealth Management Inc. raised its stake in Copart by 365.8% during the first quarter. Geneos Wealth Management Inc. now owns 1,118 shares of the business services provider’s stock worth $63,000 after purchasing an additional 878 shares during the period. Finally, Zions Bancorporation National Association UT grew its stake in shares of Copart by 27.1% during the 4th quarter. Zions Bancorporation National Association UT now owns 2,292 shares of the business services provider’s stock valued at $90,000 after buying an additional 488 shares during the period. Hedge funds and other institutional investors own 85.78% of the company’s stock.

Key Stories Impacting Copart

Here are the key news stories impacting Copart this week:

• Positive Sentiment: Copart agreed to acquire digital automotive marketplace ACV Technologies (NYSE: ACVA) for $10.50 per share in cash, valuing the transaction at approximately $1.9 billion. The deal could expand Copart’s position in vehicle remarketing and broaden its relationships with dealers and commercial clients. Copart to Acquire ACV, Expanding Position Across the Vehicle Remarketing Ecosystem
• Positive Sentiment: Revenue rose 2.4% year over year to $1.15 billion in the fiscal fourth quarter, with vehicle sales increasing 8.3% to $182.9 million. The company’s fiscal-year revenue also reached a record $4.67 billion, up 0.4%.
• Neutral Sentiment: Analysts had expected a softer quarter, forecasting earnings per share of approximately $0.38 and revenue of roughly $1.14 billion. Copart’s results were broadly in line on revenue but below expectations on earnings. Copart Likely To Report Lower Q4 Earnings
• Neutral Sentiment: Zacks upgraded Copart from “strong sell” to “hold,” indicating reduced downside conviction but not a bullish recommendation.
• Negative Sentiment: Fourth-quarter diluted EPS fell to $0.35 from $0.41 and missed consensus by $0.03. Net income declined 17.4% to $327.4 million, while gross profit dropped 5.5% to $481.4 million, suggesting margin pressure. Fiscal-year EPS also decreased to $1.55 from $1.59.
• Negative Sentiment: Reported insider activity was entirely selling over the past six months, including sales by CEO Jeffrey Liaw and director Daniel J. Englander. Institutional positioning was mixed, with more funds reducing holdings than adding shares.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the company. Barclays set a $25.00 price objective on Copart and gave the stock an “underweight” rating in a research report on Wednesday, August 26th. Jefferies Financial Group set a $45.00 target price on Copart in a report on Friday, May 22nd. Weiss Ratings reissued a “sell (d+)” rating on shares of Copart in a research report on Wednesday, July 29th. Stephens reissued an “equal weight” rating and issued a $35.00 price target on shares of Copart in a report on Thursday, August 20th. Finally, JPMorgan Chase & Co. raised Copart from a “neutral” rating to an “overweight” rating and increased their price objective for the company from $32.00 to $40.00 in a research note on Thursday, September 3rd. Two research analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $38.83.

About Copart

Copart, Inc (NASDAQ: CPRT) provides online vehicle auction and remarketing services. The company operates a global marketplace where damaged, recovered, used and other vehicles are sold primarily through online auctions. Its offerings include salvage and clean-title vehicles, with inventory sourced from insurance companies, banks, dealerships, fleet operators, rental companies, government agencies and other organizations.

Copart supports the vehicle remarketing process through inspection, storage, transportation, title processing and auction services.