Copart (NASDAQ:CPRT) Shares Gap Up Following Analyst Upgrade

Copart, Inc. (NASDAQ:CPRT) gapped up prior to trading on Friday after Barrington Research upgraded the stock from a market perform rating to an outperform rating. The stock had previously closed at $30.75, but opened at $32.01. Barrington Research now has a $40.00 price target on the stock. Copart shares last traded at $30.5220, with a volume of 4,096,388 shares trading hands.

Several other research analysts also recently commented on the stock. Deutsche Bank Aktiengesellschaft set a $40.00 price objective on shares of Copart in a report on Thursday, September 3rd. JPMorgan Chase & Co. raised shares of Copart from a “neutral” rating to an “overweight” rating and boosted their target price for the company from $32.00 to $40.00 in a report on Thursday, September 3rd. Jefferies Financial Group set a $45.00 target price on Copart in a research report on Friday, May 22nd. Freedom Capital raised Copart to a “strong-buy” rating in a report on Friday, June 26th. Finally, Stephens reiterated an “equal weight” rating and issued a $35.00 price target on shares of Copart in a research report on Thursday, August 20th. Two analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $37.57.

Insider Activity at Copart

In related news, CEO Jeffrey Liaw sold 27,745 shares of the business’s stock in a transaction that occurred on Tuesday, July 28th. The shares were sold at an average price of $30.49, for a total transaction of $845,945.05. Following the completion of the transaction, the chief executive officer owned 99,641 shares of the company’s stock, valued at approximately $3,038,054.09. The trade was a 21.78% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 9.60% of the company’s stock.

Copart News Summary

Here are the key news stories impacting Copart this week:

• Positive Sentiment: ACV acquisition expands Copart’s addressable market. Copart agreed to acquire ACV Auctions for $10.50 per share in cash, valuing the digital automotive marketplace at approximately $1.9 billion. The deal adds dealer-to-dealer auctions, vehicle inspections, valuation tools, and pricing data to Copart’s salvage-auction business. Management expects the transaction to be earnings-neutral initially and accretive beginning in fiscal 2028. Copart to Acquire ACV
• Positive Sentiment: Revenue exceeded expectations. Fiscal fourth-quarter revenue rose 2.4% year over year to $1.15 billion, ahead of the $1.14 billion consensus estimate. Vehicle sales increased 8.3% to $182.9 million, while the ACV transaction is being positioned as a longer-term growth catalyst. Why Is Copart Stock Gaining Friday?
• Positive Sentiment: Analyst sentiment remains favorable. Barrington Research upgraded CPRT from “market perform” to “outperform” with a $40 price target. Robert W. Baird retained an “outperform” rating and set a $38 target, despite lowering its previous target from $42.
• Neutral Sentiment: The strategic rationale is positive but execution remains ahead. Copart plans to fund the acquisition with cash on hand, and meaningful earnings accretion is not expected until fiscal 2028, leaving investors focused on integration and the near-term financial impact.
• Negative Sentiment: Profitability disappointed. Adjusted earnings of $0.35 per share missed the $0.38–$0.39 consensus range and fell from $0.41 a year earlier. Net income declined 17.4% to $327.4 million, gross profit fell 5.5%, and full-year earnings per share decreased to $1.55 from $1.59. Copart Lags Q4 Earnings Estimates

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. C M Bidwell & Associates Ltd. purchased a new position in shares of Copart during the 2nd quarter valued at $25,000. Versant Capital Management Inc raised its position in shares of Copart by 110.9% in the second quarter. Versant Capital Management Inc now owns 947 shares of the business services provider’s stock worth $27,000 after buying an additional 498 shares in the last quarter. Cache Advisors LLC purchased a new stake in shares of Copart in the first quarter worth $31,000. Compass Financial Management LLC bought a new stake in Copart during the second quarter valued at $33,000. Finally, Reflection Asset Management bought a new stake in Copart during the fourth quarter valued at $34,000. 85.78% of the stock is owned by institutional investors.

Copart Stock Down 0.4%

The company has a 50-day moving average of $30.35 and a 200 day moving average of $32.08. The firm has a market capitalization of $28.35 billion, a PE ratio of 19.03, a PEG ratio of 1.53 and a beta of 1.03.

Copart (NASDAQ:CPRT) last announced its earnings results on Thursday, September 10th. The business services provider reported $0.35 earnings per share for the quarter, missing analysts’ consensus estimates of $0.38 by ($0.03). Copart had a return on equity of 16.63% and a net margin of 33.48%.The business had revenue of $1.15 billion during the quarter, compared to the consensus estimate of $1.14 billion. During the same quarter in the prior year, the company earned $0.41 earnings per share. Copart’s revenue was up 2.4% compared to the same quarter last year. As a group, equities analysts anticipate that Copart, Inc. will post 1.58 EPS for the current fiscal year.

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.