Stock analysis · Bull Rankings model

CPRT analysis

Copart, Inc.Specialty Business Services. Scored on the same transparent model behind the daily rankings.

CPRT
Copart, Inc. · Specialty Business Services
FCF$1.3bC+
Rev+1.0%C
D/E0.01A
P/E20.3xB+
PEG4.00D
54.0Score
$32.76$30.3B
1Y Target$40.20Analyst consensus · 10 analysts
5Y Target$58.86Compound horizon
10Y Target$87.31Long-dated conviction
FCF$1.3bTTM
C+
FCF $1.3b — respectable but not differentiating
Rev+1.0%TTM YoY
C
Revenue +1.0% — flat, mature phase or headwinds present
D/E0.01
A
D/E 0.01 — least levered decile in Industrials (≈10th pctile)
P/E20.3x
B+
P/E 20.3 — below the Industrials median (≈40th pctile)
PEG4.00
D
PEG 4.00 — very expensive; pricing in best-case scenarios

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Quality-growth score · 54
Quality89.7
Growth35.9
Value48.8
Why this score
  • Buying back stock
  • Durable high returns
Entry · Margin of safety
52-week rangeNear 52-week low
35% off the 12-month high
vs DCF fair value46% aboveest. fair value ~$22
What the price assumes: free cash flow compounding at ~14% a year for the next decade — vs the ~6% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability45% · A-gross profit ÷ total assets (Novy-Marx)
ROIC15.1% · A-return on invested capital — not score-weighted

Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.

Why now
Copart’s proprietary third‑generation virtual bidding platform powers a 33.5% profit margin and a 17.7% ROE, delivering $1.3 B of free cash flow while the business scales across 12+ countries. The Bull Rankings model flags Quality at 90 – the strongest pillar – confirming that Copart’s high‑margin auction engine is a durable cash‑generator, and the 14% reverse‑DCF implied FCF growth, far above the 1% revenue growth, shows the market already prices in aggressive expansion. The thesis rests on the platform’s ability to keep compounding cash flow as more insurers, dealers and fleet owners route salvage vehicles to Copart’s online auctions.
Moat
The moat lives in Copart’s end‑to‑end online auction ecosystem – from seller access and salvage estimation to on‑demand reporting and express title processing – which creates high switching costs for insurers and dealers who rely on its real‑time bidding network. Its 0.01 debt‑to‑equity ratio lets the firm reinvest cash into technology upgrades, preserving the pricing power that underpins the 33.5% margin and 17.7% ROE.
Risk
The bear case hinges on the stark mismatch between the 14% implied FCF growth and the mere 1% YoY revenue growth, suggesting the market is over‑optimistic; a slowdown in insurance claim volumes or a shift to alternative remarketing channels could compress the 33.5% margin and drive the P/E of 20.3 to unsustainable levels. A sustained dip in auction volumes would trigger a sell‑off, confirming the over‑valuation thesis.
Horizon
1-3 yr $40.20 (10-analyst consensus) — fundamentals + valuation re-rating. 5 yr $58.86 at ~12% CAGR — compounding case rests on the competitive position widening. 10 yr $87.31 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

CPRT vs the Top Picks average

PillarCPRTBook avgDiff
Quality0.900.83+0.06
Growth0.360.87-0.51
Value0.490.76-0.27

Averaged across the 30 names in today's Top Picks (mean score 81.6). A name can beat these averages and still be absent from the book — it also applies concentration limits.

Trend
-14.4 over 51 daily scores
From 68.4 (Jun 22) → 54.0 (now)

One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.

CPRT at a glance

THE BULL RANKINGS SCORECARD54.0/ 100 · BULL SCOREPEER MEDIANQUALITY89.7GROWTH35.9VALUE48.8Reverse-DCF · Price implies ~14% growth a year from here.
PRICE vs OUR DCF FAIR VALUE$21.7$23.7FAIR-VALUE RANGE$32.8PRICEOur DCF fair value ~$22.5 · price $32.8 is 31% above it.
ONE-YEAR MOVE VS ITS BETAFLATThis stock-33%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.
PRICE IN ITS 52-WEEK RANGE$32.8$26.8 LOWHIGH $50.1Trading at the 26th percentile of its 52-week range ($26.8–$50.1).

Every figure here comes from the same audited fundamentals behind the score. Charts drawn from data the score does not use say so on the card.

Analyst estimate revisions

30-day change-0.4%
90-day change-0.6%
Forward EPS estimate$1.68

Over the last 90 days, what analysts expect CPRT to earn is essentially unchanged. The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

A rising estimate means expectations are improving, not that the price has failed to keep up — and estimates get cut as readily as they get raised. It is not part of the Bull Rankings score. Biggest movers across the market →

Shares to buy
61
Position size
$1,998
4.0% of portfolio
Stop price
$24.57
25% below $32.76
$ at risk if stopped
$499.59
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Copart, Inc. (CPRT): score, valuation & FAQ

Copart, Inc. (CPRT) is a Specialty Business Services company that scores 54 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

Its strongest graded signals are D/E (A) and P/E (B+), while PEG (D) rate weaker. On valuation, CPRT sits about 46% above our discounted-cash-flow fair value — the current price implies roughly 14% annual free-cash-flow growth over the next decade.

Is CPRT a good stock to buy?

Bull Rankings scores CPRT 54 out of 100 on its quality-growth model, which is a middling reading. That is driven by D/E (A) and P/E (B+). A score is a quantitative screen of Copart, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does CPRT score 54 on Bull Rankings?

The score leans on quality at 89.7 out of 100, with growth the weakest pillar at 35.9 — the three combine geometrically, so a weak one cannot be papered over by a strong one. CPRT earns its highest marks on D/E (A) and P/E (B+), and is held back by PEG (D). Each signal is graded against sector-aware thresholds rather than one absolute bar, so CPRT is measured against Specialty Business Services peers, not against the market as a whole.

Is CPRT overvalued or undervalued?

Based on $32.76, CPRT sits about 46% above our discounted-cash-flow fair value — the current price implies roughly 14% annual free-cash-flow growth over the next decade. It trades at a 20.3x P/E (graded B+). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in CPRT?

The bear case hinges on the stark mismatch between the 14% implied FCF growth and the mere 1% YoY revenue growth, suggesting the market is over‑optimistic; a slowdown in insurance claim volumes or a shift to alternative remarketing channels could compress the 33.5% margin and drive the P/E of 20.3 to unsustainable levels. A sustained dip in auction volumes would trigger a sell‑off, confirming the over‑valuation thesis.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial advisor.

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