Copart (CPRT) AI Stock Analysis

Copart

(BMV:CPRT)

Rating:―N/A

Action:N/A

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No summary available

Positive Factors

Very Low LeverageExtremely low leverage reduces financial risk and leaves Copart with substantial flexibility to fund expansion, absorb operating volatility, and pursue strategic investments. A debt-light capital structure also limits interest burdens, supporting resilience across changing industry and volume conditions.

Negative Factors

Declining Vehicle VolumesSustained declines in units sold can pressure transaction-related revenue and reduce operating leverage across Copart’s facilities and service network. The weakness is especially relevant because insurance volumes are a core supply source, making recovery in assignments and industry claim activity important to future growth.

Copart (CPRT) vs. SPDR S&P 500 ETF (SPY)

Market Cap: MXN 27.91B
Dividend Yield: ―
Average Volume (3M): 363
Price to Earnings (P/E): 19.3
Beta (1Y): 0.22
Revenue Growth: -9.44%
EPS Growth: -12.25%
Country: Mexico
Employees: 21,000
Sector: General
Sector Strength: 55
Industry: Specialty Business Services

Copart Business Overview & Revenue Model

Company Description

Copart, Inc. stands as a prominent global provider of online vehicle auctions and comprehensive vehicle remarketing services. The company extends its operations across numerous international markets, including the United States, the United Kingdom, G...

Copart Earnings Call Summary

Earnings Call Date:Sep 09, 2026(Q4-2026)|% Change Since:4.53%|Next Earnings Date:Nov 17, 2026

Earnings Call SentimentPositive

The call had a positive strategic and management tone, supported by international growth, higher ASPs, improving non-insurance and dealer activity, strong liquidity, continued technology investment, and the planned ACV acquisition. However, the quarter also featured declines in global and U.S. unit volumes, gross profit, operating income, net income, and increased per-vehicle costs. Overall, the number and scope of stated strategic and operational positives outweighed the financial and volume-related challenges.

Positive Updates

International Growth and Profitability

International fourth-quarter revenue grew 11.7% to $222.1 million, driven primarily by service revenue growth of 15%. International gross profit increased 11.8% to $77.6 million, with a 35.0% gross margin, while fiscal-year gross profit increased 12.3% to $301.9 million. International operating income reached $56.8 million, representing a 25.6% operating margin. Total international units sold increased 10% in the quarter, including insurance units up 11.2% and non-insurance units up 6%; international assignments grew 10% and inventory increased 10.4% year over year.

Negative Updates

Decline in Global and U.S. Unit Volumes

Global units sold declined 2.9% year over year in the fourth quarter and 5.5% for fiscal 2026, or 3.1% excluding catastrophe units. U.S. units sold declined 5.7% in the quarter and 6.9% for the fiscal year. Global assignments decreased 2.2% in the quarter, and year-end global inventory was down 1% year over year.

Company Guidance

Copart expects products and services to come out in the next 4 quarters, believes total loss frequency will continue to go up, expects per car cost to go down through cost reduction and leveraging costs through more units, and expects to close the ACV transaction by the end of the calendar year; the transaction is expected to be breakeven in the current and effectively accretive in the first full year, which will be in FY 28. Management said it does not guide specifically to cost or to any of the metrics on the P and L, does not give guidance on earnings or margins, and never gives guidance on growth, but said it will continue expanding in existing international markets and into new countries, while focusing domestically on whole car and internationally on insurance and salvage.

Copart Risk Analysis

Copart disclosed 34 risk factors in its most recent earnings report. Copart reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Copart Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

MX:CPRT against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RELX	74Outperform	$69.52B	23.75	125.53%	2.29%	5.77%	25.08%
ULS	71Outperform	$15.09B	29.78	37.55%	0.76%	6.61%	53.23%
PAGS	69Neutral	$2.20B	5.74	14.60%	9.82%	11.04%	15.45%
EVTC	67Neutral	$1.88B	20.48	15.04%	0.63%	12.36%	-28.24%
TIC	59Neutral	$2.19B	-12.48	-5.55%	―	―	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

MX:CPRT and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
MX:CPRT	Copart	564.48	-228.52	-28.82%
EVTC	EVERTEC INC	31.54	3.60	12.90%
RELX	Relx PLC (ADR)	40.09	-3.05	-7.07%
PAGS	Pagseguro Digital	7.94	-0.80	-9.12%
ULS	UL Solutions Inc. Class A	74.76	-11.63	-13.46%
TIC	Tic Solutions, Inc.	10.05	-1.63	-13.96%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Copart AI Stock Analysis