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Copart (CPRT) Declares Common Stock Split in 2-for-1 Ratio
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Copart, Inc. (CPRT - Free Report) announced that its board has cleared the split of its common stock in a two-for-one ratio. Shareholders will receive one additional share for every share held, in a stock dividend. The company’s CEO stated that the split will widen distribution as well as provide higher liquidity for the company stock.
The additional shares will be provided on Apr 10, after the market closes, to shareholders on record as of Apr 3. This move will double Copart’s outstanding shares from about 115 million to roughly 230 million shares.
The issue of new shares due to the split will also be adjusted to Copart’s equity investment plans which include stock, entitled to awards and available resources. Moreover, the company’s share buyback program will also be adjusted to reflect this split.
Copart occasionally repurchases shares to boost shareholder value. In fiscal 2016, the company repurchased 11.3 million shares for a weighted average price of $39.29. The company had also repurchased around 6.5 million shares for $233.5 million in Jul 2015.
Copart recorded adjusted earnings per share of 58 cents for second-quarter fiscal 2017 (ended Jan 31, 2016), up from 45 cents a year ago. Moreover, the earnings per share figure was in line with the Zacks Consensus Estimate.
The company’s revenues increased 16.6% to $349.5 million in the reported quarter. Further, the figure outpaced the Zacks Consensus Estimate of $339 million. Service revenues went up 19.1% to $310.03 million while revenues from vehicle sales grew 0.5% to $39.5 million.
Copart outperformed the Zacks categorized Auction and Valuation Services industry over the last three months. The stock gained 10.4% over this period while the industry witnessed a decline of 5.1%. Share price improved from geographical expansions and shares repurchases.
For the long-term, Honda, Adient and Volkswagen has expected earnings growth rate of around 26%, 14.9% and 27.2%, respectively.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017? Who wouldn't? Last year's market-beating Top 10 portfolio produced 5 double-digit winners. For example, oil and natural gas giant Pioneer Natural Resources and First Republic Bank racked up stellar gains of +44.9% and +44.3% respectively. Now a brand-new list for 2017 has been hand-picked from 4,400 companies covered by the Zacks Rank. See the 2017 Top 10 right now>>
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Copart (CPRT) Declares Common Stock Split in 2-for-1 Ratio
Copart, Inc. (CPRT - Free Report) announced that its board has cleared the split of its common stock in a two-for-one ratio. Shareholders will receive one additional share for every share held, in a stock dividend. The company’s CEO stated that the split will widen distribution as well as provide higher liquidity for the company stock.
The additional shares will be provided on Apr 10, after the market closes, to shareholders on record as of Apr 3. This move will double Copart’s outstanding shares from about 115 million to roughly 230 million shares.
The issue of new shares due to the split will also be adjusted to Copart’s equity investment plans which include stock, entitled to awards and available resources. Moreover, the company’s share buyback program will also be adjusted to reflect this split.
Copart occasionally repurchases shares to boost shareholder value. In fiscal 2016, the company repurchased 11.3 million shares for a weighted average price of $39.29. The company had also repurchased around 6.5 million shares for $233.5 million in Jul 2015.
Copart recorded adjusted earnings per share of 58 cents for second-quarter fiscal 2017 (ended Jan 31, 2016), up from 45 cents a year ago. Moreover, the earnings per share figure was in line with the Zacks Consensus Estimate.
The company’s revenues increased 16.6% to $349.5 million in the reported quarter. Further, the figure outpaced the Zacks Consensus Estimate of $339 million. Service revenues went up 19.1% to $310.03 million while revenues from vehicle sales grew 0.5% to $39.5 million.
Copart outperformed the Zacks categorized Auction and Valuation Services industry over the last three months. The stock gained 10.4% over this period while the industry witnessed a decline of 5.1%. Share price improved from geographical expansions and shares repurchases.
Zacks Rank & Key Picks
Copart currently carries a Zacks Rank #3 (Hold).
Better-ranked companies in the auto space include Honda Motor Co., Ltd. (HMC - Free Report) , Adient PLC (ADNT - Free Report) and Volkswagen AG . All the three stocks carry a Zacks Rank #2 (Buy). You can the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
For the long-term, Honda, Adient and Volkswagen has expected earnings growth rate of around 26%, 14.9% and 27.2%, respectively.
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2017? Who wouldn't? Last year's market-beating Top 10 portfolio produced 5 double-digit winners. For example, oil and natural gas giant Pioneer Natural Resources and First Republic Bank racked up stellar gains of +44.9% and +44.3% respectively. Now a brand-new list for 2017 has been hand-picked from 4,400 companies covered by the Zacks Rank. See the 2017 Top 10 right now>>