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Why Copart, Inc. (CPRT) Dipped More Than Broader Market Today

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In the latest trading session, Copart, Inc. (CPRT - Free Report) closed at $42.73, marking a -0.97% move from the previous day. This change lagged the S&P 500's daily loss of 0.48%. Meanwhile, the Dow experienced a drop of 1.12%, and the technology-dominated Nasdaq saw an increase of 0.38%.

Shares of the company have depreciated by 0.64% over the course of the past month, outperforming the Business Services sector's loss of 4% and the S&P 500's loss of 2.65%.

Market participants will be closely following the financial results of Copart, Inc. in its upcoming release. The company is predicted to post an EPS of $0.32, indicating a 23.08% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $977.79 million, up 9.45% from the prior-year quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.42 per share and revenue of $4.17 billion, which would represent changes of +12.7% and +7.65%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Copart, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.16% higher. At present, Copart, Inc. boasts a Zacks Rank of #1 (Strong Buy).

In the context of valuation, Copart, Inc. is at present trading with a Forward P/E ratio of 30.43. This expresses no noticeable deviation compared to the average Forward P/E of 30.43 of its industry.

The Auction and Valuation Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 1, putting it in the top 1% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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