Back to top

Image: Bigstock

Copart, Inc. (CPRT) Registers a Bigger Fall Than the Market: Important Facts to Note

Read MoreHide Full Article

Copart, Inc. (CPRT - Free Report) closed at $51.36 in the latest trading session, marking a -1.36% move from the prior day. This move lagged the S&P 500's daily loss of 0.92%. On the other hand, the Dow registered a loss of 0.96%, and the technology-centric Nasdaq decreased by 1.6%.

The company's shares have seen a decrease of 0.72% over the last month, not keeping up with the Business Services sector's gain of 3.11% and the S&P 500's gain of 2.68%.

The investment community will be paying close attention to the earnings performance of Copart, Inc. in its upcoming release. The company's upcoming EPS is projected at $0.37, signifying an 8.82% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $1.09 billion, reflecting a 7.2% rise from the equivalent quarter last year.

For the full year, the Zacks Consensus Estimates project earnings of $1.54 per share and a revenue of $4.6 billion, demonstrating changes of +10% and +8.66%, respectively, from the preceding year.

Investors might also notice recent changes to analyst estimates for Copart, Inc. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Currently, Copart, Inc. is carrying a Zacks Rank of #5 (Strong Sell).

Investors should also note Copart, Inc.'s current valuation metrics, including its Forward P/E ratio of 33.88. This valuation marks no noticeable deviation compared to its industry's average Forward P/E of 33.88.

The Auction and Valuation Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 249, finds itself in the bottom 2% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Copart, Inc. (CPRT) - free report >>

Published in