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CPRT Stock Analysis - COPART INC AI Rating

CPRT Nasdaq Retail-Auto Dealers & Gasoline Stations DE CIK: 0000900075
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2026-01-31
AI Rating
STRONG BUY
92% Confidence

📊 CPRT Key Takeaways

Revenue: $2.3B
Net Margin: 33.1%
Free Cash Flow: $485.1M
Current Ratio: 10.06x
Debt/Equity: 0.00x
EPS: $0.77
AI Rating: STRONG BUY with 92% confidence

Investment Thesis

Copart demonstrates exceptional operational excellence with a 36% operating margin and fortress balance sheet featuring $5.1B cash, zero debt, and a 10x current ratio. The company generates robust free cash flow of $485.1M (21.3% margin) with 9.7% revenue growth and 13.6% EPS growth, indicating strong fundamental momentum and capital efficiency.

CPRT Strengths

  • + Exceptional profitability with 36.0% operating margin and 33.1% net margin, indicating dominant market position and operational leverage
  • + Fortress balance sheet with $5.1B cash, zero long-term debt, and 0.00x debt-to-equity ratio providing maximum financial flexibility
  • + Strong cash generation with $485.1M free cash flow and 21.3% FCF margin demonstrating capital-efficient business model
  • + Revenue growth acceleration (9.7% YoY) combined with EPS growth of 13.6% YoY shows operational leverage and improving profitability
  • + Exceptional liquidity metrics (10.06x current ratio, 9.99x quick ratio) with minimal working capital needs

CPRT Risks

  • ! Low gross margin of 11.0% limits profitability per unit despite high operating margins, indicating heavy reliance on operational efficiency
  • ! ROE of 7.7% and ROA of 7.1% suggest limited return on equity despite strong absolute profitability; capital may be underdeployed
  • ! Cyclical exposure to auto market and economic conditions could pressure volumes during downturns despite strong current performance
  • ! Limited insider activity (3 Form 4 filings in 90 days) may indicate limited management stock purchases at current levels

Key Metrics to Watch

CPRT Financial Metrics

Revenue
$2.3B
Net Income
$754.4M
EPS (Diluted)
$0.77
Free Cash Flow
$485.1M
Total Assets
$10.6B
Cash Position
$5.1B

💡 AI Analyst Insight

The 21.3% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.06x current ratio provides a solid financial cushion.

CPRT Profitability Ratios

Gross Margin 11.0%
Operating Margin 36.0%
Net Margin 33.1%
ROE 7.7%
ROA 7.1%
FCF Margin 21.3%

CPRT vs Consumer Sector

How COPART INC compares to Consumer sector averages

Net Margin
CPRT 33.1%
vs
Sector Avg 8.0%
CPRT Sector
ROE
CPRT 7.7%
vs
Sector Avg 18.0%
CPRT Sector
Current Ratio
CPRT 10.1x
vs
Sector Avg 1.5x
CPRT Sector
Debt/Equity
CPRT 0.0x
vs
Sector Avg 0.8x
CPRT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CPRT Balance Sheet & Liquidity

Current Ratio
10.06x
Quick Ratio
9.99x
Debt/Equity
0.00x
Debt/Assets
7.4%
Interest Coverage
40.50x
Long-term Debt
$0.0

CPRT 5-Year Financial Trend

CPRT 5-year financial data: Year 2021: Revenue $2.7B, Net Income N/A, EPS $2.46. Year 2022: Revenue $3.5B, Net Income $699.9M, EPS $2.93. Year 2023: Revenue $3.9B, Net Income $936.5M, EPS $0.97. Year 2024: Revenue $4.2B, Net Income $1.1B, EPS $1.13. Year 2025: Revenue $4.6B, Net Income $1.2B, EPS $1.28.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: COPART INC's revenue has grown significantly by 73% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.28 reflects profitable operations.

CPRT Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
21.3%
Free cash flow / Revenue

CPRT Quarterly Performance

Quarterly financial performance data for COPART INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q2 2026 $1.1B $350.7M $0.36
Q1 2026 $1.1B $362.1M $0.37
Q3 2025 $1.1B $382.3M $0.39
Q2 2025 $1.0B $325.6M $0.33
Q1 2025 $1.0B $332.5M $0.34
Q3 2024 $1.0B $350.4M $0.36
Q2 2024 $956.7M $293.7M $0.30
Q1 2024 $893.4M $245.8M $0.25

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CPRT Capital Allocation

Operating Cash Flow
$662.8M
Cash generated from operations
Stock Buybacks
$218.2M
Shares repurchased (TTM)
Capital Expenditures
$177.7M
Investment in assets
Dividends
None
No dividend program

CPRT SEC Filings

Access official SEC EDGAR filings for COPART INC (CIK: 0000900075)

📋 Recent SEC Filings

Date Form Document Action
Mar 3, 2026 10-Q cprt-20260131.htm View →
Feb 19, 2026 8-K cprt-20260219.htm View →
Jan 26, 2026 8-K d64083d8k.htm View →
Jan 22, 2026 4 xslF345X05/wk-form4_1769121662.xml View →
Jan 16, 2026 4 xslF345X05/wk-form4_1768587761.xml View →

Frequently Asked Questions about CPRT

What is the AI rating for CPRT?

COPART INC (CPRT) has an AI rating of STRONG BUY with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CPRT's key strengths?

Exceptional profitability with 36.0% operating margin and 33.1% net margin, indicating dominant market position and operational leverage. Fortress balance sheet with $5.1B cash, zero long-term debt, and 0.00x debt-to-equity ratio providing maximum financial flexibility.

What are the risks of investing in CPRT?

Low gross margin of 11.0% limits profitability per unit despite high operating margins, indicating heavy reliance on operational efficiency. ROE of 7.7% and ROA of 7.1% suggest limited return on equity despite strong absolute profitability; capital may be underdeployed.

What is CPRT's revenue and growth?

COPART INC reported revenue of $2.3B.

Does CPRT pay dividends?

COPART INC does not currently pay dividends.

Where can I find CPRT SEC filings?

Official SEC filings for COPART INC (CIK: 0000900075) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CPRT's EPS?

COPART INC has a diluted EPS of $0.77.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2026-01-31 | Powered by Claude AI