Copart, Inc. (CPRT) AI Stock Analysis

NASDAQ: CPRTAI research summary: business, growth, valuation, analysts, bull and bear case.

CPRT AI stock analysis summary

AI Research

Copart, Inc. operates a global online vehicle remarketing auction platform for insurance companies, banks, and individual sellers. In FY2026, the company generated $4.67B in revenue and maintained a net margin of 31.8%. The business holds $4.40B in net cash with total debt of $88.4M.

Market cap
$25.82B
Revenue (TTM)
$4.67B
P/E
18.0x
fwd 17.2x
1Y return
-36.7%
S&P 500 16.8%
Avg. target
$39.00
39.9% vs last close

Bull case

  • Copart closed FY2026 with a liquid balance sheet holding $4.40B in net cash and a debt-to-equity ratio of 0.01.
  • The business generated $1.27B in free cash flow in FY2026 and allocated $1.63B to share buybacks.
  • CPRT trades at a forward P/E of 17.2x, which sits below the median of its Nasdaq-100 Industrials peers at 27.3x.

Bear case

  • Revenue growth moderated to 0.4% in FY2026, while quarterly earnings dropped 15.0% year-over-year in the quarter ending July 31, 2026.
  • Operating margin declined from 39.3% in FY2022 to 35.4% in FY2026.
  • The stock fell 36.7% over the past year, trailing the S&P 500 return of 16.8%.

What Copart does

Copart, Inc. operates an online auction platform specializing in vehicle remarketing across several countries, including the United States, Canada, the United Kingdom, and Germany. Utilizing third-generation internet auction technology, the company facilitates the sale and processing of vehicles for insurance companies, banks, fleet operators, and individual sellers. Copart handles salvage estimation, transportation, title processing, vehicle inspection, and end-of-life processing. In addition, the company provides direct sales through CashForCars.com, salvage parts via Copart Recycling, digital inspections through Copart 360, and member privilege tiers on Copart.com.

Growth and profitability

Copart increased annual revenue from $3.50B in FY2022 to $4.67B in FY2026, delivering a 5-year revenue CAGR of 11.6%. Top-line expansion slowed to 0.4% in FY2026, down from 9.7% growth in FY2025. Gross margin was 44.7% in FY2026 compared to 45.9% in FY2022, while operating margin fell from 39.3% in FY2022 to 35.4% in FY2026. Net income reached $1.48B with EPS of $1.55 in FY2026, down from $1.55B and EPS of $1.60 in FY2025. For the latest quarter ending July 31, 2026, quarterly revenue rose 2.4% year-over-year, while quarterly earnings declined 15.0%.

CPRT income statement →

Balance sheet and cash flow

As of July 31, 2026, Copart held $4.49B in cash and short-term investments against total debt of $88.4M, resulting in a net cash position of $4.40B. Shareholders' equity was $9.10B, supporting a debt-to-equity ratio of 0.01 and a current ratio of 7.91. For FY2026, operating cash flow was $1.60B and free cash flow was $1.27B. The company funded $337.4M in capital expenditures and spent $1.63B on share buybacks during the fiscal year.

CPRT balance sheet →

Valuation and performance

Copart trades at a trailing P/E of 18.0x and a forward P/E of 17.2x, below the median of its Nasdaq-100 Industrials peers of 32.4x and 27.3x, respectively. The company carries an enterprise value of $22.32B with an EV to EBITDA ratio of 11.8x, compared to the peer median of 20.3x. Its price-to-sales ratio is 5.5x against the peer median of 6.3x. Over the past year, the stock fell 36.7%, lagging the S&P 500 (SPY) return of 16.8%. Over a 5-year period, CPRT declined 23.1% while SPY gained 83.0%.

CPRT key metrics →

What analysts expect

Wall Street analyst ratings include 3 Strong Buy, 4 Buy, 4 Hold, and 1 Sell recommendations. The mean price target is $39.00, representing 39.9% upside compared to the last close of $27.87 on October 16, 2026. For the current fiscal year ending July 31, 2027, consensus estimates project revenue of $4.84B and EPS of $1.62, representing projected EPS growth of 4.6%. The company beat EPS estimates in 2 of the last 4 quarters. The next earnings date is November 19, 2026.

CPRT forecast and price target →

Key risks and what to watch

  • Quarterly earnings fell 15.0% year-over-year in the quarter ending July 31, 2026, posing a risk of further profit contraction.
  • Revenue growth slowed significantly from 9.7% in FY2025 to 0.4% in FY2026.
  • The stock trades 15.3% below its 200-day average following sustained underperformance against the broader market.
  • Copart met or beat EPS consensus in only 2 of the past 4 quarters.

AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer

About this CPRT AI stock analysis

This page is an AI-written research summary of Copart, Inc. (CPRT). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: CPRT income statement, CPRT balance sheet, CPRT key metrics, CPRT analyst forecast, CPRT chart. See the CPRT stock overview for the latest quote and news.

CPRT AI stock analysis FAQ

Does Copart pay a dividend?

Copart does not pay a regular dividend. The company returned capital to shareholders through $1.63B in share buybacks during FY2026.

What is Copart's net cash position?

As of July 31, 2026, Copart held $4.49B in cash and short-term investments and $88.4M in total debt, resulting in net cash of $4.40B.

What are analysts' estimates for Copart's current fiscal year?

For the fiscal year ending July 31, 2027, consensus estimates forecast revenue of $4.84B and EPS of $1.62, which represents 4.6% EPS growth.

When is Copart's next earnings report?

Copart's next earnings release is scheduled for November 19, 2026.

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