Copart Sales Driving Share Gains

FX Empire
27 Nov 2024

CPRT is an online auto auction and vehicle remarketing company. It offers vehicle sellers many services to process and sell vehicles online. The company also sells vehicles to dismantlers, rebuilders, repair licensees, used vehicle dealers, and exporters. CPRT operates in 11 countries across North America, Europe, and the Middle East, handling over 3.5 million transactions annually.

As for Copart’s earnings, they were in line with expectations in its first-quarter 2025 report. Diluted per-share earnings hit $0.37, marking a year-over-year increase of 8.8%. Revenue was nearly $1.2 billion, which is a jump of $126.4 million, or 12.4%. That number surpassed consensus estimates and is further supported by bullish guidance from management, which sees bigger sales volumes in coming years on the back of aging vehicles.

It’s no wonder CPRT shares are up 30% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Copart Sought by Big Money

Institutional volumes reveal plenty. Recently, CPRT has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in CPRT shares. They reflect our proprietary inflow signal, pushing the stock higher:

Source: www.mapsignals.com

Plenty of discretionary names are under accumulation right now. But there’s a powerful fundamental story happening with Copart.

Copart Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, CPRT has had strong sales and earnings growth:

  • 3-year sales growth rate (+16.7%)
  • 3-year earnings growth rate (+12.7%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +12.7%.

Now it makes sense why the stock has been powering to new heights. CPRT has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

Copart has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last year. The blue bars below show when CPRT was a top pick…making shares values jump:

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Copart Price Prediction

The CPRT rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in CPRT at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.

This article was originally posted on FX Empire

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