Earnings Preview: Copart

Copart (NASDAQ:CPRT) is set to give its latest quarterly earnings report on Thursday, 2025-11-20. Here's what investors need to know before the announcement.

Analysts estimate that Copart will report an earnings per share (EPS) of $0.39.

Copart bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings Track Record

The company's EPS beat by $0.04 in the last quarter, leading to a 2.8% drop in the share price on the following day.

Here's a look at Copart's past performance and the resulting price change:

Copart Share Price Analysis

Shares of Copart were trading at $41.32 as of November 18. Over the last 52-week period, shares are down 27.38%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analyst Views on Copart

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Copart.

The consensus rating for Copart is Buy, derived from 3 analyst ratings. An average one-year price target of $46.67 implies a potential 12.95% upside.

Peer Ratings Comparison

This comparison focuses on the analyst ratings and average 1-year price targets of RB Global, Cintas and UniFirst, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for RB Global, with an average 1-year price target of $122.33, suggesting a potential 196.06% upside.
• Analysts currently favor an Neutral trajectory for Cintas, with an average 1-year price target of $211.67, suggesting a potential 412.27% upside.
• Analysts currently favor an Neutral trajectory for UniFirst, with an average 1-year price target of $172.33, suggesting a potential 317.06% upside.

Comprehensive Peer Analysis Summary

The peer analysis summary offers a detailed examination of key metrics for RB Global, Cintas and UniFirst, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

Copart ranks at the top for Revenue Growth with 5.25%. It is in the middle for Gross Profit at $509.72M. Copart is at the bottom for Return on Equity with 4.41%.

Unveiling the Story Behind Copart

Based in Dallas, Copart operates an online salvage vehicle auction with operations in 11 countries across North America, Europe, and the Middle East, facilitating over 3.5 million transactions annually. The company utilizes its virtual bidding platform, VB3, to connect vehicle sellers with over 750,000 registered buyers around the world. Buyers primarily consist of vehicle dismantlers, rebuilders, individuals and used vehicle retailers. About 80% of Copart's vehicle volume is supplied by auto insurance companies holding vehicles deemed a total loss. Copart also offers services such as vehicle transportation, storage, title transfer, and salvage value estimation. The company primarily operates on a consignment basis and collects fees based on the vehicle's final selling price.

Copart: Financial Performance Dissected

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Over the 3 months period, Copart showcased positive performance, achieving a revenue growth rate of 5.25% as of 31 July, 2025. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Copart's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 35.23%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Copart's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 4.41%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Copart's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.01% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Copart's debt-to-equity ratio is below the industry average at 0.01, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Copart visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.