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Dallas, Texas-based Copart, Inc. (CPRT) is a leading global provider of online vehicle auction and remarketing services. Valued at a market cap of $43.2 billion, the company operates a digital auction platform that enables the resale of salvaged, used, and clean-title vehicles through its proprietary VB3 technology. It is expected to announce its fiscal Q1 earnings for 2026 in the near future. Before this event, analysts expect this online car auction company to report a profit of $0.40 per share, up 8.1% from $0.37 per share in the year-ago quarter. The company has met or surpassed Wall Street’s bottom-line estimates in each of the last four quarters. Its earnings of $0.41 per share in the previous quarter topped the consensus estimates by a notable margin of 10.8%. For fiscal 2026, analysts expect Copart to report a profit of $1.68 per share, representing a 5.7% increase from $1.59 per share in fiscal 2025. Moreover, its EPS is expected to grow 11.3% year-over-year to $1.87 in fiscal 2027. Copart has fallen 14.6% over the past 52 weeks, significantly lagging behind both the S&P 500 Index's ($SPX) 18.4% return and the Industrial Select Sector SPDR Fund’s (XLI) 15.1% uptick over the same time period. Copart released its Q4 results on Sep. 4, and its shares plunged 2.8% in the following trading session. Overall, its revenue improved 5.2% year-over-year to $1.1 billion, while its EPS climbed 24.2% from the year-ago quarter to $0.41, surpassing consensus estimates by a notable margin of 10.8%. The company’s 7.1% rise in service revenue was partially offset by a 4% fall in its vehicle sales. This decline in vehicle sales due to macroeconomic softness might have made investors jittery. Wall Street analysts are moderately optimistic about Copart’s stock, with an overall "Moderate Buy" rating. Among 11 analysts covering the stock, five recommend "Strong Buy," and six suggest "Hold.” The mean price target for CPRT is $58.44, indicating a 32.3% potential upside from the current levels.
