A best-in-class specialty services business with 33% margins, a Piotroski F-Score of 8 out of 9, and three earnings beats in the last four quarters is currently blocked from a clean entry by a confirmed death cross, capitulation-level RSI of 26, and a confirmed downtrend—the underlying business quality is compelling, but technical conditions argue for patience until momentum stabilizes.
Thesis pillars
- Best In Class Margins Quality→Stable
- Consistent Earnings Beat Record→Stable
- Death Cross Blocks Clean Entry↑Improving
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Sep 29, 2026
Copart, Inc. (CPRT) Stock Analysis
Recovery setup
Industrials · Specialty Business Services
Sell if holding. At $29.55, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: insurance company sellers (79.0%); Sector modifier (Industrials): -0.7.
Copart runs online auctions that remarket vehicles, mostly salvage and total-loss cars consigned by insurance companies, across the U.S., U.K., Canada, Germany, Brazil, the U.A.E., Spain and other countries. It earns auction and auction-related fees, with fiscal 2026 revenues of... Read more
Sell if holding. At $29.55, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: insurance company sellers (79.0%); Sector modifier (Industrials): -0.7. Chart setup: Death cross but MACD improving, RSI 68. Score 5.3/10, moderate confidence.
Passes 6/9 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 20d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
About Copart, Inc.
About Copart, Inc.
Copart reported fiscal 2026 revenues of $4.7 billion and operating income of $1.7 billion from online vehicle auctions, with insurance companies supplying 79% of the vehicles processed, down from 81% in fiscal 2025. Sales of U.S. vehicles to International members were 38.2% of units and 45.8% of gross transaction per vehicle. The company operates in the U.S., U.K., Germany, Brazil, Canada, the U.A.E., Spain, and several other countries.
Copart sells vehicles through its VB3 internet auction platform, which runs a two-step process: open preliminary bidding, where the BID4U feature bids incrementally on a member's behalf up to a stated maximum, followed by a real-time virtual auction. In the U.S., Canada, Brazil, and several other markets the company acts primarily as an agent and earns listing, selling, transportation, title processing, storage, bidding, and loading fees, recognized as net revenue rather than gross vehicle price. In the U.K., Germany, and Spain it also operates on a principal basis, buying some vehicles outright, and in the U.K. it sells dismantled parts through Green Parts Specialist. Buyers are mainly dismantlers, rebuilders, repair licensees, used vehicle dealers, exporters, and the general public. Operating costs consist mostly of labor, transportation, facilities, and cost of vehicles sold. In fiscal 2026 the company opened two facilities in Brazil and seven in the U.S. Its named competitors are other auction and remarketing companies and large dismantlers, which may buy salvage vehicles directly from insurers and bypass the auction.
Show full overview
Seller dependence and physical capacity are the sharpest constraints. No single customer exceeded 10% of revenues in fiscal 2026, yet the filing says a limited number of vehicle sellers have collectively accounted for a substantial portion of revenues, that some arrangements are non-exclusive and may be terminated on limited notice, and that U.K. insurers sometimes tender contracts to the highest bidder. Storage capacity can also bind: Hurricanes Helene and Milton filled facilities in affected U.S. areas and weighed on operating results in certain quarters, which shows how a catastrophe can both raise vehicle supply and limit the company's ability to accept it.
See also: Industrials · Specialty Business Services
From Copart, Inc.'s most recent 10-K filing, extracted October 18, 2026.
Recent developments
updated 2026-10-30Recent Developments — Copart, Inc.
Latest news
- NEWS Copart, Inc. (CPRT) Falls More Steeply Than Broader Market: What Investors Need to Know - Yahoo Finance — Yahoo Finance negative
- NEWS Copart, Inc. (CPRT) Falls More Steeply Than Broader Market: What Investors Need to Know - finance.yahoo.com — finance.yahoo.com negative
- NEWS Copart Inc. stock outperforms competitors despite losses on the day - marketwatch.com — marketwatch.com positive
- NEWS Barclays Maintains Copart(CPRT.US) With Sell Rating, Cuts Target Price to $25 - Moomoo — Moomoo negative
- NEWS Copart (CPRT) Set to Announce Q3 Earnings with Mixed Estimates - GuruFocus — GuruFocus neutral
Generated 2026-10-30T11:22:45Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomerinsurance company sellers79%10-K Item 1: 'We obtained 79%, 81%, and 81% of the total number of vehicles processed during fiscal 2026, 2025, and 2024, respectively, from insurance company sellers'
- MEDIUMCustomerInternational members buying U.S. vehicles38%10-K Item 1: 'sales of U.S. vehicles, on a unit basis, to International members was 38.2%'
Material Events(8-K, last 90d)
- 2026-10-16Item 5.02LOWBoard approved on Oct 14, 2026 a stand-alone nonstatutory option for CEO A. Jayson Adair over 20,000,000 shares in four tranches ($26.27 to $52.54 strike), 10-year term, subject to stockholder approval or forfeited.SEC filing →
- 2026-08-19Item 5.02LOWCompensation Committee approved pay for Jane Pocock, appointed President Aug 1, 2026: $804,000 salary, $643,000 target bonus, $800,000 RSUs and an option over 500,000 shares.SEC filing →
- 2026-08-18Item 5.02LOWBoard appointed David J. Berger, Senior Partner at Wilson Sonsini (company outside counsel), as director effective Aug 13, 2026; fees from the firm expected to be immaterial.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
Show full disclosure ▾Hide full disclosure ▴
About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.
Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.
Conflicts and positions. People who build TrendMatrix, or entities they control, may hold positions, long or short, in securities it covers, and may trade them at any time. Positions are not disclosed individually. Verdicts are generated by an automated model applied by the same rules to every covered stock, and are not adjusted for any position held by the people who build TrendMatrix. We do not accept payment from issuers for coverage.
No paid promotion. TrendMatrix does not accept payment from any issuer, broker, or third party in exchange for coverage of any security.
No fiduciary duty. No fiduciary, advisory, or agency relationship is created between you and TrendMatrix by reading our content or subscribing to our service.
Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.
Rating Breakdown
2 floor-breakers
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. At $29.55, A.R:R 1.1:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: insurance company sellers (79.0%); Sector modifier (Industrials): -0.7. Chart setup: Death cross but MACD improving, RSI 68. Prior stop was $27.85. Score 5.3/10, moderate confidence.
Analyst target: $33.93 (+14.8% upside). Prior stop was $27.85. Stop-loss: $27.85.
Concentration risk — Customer: insurance company sellers (79.0%); Sector modifier (Industrials): -0.7; Consecutive earnings misses (2).
Copart, Inc. trades at a P/E of 19.1 (forward 16.3). TrendMatrix value score: 5.8/10. Verdict: Sell.
19 analysts cover CPRT with a consensus score of 3.9/5. Average price target: $39.
What does Copart, Inc. do?Copart runs online auctions that remarket vehicles, mostly salvage and total-loss cars consigned by insurance...
Copart runs online auctions that remarket vehicles, mostly salvage and total-loss cars consigned by insurance companies, across the U.S., U.K., Canada, Germany, Brazil, the U.A.E., Spain and other countries. It earns auction and auction-related fees, with fiscal 2026 revenues of $4.7 billion and operating income of $1.7 billion. Its VB3 internet platform lets registered buyers worldwide bid without attending a physical auction.