Added to YB: 2026-08-27
Pitch date: 2026-08-18
CPRT [bullish]
Copart, Inc.
+3.26%
current return
Author Info
DB_Silver_Fox is a CFO and value investor interested in: European & US hidden champions, simple and effective business models, and US Banks. Sign up for the newsletter.
Company Info
Copart, Inc. provides online auctions and vehicle remarketing services in the United States, the United Kingdom, Germany, Brazil, Canada, the United Arab Emirates, Spain, Finland, Oman, the Republic of Ireland, and Bahrain.
Market Cap
$30.8B
Pitch Price
$31.64
Price Target
N/A
Dividend
N/A
EV/EBITDA
13.37
P/E
20.66
EV/Sales
5.76
Sector
Commercial Services and Supplies
Category
turnaround
DB_Silver_Fox | Portfolio update as of 11.08.2026 - Copart, Inc.
CPRT: Deep-moat cash machine mispriced on cyclical headwinds; stock halved ~$60→$30, building position ~$30. Thesis: current de-rating prices high/expensive insurance premiums (suppressing total-loss volume) + soft used-car values (fee/unit) — both cyclical, not structural. Quality: 5yr $6.8B CFO, 0 dividends, 37% reinvested ($2.4B capex, $116M M&A), net cash $4.7B (12/31/25); EV total-loss tailwind. Moat: Copart/IAA duopoly, network effect. Risks: earnings driven by two uncontrolled variables — insurer total-loss decisions (repair-cost inflation) and used-vehicle prices; consolidated insurer buyers hold negotiating power; long-term autonomous driving cuts accident frequency. Own calcs.
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