US Equities Analysis

CPRT — Copart

Research evidence pack

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2. Company Fundamentals

2.1 Competitiveness

Metric Value
Operating Margins 37.53%
Profit Margins 33.48%
Return on Equity 17.61%
Return on Assets 11.34%
Free Float 0.85B
Short Int % Utilisation 4.58%

2.2 Growth

Metric Value
Revenue Growth 2.1%
Free Cash Flow 1.0B
EBITDA 12.72 (Ratio)
Enterprise Value 24.94B
EV/Revenue 5.38
EV/EBITDA 12.72

Revenue growth of 2.1% suggests mature or challenged top-line momentum.

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.)* -30.22%
Risk / Std Dev (Ann.)* 28.88%
1-Year Price Return* -32.86%

Latest Market Data (as of 2026-08-14, US Eastern time):

Metric Value
Last Price $31.61
52-Week Range $26.81 – $50.11
Observation Count 251 trading days

The return and risk statistics use daily adjusted closes from the retrieved one-year series and annualise daily moments using 252 trading days. The last price is the latest regular-market price reported for the stated date. Source: Yahoo Finance market data.

2.5 FCFF DCF Valuation

Valuation basis: This research model follows a five-year, unlevered FCFF DCF. It starts from reported annual operating inputs, forecasts revenue and operating cash conversion under an explicit mechanical policy, discounts FCFF at WACC, applies a Gordon-growth terminal value, and bridges enterprise value to an indicative common-equity value per share. It is an analytical estimate rather than a recommendation or personalised target price.

Step 1 — Forecast Operating Profit and NOPAT

Reported operating input Value
Revenue $4.65B
Prior annual revenue $4.24B
EBIT $1.70B
Tax rate 18.30%
NOPAT = EBIT × (1 − tax rate) $1.39B
Forecast start-growth basis 9.68%
Forecast policy latest reported annual revenue growth, bounded to -10.00% / 15.00%

Step 2 — Calculate FCFF

Current FCFF building block Value
NOPAT $1.39B
Add: depreciation & amortisation $217.78M
Less: capital expenditure -$568.99M
Less/(add): working-capital cash-flow movement $22.56M
Current unlevered FCFF $1.06B

Explicit FCFF forecast

Forecast year Revenue growth NOPAT D&A Capex Change in NWC FCFF Present value
1 9.68% $1.52B $238.87M -$624.07M $24.74M $1.16B $1.10B
2 7.89% $1.64B $257.70M -$569.38M $26.69M $1.36B $1.17B
3 6.09% $1.74B $273.40M -$493.84M $28.32M $1.55B $1.21B
4 4.30% $1.81B $285.14M -$400.09M $29.54M $1.73B $1.23B
5 2.50% $1.86B $292.27M -$292.27M $30.28M $1.89B $1.22B

Step 3 — Determine the Discount Rate (WACC)

WACC input Value
Risk-free rate 4.71%
Equity risk premium assumption 5.50%
Beta 1.01
Cost of equity 10.29%
Pre-tax cost of debt 7.71%
WACC 10.28%
WACC validation within standard range

Step 4 — Estimate Terminal Value

Terminal-value input Value
Perpetuity growth rate 2.50%
Terminal value $24.92B
Implied terminal EV / EBITDA 9.70x
Terminal value as % of enterprise value 72.03%

Step 5 — Discount Cash Flows to Enterprise Value

Enterprise-value component Value
Present value of explicit FCFF $5.93B
Present value of terminal value $15.28B
Indicated enterprise value $21.21B
Discounting convention mid-year for explicit FCFF; terminal value discounted at year-end five

Step 6 — Convert Enterprise Value to Equity Value

Equity bridge Value
Indicated enterprise value $21.21B
Less: gross interest-bearing debt $103.74M
Add: cash and equivalents $4.79B
Add: affiliate investments $0.00
Less: minority interests $20.46M
Indicated common equity value $25.88B

Step 7 — Calculate Indicative Value Per Share

Per-share output Value
Shares used 977,563,000.00
Share-count basis reported diluted weighted-average shares
Current market price $32.38
DCF indicative value per share $26.47
Indicative value vs. market price -18.25%

Model Integrity Checks

Check Result
Perpetuity growth is below the risk-free rate pass
Perpetuity growth is below WACC pass
WACC is within the configured operating-company range pass
Terminal-year FCFF is positive pass
Terminal capex converges to D&A pass
Terminal-value concentration within review band
Implied price differs from spot by more than 30% within review band

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks 4/4 evidenced checks
Lynch-inspired balance-and-growth checks 4/4 evidenced checks

Data lineage: Yahoo Finance public market and reported-statement data; retrieval timestamp: 2026-08-18 17:28:16.382522 UTC; latest reported fiscal period: 2025-07-31 00:00:00. Default assumptions: five-year forecast, mid-year discounting for explicit FCFF, a maximum 2.50% perpetuity-growth rate below both WACC and the risk-free rate, historical operating-ratio persistence, and capex convergence to D&A by year five. No sell-side consensus or management guidance is substituted for reported inputs. This is research and analysis only, not personalized financial advice.

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