U.S. Markets open in 3 hrs 22 mins

Copart (CPRT) to Report Q1 Earnings: What's in the Cards?

Zacks Equity Research

Copart, Inc. CPRT first-quarter fiscal 2020 performance is expected to reflect year-over-year earnings and revenue growth.

Shares of the company have gained 79.6% year to date, significantly outperforming the 63.9% growth of the industry it belongs to.

Top-Line Expectations

The Zacks Consensus Estimate for revenues is pegged at $531 million, indicating year-over-year growth of 15.1%. High activity levels in the United States and expansion efforts in European markets, primarily in the U.K. and Germany, are likely to have boosted the company’s revenues in the to-be-reported quarter.

Copart, Inc. Revenue (TTM)

Copart, Inc. Revenue (TTM)

Copart, Inc. revenue-ttm | Copart, Inc. Quote

The consensus mark for service revenues is pegged at $ 462 million, indicating 17% year-over-year growth. For revenues from vehicle sales, the consensus mark stands at $75 million, suggesting a year-over-year increase of 11.9%.

In the fourth quarter of fiscal 2019, Copart’s revenues increased 21% to $543 million from the year-ago quarter’s figure.

Bottom-Line Projections

The Zacks Consensus Estimate for earnings in the to-be-reported quarter is pegged at 58 cents, indicating growth of 23.4% from the year-ago quarter's reported figure. In the fourth quarter of fiscal 2019, adjusted earnings of 60 cents per share increased 42.8% year over year.

What Our Model Says

Our proven Zacks model does not conclusively predict an earnings beat for Copart this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Copart has an Earnings ESP of 0.00% and a Zacks Rank #2.

Stocks to Consider

Here are a few stocks from the broader Zacks Business Services sector that investors may consider as our model shows that these have the right combination of elements to beat on earnings:

Cardtronics CATM has an Earnings ESP of +1.05% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Interpublic Group of Companies IPG has an Earnings ESP of +0.61% and a Zacks Rank #3.

Elastic N.V. ESTC has an Earnings ESP of +2.11% and a Zacks Rank #3.

Free: Zacks’ Single Best Stock Set to Double

Today you are invited to download our just-released Special Report that reveals 5 stocks with the most potential to gain +100% or more in 2020. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.

This pioneering tech ticker had soared to all-time highs and then subsided to a price that is irresistible. Now a pending acquisition could super-charge the company’s drive past competitors in the development of true Artificial Intelligence. The earlier you get in to this stock, the greater your potential gain.

Download Free Report Now >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Cardtronics PLC (CATM) : Free Stock Analysis Report
 
Interpublic Group of Companies, Inc. (The) (IPG) : Free Stock Analysis Report
 
Copart, Inc. (CPRT) : Free Stock Analysis Report
 
Elastic N.V. (ESTC) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.