Copart: My Highest Conviction Position Trading At A Discount
Copart (CPRT) is rated Strong Buy as short-term headwinds offer an attractive entry into a high-quality compounder trading below fair value. CPRT's extensive real estate network and international buyer base create a durable moat, supporting long-term free cash flow growth despite recent U.S. volume weakness. Recent results showed flat revenue and declining margins, but international growth and the $1.9B ACV Auctions acquisition provide new growth avenues.