4-Star Stocks Poised to Pop: Copart

Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, vehicle-salvage specialist Copart (Nasdaq: CPRT  ) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Copart's business and see what CAPS investors are saying about the stock right now.

Copart facts

Headquarters (Founded)

Fairfield, Calif. (1982)

Market Cap

$2.73 billion

Industry

Diversified support services

Trailing-12-Month Revenue

$743.1 million

Management

Founder/CEO Willis Johnson

CFO William Franklin

Return on Equity (Average, Past 3 Years)

17%

Cash / Debt

$162.7 million / $0

Competitors

LKQ (Nasdaq: LKQX  )

Genuine Parts Co. (NYSE: GPC  )

CAPS Members Bullish on CPRT Also Bullish on

Apple (Nasdaq: AAPL  )

Johnson & Johnson (NYSE: JNJ  )

CAPS Members Bearish on CPRT Also Bearish on

Goldman Sachs (NYSE: GS  )

Netflix (Nasdaq: NFLX  )

Citigroup

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 97% of the 1,496 members who have rated Copart believe the stock will outperform the S&P 500 going forward. These bulls include tomk104 and my fellow Fool Matt Koppenheffer (TMFKopp), who is ranked in the top 4% of our community.

Earlier this week, tomk104 tapped Copart as a particularly timely opportunity: "New car sales are almost certain to slow after Cash for Clunkers compressed a year's worth of sales into a few months. This and what promises to be a sluggish economic recovery can only be good for car salvage operations."

In an earlier pitch, Matt also helped steer Fools toward the stock:

If a relatively obscure business model is what you're looking for, Copart might be right up your alley. The company is a vehicle remarketer, meaning that it helps auto insurance companies -- among other sellers -- find buyers for totaled cars. The company has used a combined approach of developing new locations and acquiring existing facilities to fuel its growth. And grow it has -- earnings per share more than doubled between fiscal 2004 and 2008.

What do you think about Copart, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Copart, Apple, and Netflix are Motley Fool Stock Advisor picks. Copart is also a recommendation of Rule Breakers. Genuine Parts and Johnson & Johnson are choices of Income Investor. The Fool's disclosure policy always gets a perfect score.


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