Copart Inc. (CPRT): Today's Featured Specialty Retail Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Copart ( CPRT) pushed the Specialty Retail industry higher today making it today's featured specialty retail winner. The industry as a whole closed the day up 0.6%. By the end of trading, Copart rose $1.68 (5.2%) to $33.89 on heavy volume. Throughout the day, 2.4 million shares of Copart exchanged hands as compared to its average daily volume of 960,600 shares. The stock ranged in a price between $32.20-$33.89 after having opened the day at $32.26 as compared to the previous trading day's close of $32.21. Other companies within the Specialty Retail industry that increased today were: Bluefly ( BFLY), up 6.3%, Netflix ( NFLX), up 5.6%, Francescas Holdings ( FRAN), up 4.8%, and Staples ( SPLS), up 4.3%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Copart, Inc. provides online auctions and vehicle remarketing services in the United States, Canada, and the United Kingdom. The company offers various services to process and sell vehicles over the Internet through its Virtual Bidding Second Generation Internet auction-style sales technology. Copart has a market cap of $4.04 billion and is part of the services sector. The company has a P/E ratio of 22.6, above the S&P 500 P/E ratio of 17.7. Shares are up 9.6% year to date as of the close of trading on Tuesday. Currently there is one analyst that rates Copart a buy, one analyst rates it a sell, and five rate it a hold.

TheStreet Ratings rates Copart as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the specialty retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the specialty retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.
null

If you liked this article you might like

Copart (CPRT) Hits New Lifetime High Today

New Lifetime High For Copart (CPRT)

Here's Why Shares of Automobile Auctions Company Copart Are a Buy

Copart (CPRT) Hits New Lifetime High Today

Copart (CPRT) Stock Price Target Upped at Jefferies