Fund Managers Believe Stock That Is Up 88% Isn't Done Yet
Copart stock is up 88 percent this year and two Wall Street fund managers believe that the stock still has more gains to come, according to Business Insider.
Copart is an online car auctioning platform that has had outstanding performance over the past 5 years. The company is up 389 percent over the past 5 years and 88 percent this year. The company now has a market cap of $21 billion and trades at 31 times its expected earnings.
Furthermore, Copart CEO Jayson Adair sold $63.5 million worth of shares in November, not exactly a good sign for expected growth. However, two fund managers on wall street who invested earlier this year stated that they are not selling the stock yet.
Brian Yactkman, portfolio manager of the YCG Enhance Fund, stated that Copart's relationship with insurers that send the auction company salvaged vehicles is one of the key drivers for its success. Rich Eisinger, the head of equities and a portfolio manager for the Madison Investors Fund, stated that the company's global customer base is also a key indicator for its success.
Copart, an online car auction company, is up 88 percent on the year and Wall Street fund managers believe it can go up more.