10:55 AM EDT, 09/05/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month target by $5 to $65, based on a FY 27 P/E of 32.5x, a slight discount to CPRT's five-year average forward P/E of 33.6x. We maintain our FY 26 adjusted EPS estimate of $1.80 and introduce FY 27 at $2.00. After a much better-than-expected quarter led by stronger gross margins, we are reiterating our Strong Buy on CPRT shares. We see 30% upside over the next 12 months for shares of the high-quality auto auction company, with EPS growth driven by the Service segment (85% of total revenue). We were particularly encouraged by CPRT's margin improvement (gross margin +290 bps Y/Y and 60 bps ahead of consensus), an area where the company has disappointed in recent quarters, as margins had come in below expectations in four of the past five quarters, suggesting more effective cost management. We see a compelling mean reversion opportunity in a high-quality name which has underperformed (-13% YTD) and would like to see the company announce a buyback with its significant net cash balance of $4.7B.