Copart: Why The Salvage King Still Reigns

Core Insights - The analysis emphasizes Copart, Inc. (CPRT) as a high moat business with strong cash-generating capabilities and competitive advantages, suggesting it will remain viable for the next decade [1] - The investment strategy focuses on achieving at least 15 percent annualized returns, targeting companies with deeply discounted prices relative to their asset base, while also considering takeover targets that maintain strong business fundamentals [1] - The author has achieved an annualized time-weighted return of approximately 16 percent over three years, indicating a successful investment track record [1] Company Analysis - Copart, Inc. is highlighted as a business with a significant competitive edge, making it a strong candidate for long-term investment [1] - The focus on cash generation and marketability of assets is crucial for identifying potential investment opportunities [1] Investment Strategy - The investment approach prioritizes companies with strong fundamentals and a clear path to achieving substantial returns, while also being open to the possibility of acquisitions [1] - The strategy is designed to ensure that investments are sound even if takeover scenarios do not materialize [1]