Here’s Why Qualivian Investment Partners Decided to Sell Copart Inc. (CPRT)

In its third-quarter 2025 capitalist letter, Qualivian Investment Partners highlighted stocks specified arsenic Copart, Inc. (NASDAQ:CPRT). Copart, Inc. (NASDAQ:CPRT) is an online auction and conveyance remarketing services company. The one-month instrumentality of Copart, Inc. (NASDAQ:CPRT) was 0.77%, and its shares mislaid 33.41% of their worth implicit the past 52 weeks. On December 22, 2025, Copart, Inc. (NASDAQ:CPRT) banal closed astatine $39.36 per share, with a marketplace capitalization of $38.1 billion.

Qualivian Investment Partners stated the pursuing regarding Copart, Inc. (NASDAQ:CPRT) successful its 3rd 4th 2025 capitalist letter:

"We sold our presumption successful Copart, Inc. (NASDAQ:CPRT) and initiated a caller presumption successful Brookfield Corp. (BN). Copart Inc. (CPRT) provides online car auctions and conveyance remarketing services. It offers conveyance sellers, mostly comprised of P&C security companies, a afloat scope of services to process and merchantability vehicles (usually autos progressive successful a clang and deemed a “total loss”) chiefly implicit the net done proprietary online auction technology. The online auctions assemblage is simply a duopoly successful which CPRT is the larger and amended managed player. The different main player, IAA, was purchased by RB Global (RBA). Armed with RB Global’s deeper pockets, IAA has been much assertive successful the past twelvemonth with its pricing to summation marketplace stock from CPRT and it succeeded with a nationalist security bearer switching to IAA. Furthermore, the spike successful car security implicit the past 4–5 years has resulted successful an summation successful uninsured and under-insured motorists, which has resulted successful little volumes coming done CPRT’s security vertical (80% of revs), resulting successful CPRT’s gross and net maturation decelerating to conscionable beneath 10% successful the past 12 months. With little rational contention and a weakening cardinal backdrop, we decided to exit CPRT and redeploy proceeds into Brookfield Corp."

Copart, Inc. (NASDAQ:CPRT) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 59 hedge money portfolios held Copart, Inc. (NASDAQ:CPRT) astatine the extremity of the 3rd quarter, compared to 61 successful the erstwhile quarter. While we admit the imaginable of Copart, Inc. (NASDAQ:CPRT) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.