On September 11, Copart rose 7.02% in pre-market trading, trading at $33.09 per share, with turnover of $12,300. The stock surged following the simultaneous release of fiscal Q4 earnings and a major acquisition announcement.

Copart announced it will acquire ACV Auctions for $10.50 per share in an all-cash transaction valued at approximately $1.9 billion, funded entirely with cash on hand with no financing condition. The boards of both companies unanimously approved the deal, which is expected to close by year-end, with ACV continuing to operate as an independent Copart subsidiary under its existing leadership team. Regulatory filings also revealed a $57.7 million termination fee payable by ACV under certain conditions.

On the earnings front, Copart posted Q4 revenue of $1.152 billion, up 2.4% year-over-year and slightly above the consensus estimate of $1.144 billion. However, EPS of $0.35 missed the analyst estimate of $0.38 and fell from $0.41 a year earlier, with net income declining 17.4% to $327.4 million. Operating expenses rose 10.0%, with facility operating costs climbing 7.7% to $450.7 million.

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