LQDT vs CPRT

For growth investors, Liquidity Services, Inc.

(LQDT) is the stronger pick with 31. 2% revenue growth year-over-year, versus 9. 7% for Copart, Inc. (CPRT). Copart, Inc. (CPRT) offers the better valuation at 21. 3x trailing P/E (21. 5x forward), making it the more compelling value choice. Analysts rate Liquidity Services, Inc. (LQDT) a "Buy" — based on 14 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Copart, Inc.

(CPRT) is the cheapest at 21. 3x versus Liquidity Services, Inc. at 41. 7x. On forward P/E, Copart, Inc. is actually cheaper at 21. 5x.

Over the past 5 years, Liquidity Services, Inc.

(LQDT) delivered a total return of +47. 8%, compared to +8. 8% for Copart, Inc. (CPRT). Over 10 years, the gap is even starker: CPRT returned +527. 2% versus LQDT's +508. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Copart, Inc.

(CPRT) is the lower-risk stock at 0. 52β versus Liquidity Services, Inc. 's 0. 76β — meaning LQDT is approximately 46% more volatile than CPRT relative to the S&P 500. On balance sheet safety, Copart, Inc. (CPRT) carries a lower debt/equity ratio of 1% versus 7% for Liquidity Services, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Liquidity Services, Inc.

(LQDT) is pulling ahead at 31. 2% versus 9. 7% for Copart, Inc. (CPRT). On earnings-per-share growth, the picture is similar: Liquidity Services, Inc. grew EPS 38. 1% year-over-year, compared to 13. 6% for Copart, Inc.. Over a 3-year CAGR, LQDT leads at 19. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Copart, Inc.

(CPRT) is the more profitable company, earning 33. 4% net margin versus 5. 9% for Liquidity Services, Inc. — meaning it keeps 33. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CPRT leads at 36. 5% versus 7. 4% for LQDT. At the gross margin level — before operating expenses — CPRT leads at 45. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Copart, Inc.

(CPRT) trades at 21. 5x forward P/E versus 24. 3x for Liquidity Services, Inc. — 2. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for LQDT: 21. 4% to $44. 00.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Copart, Inc.

(CPRT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 52), +527. 2% 10Y return). Both have compounded well over 10 years (CPRT: +527. 2%, LQDT: +508. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (LQDT (Consumer Cyclical) and CPRT (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: LQDT is a small-cap high-growth stock; CPRT is a mid-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.