Copart Inc (CPRT)
Financial leverage ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 8,427,760 | 6,737,880 | 5,308,860 | 4,562,140 | 3,455,260 |
| Total stockholders’ equity | US$ in thousands | 7,548,560 | 5,987,440 | 4,625,600 | 3,529,200 | 2,489,520 |
| Financial leverage ratio | 1.12 | 1.13 | 1.15 | 1.29 | 1.39 |
July 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $8,427,760K ÷ $7,548,560K
= 1.12
The financial leverage ratio for Copart Inc has been gradually decreasing over the past five years, indicating a trend towards lower leverage levels. The ratio has declined from 1.39 in July 2020 to 1.12 in July 2024. This suggests that the company has been reducing its reliance on debt to finance its operations and investments. Lower financial leverage ratios generally indicate a lower risk of financial distress, as the company is less reliant on borrowing to support its activities. Overall, the decreasing trend in Copart Inc's financial leverage ratio is a positive sign of improved financial stability and prudent management of its capital structure.
Peer comparison
Jul 31, 2024