August 10, 2009
Company Description: Copart, Inc. (CPRT) provides vehicle suppliers, primarily insurance companies, with a variety of services to process and sell salvage vehicles through auctions. Salvaged vehicles are primarily sold to licensed dismantlers, rebuilders, and used vehicle dealers.
We perceive Copart to be second in line to benefit from the “Cash for Clunkers” bill as we see auto dealerships as the initial beneficiary. One of the underlying purposes of this bill is to increase fuel consumption and as the “clunkers” are literally pushed into dealerships to be exchanged for more fuel efficient vehicles, the old vehicle Read more
August 3, 2009
Company Description: AutoNation Inc. (AN) retails, finances, and services new and used vehicles. The company also provides other related services and products, such as the sale of parts and accessories, extended service contracts, aftermarket automotive products, and collision repar services. AutoNation operates throughout the United States.
AutoNation and other new car dealerships such as Group 1 Automotive (GPI), Sonic Automotive (SAH), and Penske Automotive Group (PAG) will be the initial benefactor of the “Cash for Clunkers” bill. The governments plan to increase fuel Read more