Copart Inc (CPRT) is fairly valued and Rentokil Initial Plc ADR (RTO) is slightly undervalued.
Against our estimates of intrinsic value, RTO trades at the wider discount: a margin of safety of +19%, against +4% for CPRT.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 10.1% (average of 3 methods) values the shares at $29.89; the price of $28.80 is 4% below that value, and 73% of that value comes from beyond year five.
Leak Score 55/100 on 9 of 12 signals
Discounting its cash flows at 8.3% (average of 3 methods) values the shares at $26.50; the price of $21.37 is 19% below that value, and 79% of that value comes from beyond year five.
Leak Score 35/100 on 3 of 12 signals
| Metric | CPRT | RTO |
|---|---|---|
| Verdict | Fairly valued | Slightly undervalued |
| Price | $28.80 | $21.37 |
| Intrinsic value | $29.89 | $26.50 |
| Margin of safety | +4% | +19% |
| Leak Score | 55/100 (9/12) | 35/100 (3/12) |
| Market cap | $26.7B | $10.7B |
| Revenue growth, 5 years | 11.6% | 14.1% |
| Operating margin | 35.4% | 13.9% |
| Net margin | 31.8% | 6.7% |
| Return on equity | 16.2% | 6.0% |
| Debt to equity | 0.01 | 1.10 |
| P/E | 18.6x | 22.7x |
| Forward P/E | 16.3x | 13.8x |
| P/B | 3.0x | 1.9x |
| Dividend yield | — | 3.0% |