Copart showed little relationship between MD&A tone and quarterly net income.
Does not remain notable after adjusting for hundreds of tests. Why?
The analysis measures a same-filing relationship, not a forecast. Limitations
Each dot represents one 10-Q filing. Points farther right have more positive MD&A tone. Points higher on the chart had stronger year-over-year net income growth, after extreme percent changes are capped. Upper-right and lower-left points indicate tone and earnings moving in the same direction. How to read this chart
Tone and earnings moved in the same direction in 11 of 15 comparable quarters.
11 / 15 direction agreement
How is agreement calculated?| Spearman ρ (exact) | 0.093 (p=0.742) |
|---|---|
| Pearson r | 0.011 (p=0.969) |
| 95% CI (Pearson) | [-0.50, 0.52] |
| FDR q | 0.977 |
| Sample size (n) | 15 · More established sample |
| Agreement | 11 / 15 (11 / 15) |
Secondary to net income because revenue concepts are less comparable across some industries.
Annual samples are shorter and are not mixed into the default quarterly board.
Tone shown to three decimals so small nonzero values stay visible.
| Date | Form | Tone | Net income YoY | Revenue YoY |
|---|---|---|---|---|
| May 29, 2026 | 10-Q | +0.194 | -1.0% | +2.1% |
| Mar 3, 2026 | 10-Q | +0.112 | -9.5% | -3.6% |
| Nov 24, 2025 | 10-Q | +0.185 | +11.5% | +0.7% |
| Jun 3, 2025 | 10-Q | +0.199 | +6.4% | +7.5% |
| Feb 26, 2025 | 10-Q | +0.208 | +19.0% | +14.0% |
| Nov 26, 2024 | 10-Q | +0.172 | +8.9% | +12.4% |
| May 23, 2024 | 10-Q | +0.223 | +9.1% | +10.3% |
| Feb 27, 2024 | 10-Q | +0.199 | +10.9% | +6.6% |
| Nov 21, 2023 | 10-Q | +0.201 | +35.3% | +14.2% |
| May 25, 2023 | 10-Q | +0.216 | +25.8% | +8.7% |
| Feb 24, 2023 | 10-Q | +0.238 | +2.2% | +10.3% |
| Nov 18, 2022 | 10-Q | +0.176 | -5.6% | +10.3% |
| May 25, 2022 | 10-Q | +0.200 | -2.9% | +28.1% |
| Mar 3, 2022 | 10-Q | +0.164 | +48.6% | +40.6% |
| Nov 19, 2021 | 10-Q | +0.141 | +30.0% | +36.6% |
| Date | Form | Tone | Net income YoY | Revenue YoY |
|---|---|---|---|---|
| Sep 26, 2025 | 10-K | +0.140 | +13.9% | +9.7% |
| Sep 30, 2024 | 10-K | +0.162 | +10.1% | +9.5% |
| Sep 28, 2023 | 10-K | +0.167 | +13.5% | +10.5% |
| Sep 27, 2022 | 10-K | +0.138 | n/a | +30.0% |
| Sep 27, 2021 | 10-K | +0.075 | n/a | +22.1% |