LKQ (NASDAQ:LKQ) Hits New 1-Year Low – What’s Next?

LKQ Corporation (NASDAQ:LKQ)’s stock price hit a new 52-week low during trading on Tuesday . The stock traded as low as $28.42 and last traded at $28.3020, with a volume of 2438095 shares changing hands. The stock had previously closed at $28.87.

Wall Street Analyst Weigh In

Several brokerages have issued reports on LKQ. Weiss Ratings reissued a “sell (d+)” rating on shares of LKQ in a research note on Monday. Barclays began coverage on LKQ in a report on Tuesday, November 11th. They set an “equal weight” rating and a $33.00 price objective for the company. Stephens assumed coverage on LKQ in a research note on Tuesday. They issued an “overweight” rating and a $39.00 target price on the stock. Roth Capital reiterated a “buy” rating and set a $43.00 target price (down from $46.00) on shares of LKQ in a research report on Monday, November 3rd. Finally, Zacks Research upgraded shares of LKQ from a “strong sell” rating to a “hold” rating in a report on Monday, October 13th. Five analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $44.33.

LKQ Price Performance

The company has a market cap of $7.95 billion, a PE ratio of 11.50 and a beta of 0.90. The company has a quick ratio of 0.67, a current ratio of 1.60 and a debt-to-equity ratio of 0.55. The firm has a 50 day simple moving average of $30.07 and a 200-day simple moving average of $32.95.

LKQ (NASDAQ:LKQ) last released its quarterly earnings results on Thursday, October 30th. The auto parts company reported $0.84 earnings per share for the quarter, beating analysts’ consensus estimates of $0.74 by $0.10. The business had revenue of $3.50 billion for the quarter, compared to analysts’ expectations of $3.54 billion. LKQ had a net margin of 4.99% and a return on equity of 13.45%. The company’s revenue was up 1.3% compared to the same quarter last year. During the same period last year, the business earned $0.88 EPS. LKQ has set its FY 2025 guidance at 3.000-3.150 EPS. As a group, research analysts predict that LKQ Corporation will post 3.57 earnings per share for the current fiscal year.

LKQ Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, December 4th. Stockholders of record on Thursday, November 20th were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 3.9%. The ex-dividend date was Thursday, November 20th. LKQ’s dividend payout ratio is currently 44.44%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Dynamic Technology Lab Private Ltd acquired a new stake in shares of LKQ during the 1st quarter worth approximately $418,000. Redwood Investment Management LLC purchased a new stake in LKQ during the first quarter worth $1,670,000. Focus Partners Wealth grew its position in LKQ by 32.3% during the first quarter. Focus Partners Wealth now owns 198,250 shares of the auto parts company’s stock valued at $8,434,000 after buying an additional 48,450 shares during the period. Kayne Anderson Rudnick Investment Management LLC grew its position in LKQ by 72.9% during the first quarter. Kayne Anderson Rudnick Investment Management LLC now owns 113,585 shares of the auto parts company’s stock valued at $4,832,000 after buying an additional 47,905 shares during the period. Finally, Raymond James Financial Inc. increased its holdings in LKQ by 42.6% in the first quarter. Raymond James Financial Inc. now owns 1,566,454 shares of the auto parts company’s stock valued at $66,637,000 after buying an additional 468,132 shares in the last quarter. 95.63% of the stock is owned by institutional investors and hedge funds.

LKQ Company Profile

LKQ Corporation engages in the distribution of replacement parts, components, and systems used in the repair and maintenance of vehicles and specialty vehicle aftermarket products and accessories. It operates through four segments: Wholesale-North America, Europe, Specialty, and Self Service. The company distributes bumper covers, automotive body panels, and lights, as well as mechanical automotive parts and accessories; salvage products, including mechanical and collision parts comprising engines; transmissions; door assemblies; sheet metal products, such as trunk lids, fenders, and hoods; lights and bumper assemblies; scrap metal and other materials to metals recyclers; and brake pads, discs and sensors, clutches, steering and suspension products, filters, and oil and automotive fluids, as well as electrical products, including spark plugs and batteries.