BlackRock Inc. Makes New $1.02 Billion Investment in LKQ Corporation $LKQ

Key Points

• BlackRock acquired 38.55 million LKQ shares worth approximately $1.02 billion in the second quarter, giving it a 15.24% stake. Institutional investors collectively own 95.63% of LKQ’s outstanding stock.
• LKQ reported weaker-than-expected quarterly results, with EPS of $0.67 versus the $0.71 consensus estimate and revenue of $3.41 billion versus $3.48 billion expected. Revenue declined 3% year over year, while the stock opened at $25.77, near the lower end of its 52-week range.
• Analyst sentiment is mixed, with a consensus rating of “Hold” and an average price target of $31.08. LKQ also declared a quarterly dividend of $0.30 per share, representing a 4.7% annualized yield.

BlackRock Inc. bought a new stake in shares of LKQ Corporation (NASDAQ:LKQ - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 38,552,815 shares of the auto parts company's stock, valued at approximately $1,015,096,000. BlackRock Inc. owned about 15.24% of LKQ as of its most recent SEC filing.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Global Retirement Partners LLC purchased a new position in LKQ in the second quarter valued at $25,000. Harbor Investment Advisory LLC grew its holdings in LKQ by 260.0% in the 1st quarter. Harbor Investment Advisory LLC now owns 900 shares of the auto parts company's stock valued at $26,000 after buying an additional 650 shares in the last quarter. Cedar Mountain Advisors LLC purchased a new position in shares of LKQ during the 1st quarter worth $28,000. Essential Partners LLC acquired a new position in shares of LKQ during the 1st quarter valued at about $30,000. Finally, Torren Management LLC acquired a new position in shares of LKQ during the 4th quarter valued at about $32,000. Institutional investors and hedge funds own 95.63% of the company's stock.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on LKQ. Weiss Ratings cut LKQ from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Thursday, August 13th. Roth Capital set a $35.00 price objective on shares of LKQ in a research report on Monday, August 3rd. JPMorgan Chase & Co. reduced their target price on shares of LKQ from $37.00 to $30.00 and set an "overweight" rating for the company in a research note on Friday, July 31st. Zacks Research lowered shares of LKQ from a "hold" rating to a "strong sell" rating in a research note on Monday, August 3rd. Finally, Raymond James Financial set a $30.00 target price on LKQ in a research report on Friday, July 31st. Three equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $31.08.

LKQ Stock Down 0.8%

NASDAQ:LKQ opened at $25.77 on Friday. The company has a current ratio of 1.58, a quick ratio of 0.61 and a debt-to-equity ratio of 0.52. LKQ Corporation has a 1-year low of $21.17 and a 1-year high of $37.13. The business's fifty day moving average price is $25.41 and its 200 day moving average price is $28.24. The firm has a market capitalization of $6.52 billion, a price-to-earnings ratio of 14.32 and a beta of 0.84.

LKQ (NASDAQ:LKQ - Get Free Report) last posted its quarterly earnings data on Thursday, July 30th. The auto parts company reported $0.67 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.71 by ($0.04). LKQ had a return on equity of 10.84% and a net margin of 3.37%.The firm had revenue of $3.41 billion for the quarter, compared to the consensus estimate of $3.48 billion. During the same period in the prior year, the company posted $0.87 earnings per share. LKQ's quarterly revenue was down 3.0% on a year-over-year basis. LKQ has set its FY 2026 guidance at 2.600-2.900 EPS. On average, sell-side analysts forecast that LKQ Corporation will post 2.67 earnings per share for the current fiscal year.

LKQ Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Thursday, August 20th will be given a dividend of $0.30 per share. The ex-dividend date is Thursday, August 20th. This represents a $1.20 dividend on an annualized basis and a yield of 4.7%. LKQ's dividend payout ratio is 66.67%.

LKQ Company Profile

LKQ Corporation is a leading provider of alternative and specialty parts to repair and accessorize automobiles and other vehicles. The company supplies a broad range of replacement components, including recycled original equipment manufacturer (OEM) parts, aftermarket parts, refurbished and remanufactured items. Its products support collision repair, mechanical repair and performance enhancement needs across passenger cars, heavy trucks and recreational vehicles.

Through a combination of in-house operations and strategic acquisitions, LKQ has developed a comprehensive product portfolio that extends beyond core replacement parts.

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