EdgePoint Investment Group Inc. Purchases 528,350 Shares of LKQ Corporation $LKQ

Key Points

• EdgePoint Investment Group Inc. increased its stake in LKQ Corporation by 12.1%, owning approximately 4.89 million shares valued at $208 million, making it the firm's 21st largest investment.
• Several hedge funds significantly boosted their positions in LKQ, with Boston Partners increasing its stake by 258% and Ancora Advisors by 95.7% in the first quarter of 2023.
• LKQ announced a quarterly dividend of $0.30, yielding 3.8%, and reported earnings per share of $0.87 for the last quarter, missing analysts' estimates.

EdgePoint Investment Group Inc. grew its stake in shares of LKQ Corporation (NASDAQ:LKQ - Free Report) by 12.1% in the first quarter, according to its most recent filing with the SEC. The fund owned 4,891,329 shares of the auto parts company's stock after acquiring an additional 528,350 shares during the period. LKQ comprises about 1.7% of EdgePoint Investment Group Inc.'s portfolio, making the stock its 21st largest holding. EdgePoint Investment Group Inc. owned 1.89% of LKQ worth $208,077,000 as of its most recent filing with the SEC.

A number of other institutional investors and hedge funds also recently modified their holdings of the stock. Caitong International Asset Management Co. Ltd purchased a new stake in shares of LKQ in the first quarter valued at $30,000. Banque Cantonale Vaudoise purchased a new position in shares of LKQ during the first quarter valued at $40,000. UMB Bank n.a. grew its holdings in shares of LKQ by 104.8% during the first quarter. UMB Bank n.a. now owns 977 shares of the auto parts company's stock valued at $42,000 after buying an additional 500 shares in the last quarter. Horizon Financial Services LLC purchased a new position in shares of LKQ during the first quarter valued at $42,000. Finally, Bruce G. Allen Investments LLC grew its holdings in shares of LKQ by 299.6% during the first quarter. Bruce G. Allen Investments LLC now owns 1,135 shares of the auto parts company's stock valued at $48,000 after buying an additional 851 shares in the last quarter. Institutional investors and hedge funds own 95.63% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on LKQ. Robert W. Baird dropped their price target on shares of LKQ from $48.00 to $42.00 and set an "outperform" rating on the stock in a research note on Friday, July 25th. Wall Street Zen downgraded LKQ from a "buy" rating to a "hold" rating in a report on Wednesday, May 21st. Finally, Barrington Research reiterated an "outperform" rating and set a $60.00 target price on shares of LKQ in a research report on Tuesday, July 22nd. Five investment analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has a consensus rating of "Buy" and an average price target of $51.40.

LKQ Stock Performance

Shares of LKQ stock traded down $0.25 on Tuesday, reaching $32.36. The stock had a trading volume of 3,306,726 shares, compared to its average volume of 2,777,658. The company has a quick ratio of 0.69, a current ratio of 1.81 and a debt-to-equity ratio of 0.19. The firm's 50-day moving average is $33.51 and its two-hundred day moving average is $38.02. The firm has a market capitalization of $8.33 billion, a price-to-earnings ratio of 11.85 and a beta of 0.90. LKQ Corporation has a 12 month low of $28.92 and a 12 month high of $44.82.

LKQ (NASDAQ:LKQ - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The auto parts company reported $0.87 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.93 by ($0.06). LKQ had a return on equity of 13.85% and a net margin of 5.04%.The company had revenue of $3.64 billion for the quarter, compared to analyst estimates of $3.62 billion. During the same quarter last year, the business earned $0.98 earnings per share. The company's revenue was down 1.6% on a year-over-year basis. LKQ has set its FY 2025 guidance at 3.000-3.30 EPS. On average, research analysts expect that LKQ Corporation will post 3.57 EPS for the current fiscal year.

LKQ Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 28th. Investors of record on Thursday, August 14th were given a dividend of $0.30 per share. The ex-dividend date was Thursday, August 14th. This represents a $1.20 annualized dividend and a dividend yield of 3.7%. LKQ's dividend payout ratio (DPR) is currently 43.96%.

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.