Howard Capital Management Inc. Acquires New Position in LKQ Corporation (NASDAQ:LKQ)

Key Points

• Howard Capital Management Inc. invested $375,000 in LKQ Corporation by purchasing 8,813 shares in the first quarter, indicating growing institutional interest in the auto parts company.
• In recent quarterly earnings, LKQ reported earnings per share of $0.87, missing estimates of $0.93, while achieving revenue of $3.64 billion.
• The company declared a quarterly dividend of $0.30, with a current dividend yield of 4.1% and a payout ratio of 43.96%.

Howard Capital Management Inc. purchased a new position in LKQ Corporation (NASDAQ:LKQ - Free Report) during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 8,813 shares of the auto parts company's stock, valued at approximately $375,000.

A number of other hedge funds have also recently made changes to their positions in LKQ. Cambridge Investment Research Advisors Inc. lifted its holdings in shares of LKQ by 1.5% during the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 18,774 shares of the auto parts company's stock valued at $799,000 after purchasing an additional 286 shares during the last quarter. Bank of Nova Scotia increased its position in shares of LKQ by 1.0% in the fourth quarter. Bank of Nova Scotia now owns 34,192 shares of the auto parts company's stock valued at $1,257,000 after buying an additional 331 shares in the last quarter. MetLife Investment Management LLC raised its holdings in shares of LKQ by 0.5% during the fourth quarter. MetLife Investment Management LLC now owns 68,790 shares of the auto parts company's stock valued at $2,528,000 after acquiring an additional 352 shares during the last quarter. United Capital Financial Advisors LLC increased its position in shares of LKQ by 6.3% during the fourth quarter. United Capital Financial Advisors LLC now owns 6,436 shares of the auto parts company's stock worth $237,000 after purchasing an additional 382 shares in the last quarter. Finally, Wahed Invest LLC increased its position in shares of LKQ by 6.4% during the fourth quarter. Wahed Invest LLC now owns 6,779 shares of the auto parts company's stock worth $249,000 after purchasing an additional 405 shares in the last quarter. 95.63% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

LKQ has been the topic of a number of analyst reports. Robert W. Baird reduced their price objective on LKQ from $48.00 to $42.00 and set an "outperform" rating on the stock in a research report on Friday, July 25th. Wall Street Zen downgraded LKQ from a "buy" rating to a "hold" rating in a research report on Wednesday, May 21st. Finally, Barrington Research reiterated an "outperform" rating and issued a $60.00 price objective on shares of LKQ in a report on Tuesday, July 22nd. One research analyst has rated the stock with a hold rating and five have issued a buy rating to the company. Based on data from MarketBeat, LKQ presently has an average rating of "Moderate Buy" and an average target price of $51.40.

LKQ Trading Up 0.6%

LKQ traded up $0.17 during trading hours on Friday, reaching $29.64. The company's stock had a trading volume of 3,601,368 shares, compared to its average volume of 3,197,018. LKQ Corporation has a fifty-two week low of $29.02 and a fifty-two week high of $44.82. The stock has a market cap of $7.63 billion, a PE ratio of 10.86 and a beta of 0.92. The business's 50-day moving average is $37.39 and its 200-day moving average is $39.33. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.81 and a quick ratio of 0.69.

LKQ (NASDAQ:LKQ - Get Free Report) last announced its earnings results on Thursday, July 24th. The auto parts company reported $0.87 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.93 by ($0.06). LKQ had a net margin of 5.04% and a return on equity of 13.85%. The firm had revenue of $3.64 billion during the quarter, compared to analysts' expectations of $3.62 billion. During the same period in the previous year, the firm earned $0.98 EPS. The firm's revenue for the quarter was down 1.6% compared to the same quarter last year. As a group, equities research analysts predict that LKQ Corporation will post 3.57 earnings per share for the current fiscal year.

LKQ Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, August 28th. Stockholders of record on Thursday, August 14th will be given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 4.0%. The ex-dividend date is Thursday, August 14th. 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.