Genuine Parts Company (NYSE:GPC) Given Consensus Recommendation of "Hold" by Brokerages

Key Points

• Wall Street is cautious on Genuine Parts. The stock has a consensus rating of "Hold" from nine analysts, with an average 1-year price target of about $143.71.
• Recent earnings beat expectations. Genuine Parts reported $1.77 EPS on revenue of $6.26 billion, topping analyst estimates, while revenue rose 6.8% year over year.
• The company continues to return cash to shareholders. Genuine Parts объявed a quarterly dividend of $1.0625 per share, payable July 2, implying an annualized yield of about 4.5%.

Genuine Parts Company (NYSE:GPC - Get Free Report) has received an average recommendation of "Hold" from the nine ratings firms that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, four have given a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $143.7143.

A number of research firms have commented on GPC. UBS Group cut their target price on shares of Genuine Parts from $135.00 to $125.00 and set a "neutral" rating on the stock in a research report on Wednesday, April 22nd. Weiss Ratings reissued a "hold (c-)" rating on shares of Genuine Parts in a research report on Friday, March 27th. Zacks Research downgraded shares of Genuine Parts from a "hold" rating to a "strong sell" rating in a research report on Wednesday, March 25th. Raymond James Financial raised shares of Genuine Parts from a "market perform" rating to a "strong-buy" rating and set a $145.00 target price on the stock in a research report on Tuesday, February 24th. Finally, Evercore set a $160.00 target price on shares of Genuine Parts in a research report on Friday, February 20th.

Insider Activity

In other news, insider James F. Howe sold 415 shares of Genuine Parts stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $104.33, for a total value of $43,296.95. Following the transaction, the insider owned 25,589 shares of the company's stock, valued at $2,669,700.37. The trade was a 1.60% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.13% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of GPC. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Genuine Parts by 3.9% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 17,717 shares of the specialty retailer's stock worth $2,111,000 after buying an additional 671 shares during the last quarter. Woodline Partners LP grew its position in shares of Genuine Parts by 40.7% in the 1st quarter. Woodline Partners LP now owns 11,746 shares of the specialty retailer's stock worth $1,399,000 after buying an additional 3,396 shares during the last quarter. EverSource Wealth Advisors LLC grew its position in shares of Genuine Parts by 15.8% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,005 shares of the specialty retailer's stock worth $122,000 after buying an additional 137 shares during the last quarter. Daiwa Securities Group Inc. grew its position in shares of Genuine Parts by 5.6% in the 2nd quarter. Daiwa Securities Group Inc. now owns 24,954 shares of the specialty retailer's stock worth $3,027,000 after buying an additional 1,323 shares during the last quarter. Finally, AXA S.A. grew its position in shares of Genuine Parts by 37.2% in the 2nd quarter. AXA S.A. now owns 51,292 shares of the specialty retailer's stock worth $6,222,000 after buying an additional 13,898 shares during the last quarter. Hedge funds and other institutional investors own 78.83% of the company's stock.

Genuine Parts Trading Up 2.7%

Shares of GPC opened at $94.97 on Thursday. Genuine Parts has a 1-year low of $90.78 and a 1-year high of $151.57. The company has a 50-day moving average of $104.67 and a 200 day moving average of $120.61. The firm has a market capitalization of $13.07 billion, a price-to-earnings ratio of 220.87 and a beta of 0.70. The company has a debt-to-equity ratio of 0.77, a current ratio of 1.09 and a quick ratio of 0.48.

Genuine Parts (NYSE:GPC - Get Free Report) last announced its quarterly earnings data on Tuesday, April 21st. The specialty retailer reported $1.77 earnings per share for the quarter, beating analysts' consensus estimates of $1.75 by $0.02. Genuine Parts had a net margin of 0.24% and a return on equity of 22.28%. The company had revenue of $6.26 billion during the quarter, compared to analyst estimates of $6.17 billion. During the same quarter last year, the business posted $1.75 EPS. The firm's revenue for the quarter was up 6.8% on a year-over-year basis. Genuine Parts has set its FY 2026 guidance at 7.500-8.000 EPS. On average, research analysts expect that Genuine Parts will post 7.65 EPS for the current year.

Genuine Parts Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 2nd. Shareholders of record on Friday, June 5th will be given a dividend of $1.0625 per share. The ex-dividend date of this dividend is Friday, June 5th. This represents a $4.25 dividend on an annualized basis and a yield of 4.5%. Genuine Parts's dividend payout ratio (DPR) is 988.37%.

Genuine Parts Company Profile

Genuine Parts Company NYSE: GPC is a global distributor of automotive replacement parts, industrial parts and business products with a history dating back to 1928. Headquartered in Atlanta, Georgia, the company operates a broad distribution network and retail presence serving repair shops, independent retailers, industrial customers and commercial accounts. Its business model centers on stocking and delivering a wide range of parts and supplies to support aftermarket and maintenance needs across multiple end markets.

Genuine Parts conducts its operations through several well-known operating groups and subsidiaries.

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