Genuine Parts (NYSE:GPC) Releases FY 2025 Earnings Guidance

Key Points

• Genuine Parts has provided FY 2025 earnings guidance with EPS expected to be between 7.500 and 7.750, slightly below the consensus estimate of 7.660.
• The company announced a quarterly dividend of $1.03, resulting in an annualized dividend of $4.12 and a yield of 3.1%.
• Analysts are optimistic about Genuine Parts, with several increasing their price targets and ratings for the stock, reflecting confidence in its growth potential.

Genuine Parts (NYSE:GPC - Get Free Report) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 7.500-7.750 for the period, compared to the consensus estimate of 7.660. The company issued revenue guidance of $24.2 billion-$24.4 billion, compared to the consensus revenue estimate of $24.1 billion.

Genuine Parts Stock Down 1.0%

GPC stock opened at $131.71 on Tuesday. The stock's 50 day simple moving average is $137.50 and its 200 day simple moving average is $128.00. Genuine Parts has a fifty-two week low of $104.01 and a fifty-two week high of $144.21. The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.51 and a current ratio of 1.14. The company has a market cap of $18.32 billion, a P/E ratio of 22.67 and a beta of 0.77.

Genuine Parts (NYSE:GPC - Get Free Report) last posted its quarterly earnings results on Tuesday, October 21st. The specialty retailer reported $1.98 earnings per share for the quarter, missing analysts' consensus estimates of $2.02 by ($0.04). Genuine Parts had a return on equity of 22.41% and a net margin of 3.40%. Genuine Parts has set its FY 2025 guidance at 7.500-7.750 EPS. On average, research analysts expect that Genuine Parts will post 7.9 earnings per share for the current fiscal year.

Genuine Parts Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 2nd. Stockholders of record on Friday, September 5th were paid a $1.03 dividend. The ex-dividend date of this dividend was Friday, September 5th. This represents a $4.12 annualized dividend and a dividend yield of 3.1%. Genuine Parts's dividend payout ratio is 70.91%.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the company. JPMorgan Chase & Co. increased their price objective on Genuine Parts from $134.00 to $145.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 23rd. Evercore ISI increased their price objective on Genuine Parts from $148.00 to $150.00 and gave the stock an "outperform" rating in a research note on Wednesday, October 1st. Loop Capital increased their price objective on Genuine Parts from $155.00 to $160.00 and gave the stock a "buy" rating in a research note on Thursday, July 24th. UBS Group increased their price objective on Genuine Parts from $135.00 to $140.00 and gave the stock a "neutral" rating in a research note on Friday, October 10th. Finally, Truist Financial increased their price objective on Genuine Parts from $137.00 to $143.00 and gave the stock a "buy" rating in a research note on Wednesday, July 23rd. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $138.86.

Insider Activity at Genuine Parts

In related news, EVP Naveen Krishna sold 5,303 shares of the stock in a transaction that occurred on Friday, September 26th. The stock was sold at an average price of $138.12, for a total transaction of $732,450.36. Following the completion of the sale, the executive vice president directly owned 26,112 shares of the company's stock, valued at approximately $3,606,589.44. This trade represents a 16.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 0.42% of the company's stock.

Institutional Trading of Genuine Parts

Institutional investors and hedge funds have recently modified their holdings of the business. AQR Capital Management LLC grew its holdings in Genuine Parts by 252.7% during the second quarter. AQR Capital Management LLC now owns 292,880 shares of the specialty retailer's stock valued at $35,304,000 after purchasing an additional 209,833 shares during the period. Adage Capital Partners GP L.L.C. grew its holdings in Genuine Parts by 372.5% during the second quarter. Adage Capital Partners GP L.L.C. now owns 127,100 shares of the specialty retailer's stock valued at $15,419,000 after purchasing an additional 100,200 shares during the period. Engineers Gate Manager LP grew its holdings in Genuine Parts by 2,899.9% during the second quarter. Engineers Gate Manager LP now owns 55,408 shares of the specialty retailer's stock valued at $6,722,000 after purchasing an additional 53,561 shares during the period. Lighthouse Investment Partners LLC bought a new position in Genuine Parts during the second quarter valued at $5,446,000. Finally, Royal London Asset Management Ltd. grew its holdings in Genuine Parts by 59.0% during the second quarter. Royal London Asset Management Ltd. now owns 105,226 shares of the specialty retailer's stock valued at $12,765,000 after purchasing an additional 39,045 shares during the period. 78.83% of the stock is owned by hedge funds and other institutional investors.

Genuine Parts Company Profile

Genuine Parts Company distributes automotive replacement parts, and industrial parts and materials. It operates in two segments: Automotive Parts Group and Industrial Parts Group segments. The company distributes automotive replacement parts for hybrid and electric vehicles, trucks, SUVs, buses, motorcycles, recreational vehicles, farm vehicles, small engines, farm equipment, marine equipment, and heavy duty equipment; and equipment and parts used by repair shops, service stations, fleet operators, automobile and truck dealers, leasing companies, bus and truck lines, mass merchandisers, farms, and individuals.

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