Zacks Investment Research downgraded shares of LKQ (NASDAQ:LKQ) from a buy rating to a hold rating in a report issued on Wednesday, August 1st.
According to Zacks, “In second-quarter 2018, LKQ Corp’s earnings per share and revenues surpassed the Zacks Consensus Estimate. Also, both improved year over year. In the first-half 2018, the Parts and services segment of the company performed strongly. The company has been growing its footprint through organic expansion and acquisitions. In May 2017, the company completed the acquisition of German-based Stahlgruber, thus, strengthening its position in Europe. Also, its focus on the aftermarket defends the company from cyclical nature of the automotive industry. However, continuous rise in Selling, General and Administrative expenses (SG&A) is a serious concern before the company. Over the past year, LKQ Corp. has underperformed the industry it belongs to.”
Several other equities analysts also recently commented on the company. BidaskClub downgraded LKQ from a buy rating to a hold rating in a research report on Wednesday, August 1st. Barrington Research reaffirmed a buy rating and issued a $45.00 price objective on shares of LKQ in a research report on Thursday, July 26th. ValuEngine raised LKQ from a sell rating to a hold rating in a research report on Sunday, July 8th. Wellington Shields raised LKQ from an accumulate rating to a buy rating in a research report on Thursday, May 31st. Finally, SunTrust Banks initiated coverage on LKQ in a report on Tuesday, May 29th. They issued a buy rating and a $40.00 target price for the company. One analyst has rated the stock with a sell rating, three have issued a hold rating and eleven have issued a buy rating to the stock. LKQ presently has a consensus rating of Buy and an average target price of $43.89.
NASDAQ:LKQ traded down $0.22 during trading hours on Wednesday, reaching $33.75. The stock had a trading volume of 1,482,191 shares, compared to its average volume of 2,437,598. The company has a market cap of $10.81 billion, a price-to-earnings ratio of 16.82, a PEG ratio of 0.99 and a beta of 1.07. The company has a debt-to-equity ratio of 0.89, a current ratio of 2.57 and a quick ratio of 1.05. LKQ has a 52 week low of $29.60 and a 52 week high of $43.86.
LKQ (NASDAQ:LKQ) last released its earnings results on Thursday, July 26th. The auto parts company reported $0.61 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.58 by $0.03. The firm had revenue of $3.03 billion for the quarter, compared to the consensus estimate of $2.89 billion. LKQ had a return on equity of 14.41% and a net margin of 5.21%. The company’s revenue for the quarter was up 23.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.53 EPS. analysts anticipate that LKQ will post 2.28 EPS for the current year.
In other news, SVP Justin L. Jude acquired 2,280 shares of the business’s stock in a transaction dated Friday, June 1st. The shares were acquired at an average cost of $32.58 per share, with a total value of $74,282.40. Following the completion of the acquisition, the senior vice president now owns 66,729 shares of the company’s stock, valued at $2,174,030.82. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, Director Guhan Subramanian bought 1,500 shares of the company’s stock in a transaction that occurred on Thursday, June 21st. The shares were bought at an average cost of $32.31 per share, for a total transaction of $48,465.00. Following the completion of the acquisition, the director now owns 29,081 shares of the company’s stock, valued at $939,607.11. The disclosure for this purchase can be found here. Insiders have purchased a total of 6,780 shares of company stock worth $221,747 over the last ninety days. 0.80% of the stock is currently owned by corporate insiders.
Institutional investors have recently bought and sold shares of the stock. BlackRock Inc. boosted its position in LKQ by 1.3% during the second quarter. BlackRock Inc. now owns 19,042,477 shares of the auto parts company’s stock worth $607,456,000 after purchasing an additional 247,524 shares in the last quarter. Hound Partners LLC boosted its position in LKQ by 9.0% during the first quarter. Hound Partners LLC now owns 10,434,209 shares of the auto parts company’s stock worth $395,978,000 after purchasing an additional 857,458 shares in the last quarter. Janus Henderson Group PLC boosted its position in LKQ by 29.9% during the second quarter. Janus Henderson Group PLC now owns 4,681,976 shares of the auto parts company’s stock worth $149,355,000 after purchasing an additional 1,077,847 shares in the last quarter. Dimensional Fund Advisors LP boosted its position in LKQ by 3.5% during the first quarter. Dimensional Fund Advisors LP now owns 3,313,803 shares of the auto parts company’s stock worth $125,759,000 after purchasing an additional 112,893 shares in the last quarter. Finally, American Century Companies Inc. lifted its position in shares of LKQ by 65.4% in the second quarter. American Century Companies Inc. now owns 3,102,685 shares of the auto parts company’s stock valued at $98,976,000 after acquiring an additional 1,226,523 shares in the last quarter. 90.18% of the stock is currently owned by hedge funds and other institutional investors.
LKQ Company Profile
LKQ Corporation, together with its subsidiaries, distributes replacement parts, components, and systems used in the repair and maintenance of vehicles in North America, Europe, and Taiwan. It operates in three segments: North America, Europe, and Specialty. The company distributes bumper covers, automotive body panels, and lights, as well as automotive glass products, such as windshields; 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.
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