Lumida
/GPC
⌘K
Genuine Parts Co

Genuine Parts Co

GPC
$133.68USD↓-0.36%-0.48 today

MARKET CAP

18.4B

P/E (TTM)

303.8x

FWD P/E

—

DAY RANGE

$133 – $136

52W RANGE

$91
$152

AI Summary

Stalk
StalkMedium

GPC remains in its medium- and long-term uptrend but is showing Bullish Exhaustion at resistance. The medium-term structure is intact above the 50-day SMA, yet short-term price is retracting into the 9- and 20-day EMAs, signaling a need for patience. Execution is best deferred to a pullback interaction near the 50-day SMA (around $133.50–$130.66) or the mid-range support zone. A decisive break below the 50-day SMA and 20-day EMA would invalidate this bullish stance.

  • ↑Q2 revenue of $6.5 B (+6% YoY); industrial sales up 7% YoY.
  • ↑Adjusted gross margin at 37.9% (+20 bps YoY) driven by pricing initiatives.
  • ↓Weak growth and profitability factors signal fading revenue momentum and margins.
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

Genuine Parts Company (NYSE: GPC) is a leading distributor of automotive and industrial replacement parts operating across various segments, including automotive and industrial components. The company prides itself on maintaining a strong market position through an extensive supply chain and focused customer service. Currently, GPC is preparing for a strategic separation of its automotive and industrial divisions, aiming to enhance shareholder value and operational focus.

Bull says

  • ↑Q2 revenue of $6.5 B (+6% YoY); industrial sales up 7% YoY.
  • ↑Adjusted gross margin at 37.9% (+20 bps YoY) driven by pricing initiatives.
  • ↑70th straight annual dividend hike of 3.2% underscores returns.
  • ↑$464 M cash flow YTD supports reinvestment and dividends.
  • ↑Planned spin-off of auto and industrial ops by Q1 2027 to unlock value.
  • ↑Strong dividend yield, effective leverage use, and stable market positioning.

Bear says

  • ↓Weak growth and profitability factors signal fading revenue momentum and margins.
  • ↓$20–30 M in annual costs from Iran conflict to hit earnings.
  • ↓Inflation-driven freight and fuel costs constrain pricing power and margins.
  • ↓High short interest and negative momentum factors indicate bearish sentiment.
  • ↓Spin-off execution risks could disrupt operations and erode value if mismanaged.
  • ↓Poor earnings yield and analyst downgrades limit upside potential.

Investment themes with GPC

High Dividend Yield↓ -0.51%

Companies paying above-average dividends

AVGO · JPM · XOM

Earnings Call · Q1 2024 · Mgmt. Guidance

Updated 04-23-2025neutral

Transcript signals

Bull points

  • We are pleased to report our first quarter results for Genuine Parts Company and we are encouraged by the start to 2024, particularly when compared to our strong performance in the first quarter of 2023.
  • Our teams delivered results that exceeded our expectations while they stayed laser-focused on our strategic initiatives to enhance our businesses and drive profitable growth.
  • This strong start to the year, along with the continued execution of our initiatives, gives us confidence to raise our outlook for adjusted earnings per share in 2024.

Bear points

  • Higher interest rates and persistent cost inflation are pressuring businesses and consumers alike.
  • As we expected, sales were challenged in the first quarter as the team posted a slight year-over-year sales decline.
  • During the first quarter, total sales for global industrial were $2.2 billion, a decrease of approximately 2%, with comparable sales down 2.6% versus the same period last year. These results were in line with our expectations as we were up against our most difficult comparative period of the year with first quarter 2023 sales up 12%.
Read full transcript analysis ›