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Genuine Parts Company
(NYSE:GPC)
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Rating:51Neutral
Price Target:
$133.00
▲(16.88% Upside)
Action:Reiterated
Date:07/03/26
The score is held back primarily by weakened profitability and higher leverage in the financials, alongside a very stretched valuation (P/E ~301). These negatives are partly offset by constructive earnings-call guidance/reaffirmation and strong technical positioning above major moving averages, though momentum indicators suggest the stock is extended in the near term.
Positive Factors
Diversified distribution network (Automotive & Industrial)
GPC's dual‑pillar model (Automotive/NAPA and Industrial/Motion) provides durable revenue diversification and multiple customer channels. A broad distribution network and integrated supply offerings support recurring purchases, inventory-led retention, and fulfillment scale that sustain revenue and resilience across cycles.
Negative Factors
Elevated leverage versus historical levels
Nearly doubled leverage weakens the balance sheet's ability to absorb shocks and raises interest and refinancing risk. With ongoing separation and restructuring costs, higher leverage constrains strategic optionality, increases fixed charges, and magnifies downside if operating performance slips over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified distribution network (Automotive & Industrial)
GPC's dual‑pillar model (Automotive/NAPA and Industrial/Motion) provides durable revenue diversification and multiple customer channels. A broad distribution network and integrated supply offerings support recurring purchases, inventory-led retention, and fulfillment scale that sustain revenue and resilience across cycles.
Read all positive factors
Genuine Parts Company Key Performance Indicators (KPIs)
Any
Number of Locations
Counts the total outlets or branches, reflecting the company's market presence and potential for customer reach and service delivery.
Counts the total outlets or branches, reflecting the company's market presence and potential for customer reach and service delivery.
Data provided by:
The Fly
The FlyGenuine Parts Company (GPC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$18.24B
Dividend Yield3.33%
Average Volume (3M)1.64M
Price to Earnings (P/E)301.3
Beta (1Y)0.69
Revenue Growth4.79%
EPS Growth-92.77%
CountryUS
Employees63,000
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)0.44
Shares Outstanding137,624,540
10 Day Avg. Volume1,951,897
30 Day Avg. Volume1,639,097
Financial Highlights & Ratios
PEG Ratio-2.82
Price to Book (P/B)3.86
Price to Sales (P/S)0.70
P/FCF Ratio40.59
Enterprise Value/Market Cap1.15
Enterprise Value/Revenue0.85
Enterprise Value/Gross Profit2.35
Enterprise Value/Ebitda27.46
Forecast
1Y Price Target
$137.20Price Target Upside20.57% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering7
EPS Forecast (FY)7.71
Revenue Forecast (FY)$25.45B
Genuine Parts Company Business Overview & Revenue Model
Company Description
Genuine Parts Company, established in Atlanta, Georgia in 1928, functions as a prominent global distributor specializing in automotive and industrial replacement parts, alongside associated materials. The company’s operations are segmented into it...
How the Company Makes Money
GPC makes money primarily by purchasing replacement parts and related products from manufacturers and other suppliers and reselling them at a markup through its distribution network and service platform. Its key revenue streams are (1) Automotive ...
Genuine Parts Company Earnings Call Summary
Earnings Call Date:Apr 21, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 21, 2026
Earnings Call Sentiment Positive
The call presents a constructive operational and financial picture: solid top-line growth (~+6.8% YoY), sequential improvement across all segments, industrial margin expansion and reaffirmed full-year guidance. Management also reported progress on restructuring and the planned separation, with separation costs in line with prior expectations. Offsetting these positives are persistent inflationary pressures (labor, freight, rent, healthcare), SG&A increases, margin compression at the consolidated level, and near-term geopolitical risk (estimated $10–$20M EBITDA Q2 hit) plus meaningful run-rate separation costs of $100–$150M. On balance, the company appears to be executing well, managing cost actions, and maintaining guidance despite headwinds.Positive Updates
Consolidated Sales Growth
Total GPC sales of $6.3 billion, an increase of approximately $400 million or ~6.8%–7% year-over-year; each of the three business segments showed sequential improvement.
Negative Updates
Geopolitical Risk and Near-Term EBITDA Headwind
Conflict in the Middle East/Iran introduces supply-chain disruption and inflationary pressures; company estimates a near-term negative EBITDA impact of approximately $10–$20 million for Q2 driven by higher COGS and operating expenses (freight/fuel).
Read all updates
Q1-2026 Updates
Positive
Negative
Consolidated Sales Growth
Total GPC sales of $6.3 billion, an increase of approximately $400 million or ~6.8%–7% year-over-year; each of the three business segments showed sequential improvement.
Read all positive updates
Company Guidance
GPC reaffirmed full-year 2026 guidance calling for diluted EPS of $6.10–$6.60 (which includes restructuring) and adjusted diluted EPS of $7.50–$8.00 (up ~5% at the midpoint vs. 2025), with total company sales growth expected in the range of 3.0%–5.5%; assumptions include roughly 2 points of pricing (inflation/tariffs), ~1 point from M&A carryover, ~1 point from strategic initiatives, and ~1 point from foreign exchange. Management reiterated expectations for 40–60 basis points of gross margin expansion, continues to plan transformation & cost-action expenses of $225–$250 million with an expected $100–$125 million benefit in 2026, and forecasted a depreciation/interest headwind of about $0.30 to EPS; they also estimated the near-term net EBITDA downside from the Iran-related conflict at roughly $10–$20 million (Q2-focused), noted freight is ~3% of revenue and exposure to Middle East–sourced products is <0.5% of purchases, and confirmed separation-related run-rate dis-synergies and stand‑alone costs of $100–$150 million (excluding one‑time legal/banking fees).Genuine Parts Company Financial Statement Overview
Summary
Income Statement
38
Negative
Balance Sheet
46
Neutral
Cash Flow
55
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 24.70B | 24.30B | 23.49B | 23.09B | 22.10B | 18.87B |
| Gross Profit | 8.93B | 8.40B | 8.52B | 8.29B | 7.74B | 6.63B |
| EBITDA | 764.03M | 753.70M | 1.68B | 2.16B | 1.99B | 1.55B |
| Net Income | 60.09M | 65.94M | 904.08M | 1.32B | 1.18B | 898.79M |
Balance Sheet | ||||||
| Total Assets | 20.98B | 20.80B | 19.28B | 17.97B | 16.50B | 14.35B |
| Cash, Cash Equivalents and Short-Term Investments | 500.02M | 477.18M | 479.99M | 1.10B | 653.46M | 714.70M |
| Total Debt | 6.71B | 8.27B | 5.74B | 4.89B | 4.16B | 3.48B |
| Total Liabilities | 16.48B | 16.36B | 14.93B | 13.55B | 12.69B | 10.85B |
| Stockholders Equity | 4.48B | 4.42B | 4.34B | 4.40B | 3.79B | 3.49B |
Cash Flow | ||||||
| Free Cash Flow | 547.96M | 420.92M | 683.91M | 922.93M | 1.13B | 992.15M |
| Operating Cash Flow | 995.50M | 890.76M | 1.25B | 1.44B | 1.47B | 1.26B |
| Investing Cash Flow | -649.68M | -711.59M | -1.51B | -705.79M | -1.68B | -506.16M |
| Financing Cash Flow | -281.28M | -209.25M | -333.94M | -292.16M | 205.10M | -989.53M |
Genuine Parts Company Technical Analysis
Positive
113.79
Price Trends
103.27
Positive
107.73
Positive
118.21
Positive
Market Momentum
5.83
Negative
83.59
Negative
90.95
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GPC, the sentiment is Positive. The current price of 113.79 is above the 20-day moving average (MA) of 107.99, above the 50-day MA of 103.27, and below the 200-day MA of 118.21, indicating a bullish trend. The MACD of 5.83 indicates Negative momentum. The RSI at 83.59 is Negative, neither overbought nor oversold. The STOCH value of 90.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GPC.
Genuine Parts Company Risk Analysis
Genuine Parts Company disclosed 19 risk factors in its most recent earnings report. Genuine Parts Company reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Genuine Parts Company Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $51.58B | 21.18 | -80.35% | ― | 5.74% | -1.73% | |
64 Neutral | $10.36B | 19.17 | 89.51% | 0.53% | -1.25% | 21.59% | |
63 Neutral | $74.79B | 29.30 | -263.22% | ― | 7.92% | 12.42% | |
62 Neutral | $16.66B | 15.57 | 42.57% | 1.80% | 4.64% | 1.15% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
58 Neutral | $3.71B | 83.91 | 2.00% | 2.53% | -8.26% | ― | |
51 Neutral | $18.24B | 301.30 | 1.31% | 3.33% | 4.79% | -92.77% |
* Consumer Cyclical Sector Average
GPC
Genuine Parts Company
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9.57
7.78%
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Genuine Parts Company Corporate Events
DividendsPrivate Placements and FinancingShareholder Meetings
Genuine Parts Expands Credit Facility and Confirms Dividend
Positive
Apr 28, 2026
Genuine Parts Company, founded in 1928 and listed on the NYSE as GPC, is a leading global service provider of automotive and industrial replacement parts and value-added solutions. Its Automotive Parts Group operates across North America, Europe a...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.