Motorcar Parts Of America (MPAA) AI Stock Analysis

• Market Cap: $197.27M
• Dividend Yield: N/A
• Average Volume (3M): 231.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.48
• Revenue Growth: 5.53%
• EPS Growth: 60.54%
• Country: US
• Employees: 5,900
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Auto - Parts
• EPS (TTM): 0.28
• Shares Outstanding: 19,435,705
• 10 Day Avg. Volume: 118,658
• 30 Day Avg. Volume: 231,648
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.92
• Enterprise Value/Revenue: 0.50
• Enterprise Value/Gross Profit: 2.46
• Enterprise Value/Ebitda: 7.53
• 1Y Price Target: $14.00
• Price Target Upside: 37.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 59 Neutral
• Price Target: $11.00 ▲(8.37%Upside)

Motorcar Parts Of America exhibits strong revenue growth and cash flow generation. However, profitability challenges, a negative P/E ratio, and technical indicators suggesting weak momentum weigh down the overall score. The positive outlook from the earnings call partially offsets these concerns, highlighting strategic advantages and potential growth.

Motorcar Parts Of America Business Overview & Revenue Model

Company Description

Motorcar Parts of America, Inc. manufactures, remanufactures, and distributes heavy-duty truck, industrial, marine, and agricultural application replacement parts. The company offers rotating electrical products, including alternators and starters; wheel hub assemblies and bearings; and brake-related products comprising brake calipers, brake boosters, brake rotors, brake pads, and brake master cylinders. It also offers test solutions and diagnostic equipment for electric vehicle powertrain development and manufacturing, including electric motor test systems, e-axle test systems, advanced power emulators, and charging unit test systems, as well as test systems for alternators, starters, belt starter generator, and bench-top testers, as well as turbochargers and test services for electric vehicle inverters. The company sells its products to automotive retail chain stores and warehouse distributors, as well as various automobile manufacturers for their aftermarket programs and warranty replacement programs in North America. Motorcar Parts of America, Inc. was founded in 1968 and is headquartered in Torrance, California.

How the Company Makes Money

Motorcar Parts of America generates revenue through the sale of its automotive aftermarket products. Its primary revenue streams come from manufacturing and remanufacturing automotive parts, which are then sold to various customers, including large automotive retailers, wholesale distributors, and service providers. The company benefits from its extensive distribution network and partnerships with major automotive chains, which ensure consistent demand for its products. MPAA also focuses on quality and innovation, allowing it to charge competitive prices while maintaining customer loyalty. Additionally, the company may enter into strategic alliances and partnerships to expand its market reach and enhance its product offerings, contributing to its overall earnings.

Motorcar Parts Of America Financial Statement Overview

Summary

Motorcar Parts Of America shows strong revenue growth and operational efficiency, but faces challenges with profitability due to ongoing net losses. Although cash flow generation is robust, increased leverage on the balance sheet poses risks.

Income Statement

Motorcar Parts Of America has demonstrated consistent revenue growth over the years, with a notable increase from $535.8 million in 2020 to $757.4 million in 2025. Despite this growth, the company faces challenges in profitability as evidenced by negative net income in recent years. The EBIT and EBITDA margins have improved, indicating better operational efficiency, yet the net profit margin remains a concern due to persistent net losses.

Balance Sheet

The company's balance sheet shows a stable equity base, though the debt-to-equity ratio has increased, indicating higher leverage. The equity ratio has slightly decreased, reflecting a proportionally higher increase in liabilities. The return on equity is negative, driven by net losses, which is a critical area for improvement to enhance shareholder value.

Cash Flow

Cash flow performance is a bright spot for Motorcar Parts Of America, with positive operating cash flow and free cash flow in the recent year, indicating a strong ability to generate cash from operations. The free cash flow growth rate is encouraging, showing improvement over previous periods. The operating cash flow to net income ratio suggests effective cash management despite net losses.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	757.35M	717.68M	683.07M	650.31M	540.78M
Gross Profit	153.83M	132.55M	113.96M	117.86M	109.46M
EBITDA	50.26M	58.59M	36.45M	28.70M	46.63M
Net Income	-19.47M	-49.24M	-4.21M	7.36M	21.48M
Balance Sheet
Total Assets	957.64M	1.01B	1.03B	1.02B	847.88M
Cash, Cash Equivalents and Short-Term Investments	11.31M	15.81M	13.61M	25.22M	17.18M
Total Debt	201.28M	239.34M	277.22M	259.29M	181.45M
Total Liabilities	699.94M	726.89M	708.09M	700.43M	546.74M
Stockholders Equity	257.70M	285.11M	320.48M	315.26M	301.14M
Cash Flow
Free Cash Flow	40.90M	38.17M	-25.95M	-52.41M	42.15M
Operating Cash Flow	45.48M	39.17M	-21.75M	-44.86M	56.09M
Investing Cash Flow	-4.47M	-479.00K	-4.19M	-7.94M	-14.21M
Financing Cash Flow	-44.66M	-36.44M	14.31M	60.22M	-76.57M

Motorcar Parts Of America Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MPAA, the sentiment is Negative. The current price of 10.15 is below the 20-day moving average (MA) of 11.48, below the 50-day MA of 11.19, and above the 200-day MA of 8.97, indicating a neutral trend. The MACD of -0.14 indicates Positive momentum. The RSI at 39.27 is Neutral, neither overbought nor oversold. The STOCH value of 12.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MPAA.

Motorcar Parts Of America Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STRT	78 Outperform	$258.63M	12.54	9.91%	―	5.54%	398.82%
THRM	73 Outperform	$970.84M	31.38	4.72%	―	-0.78%	-51.80%
SMP	71 Outperform	$668.88M	11.76	9.00%	3.94%	13.53%	-4.76%
CAAS	70 Outperform	$124.15M	4.31	8.05%	―	18.33%	-26.25%
MPAA	59 Neutral	$197.27M	―	-7.17%	―	5.53%	60.54%
Sector *	57 Neutral	HK$24.69B	3.68	-2.14%	6.03%	-0.25%	-65.84%
SSUP	44 Neutral	$2.40M	―	-80.07%	―	-3.63%	36.19%

Motorcar Parts Of America Corporate Events

Motorcar Parts of America Appoints New Senior Executives

On June 10, 2025, Motorcar Parts of America announced the appointment of Juliet Stone as Senior Vice President of Government Affairs and Special Projects, and Glenn Burlingame as Vice President, General Counsel, and Secretary. Burlingame, with over 30 years of experience in corporate law, is expected to bring immediate expertise to the company, having previously served as outside legal counsel. The transition highlights the company’s strategic focus on navigating the geopolitical environment and enhancing its legal and governance framework.

The most recent analyst rating on (MPAA) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on Motorcar Parts Of America stock, see the MPAA Stock Forecast page.