Genuine Parts (NYSE:GPC) Issues Earnings Results

Genuine Parts (NYSE:GPC) posted its earnings results on Tuesday. The specialty retailer reported $2.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.08 by $0.07, FiscalAI reports. The company had revenue of $6.54 billion during the quarter, compared to analyst estimates of $6.43 billion. Genuine Parts had a return on equity of 22.28% and a net margin of 0.24%.The company’s revenue for the quarter was up 6.0% compared to the same quarter last year. During the same period in the previous year, the company earned $2.10 EPS. Genuine Parts updated its FY 2026 guidance to 7.500-8.000 EPS.

Here are the key takeaways from Genuine Parts’ conference call:

• Genuine Parts reported a strong second quarter, with sales up about 6% to $6.5 billion and adjusted EPS rising to $2.15, both ahead of internal expectations.
• Industrial was a standout, with sales up 7%, comparable sales up 6%, and segment EBITDA up 10%, driven by broad-based demand improvement and pricing/sourcing initiatives.
• Management said the company remains on track to separate its automotive and industrial businesses in Q1 2027, with the standalone audit completed and a confidential Form 10 expected later this summer.
• Iran-related inflation and higher freight/fuel costs are pressuring the business, and the company now expects an additional $20 million-$30 million of incremental costs in the second half tied to that conflict.
• Management highlighted improving momentum in NAPA and international auto, including stronger July trends, sequential improvement in independent owners, and continued gains in Europe and Canada.

Genuine Parts Price Performance

NYSE GPC opened at $119.70 on Wednesday. The company has a market capitalization of $16.47 billion, a PE ratio of 278.38 and a beta of 0.63. Genuine Parts has a 12-month low of $90.78 and a 12-month high of $151.57. The firm’s 50 day moving average is $108.96 and its 200-day moving average is $115.53. The company has a quick ratio of 0.48, a current ratio of 1.09 and a debt-to-equity ratio of 0.77.

Genuine Parts Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Stockholders of record on Friday, June 5th were issued a $1.0625 dividend. The ex-dividend date was Friday, June 5th. This represents a $4.25 dividend on an annualized basis and a dividend yield of 3.6%. Genuine Parts’s dividend payout ratio (DPR) is 988.37%.

Genuine Parts News Roundup

Here are the key news stories impacting Genuine Parts this week:

• Positive Sentiment: Genuine Parts beat Q2 estimates, posting EPS of $2.15 versus expectations around $2.08-$2.10 and revenue of $6.54 billion versus estimates near $6.43 billion, supported by 6% year-over-year sales growth. Article Title
• Positive Sentiment: The company reaffirmed 2026 adjusted EPS guidance of $7.50 to $8.00, which signals confidence in its full-year earnings trajectory even as analysts were looking for about $7.70. Article Title
• Positive Sentiment: Management highlighted strong industrial segment performance and broad-based sales growth, suggesting underlying demand remains solid despite inflationary headwinds. Article Title
• Neutral Sentiment: The company also indicated plans to target a business separation in Q1 2027, which could eventually unlock value but adds a longer-term strategic catalyst rather than an immediate earnings driver. Article Title

Insider Activity at Genuine Parts

In related news, insider James F. Howe sold 415 shares of the company’s stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $104.33, for a total transaction of $43,296.95. Following the sale, the insider owned 25,589 shares in the company, valued at approximately $2,669,700.37. This represents a 1.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.13% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Genuine Parts

Hedge funds have recently bought and sold shares of the stock. IHT Wealth Management LLC raised its stake in shares of Genuine Parts by 1.8% during the fourth quarter. IHT Wealth Management LLC now owns 4,644 shares of the specialty retailer’s stock valued at $571,000 after acquiring an additional 83 shares during the last quarter. Lansforsakringar Fondforvaltning AB publ increased its holdings in Genuine Parts by 3.8% during the 4th quarter. Lansforsakringar Fondforvaltning AB publ now owns 2,413 shares of the specialty retailer’s stock valued at $297,000 after purchasing an additional 88 shares during the period. Snowden Capital Advisors LLC increased its holdings in Genuine Parts by 0.9% during the 2nd quarter. Snowden Capital Advisors LLC now owns 10,589 shares of the specialty retailer’s stock valued at $1,296,000 after purchasing an additional 91 shares during the period. BOKF NA lifted its stake in Genuine Parts by 26.8% in the third quarter. BOKF NA now owns 487 shares of the specialty retailer’s stock worth $67,000 after acquiring an additional 103 shares during the period. Finally, Binnacle Investments Inc boosted its stake in shares of Genuine Parts by 10.7% during the 3rd quarter. Binnacle Investments Inc now owns 1,153 shares of the specialty retailer’s stock valued at $160,000 after purchasing an additional 111 shares in the last quarter. 78.83% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities research analysts have weighed in on GPC shares. Zacks Research upgraded shares of Genuine Parts from a “strong sell” rating to a “hold” rating in a report on Monday, May 25th. Truist Financial dropped their price objective on Genuine Parts from $127.00 to $124.00 and set a “hold” rating on the stock in a research note on Wednesday, April 22nd. Weiss Ratings reissued a “hold (c-)” rating on shares of Genuine Parts in a research note on Wednesday, June 24th. UBS Group dropped their price target on Genuine Parts from $135.00 to $125.00 and set a “neutral” rating on the stock in a research report on Wednesday, April 22nd. Finally, DA Davidson boosted their price objective on Genuine Parts from $145.00 to $150.00 and gave the company a “buy” rating in a research report on Monday, July 6th. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, Genuine Parts presently has an average rating of “Moderate Buy” and a consensus price target of $144.50.

About Genuine Parts

Genuine Parts Company (NYSE: GPC) is a global distributor of automotive replacement parts, industrial parts and business products with a history dating back to 1928. Headquartered in Atlanta, Georgia, the company operates a broad distribution network and retail presence serving repair shops, independent retailers, industrial customers and commercial accounts. Its business model centers on stocking and delivering a wide range of parts and supplies to support aftermarket and maintenance needs across multiple end markets.

Genuine Parts conducts its operations through several well-known operating groups and subsidiaries.