Formula Growth Ltd. Acquires New Position in LKQ Corporation $LKQ

Formula Growth Ltd. bought a new position in shares of LKQ Corporation (NASDAQ:LKQ) during the 2nd quarter, HoldingsChannel.com reports. The fund bought 42,300 shares of the auto parts company’s stock, valued at approximately $1,114,000.

A number of other hedge funds also recently added to or reduced their stakes in LKQ. Harbor Investment Advisory LLC boosted its position in LKQ by 260.0% in the 1st quarter. Harbor Investment Advisory LLC now owns 900 shares of the auto parts company’s stock valued at $26,000 after buying an additional 650 shares during the period. Northwestern Mutual Wealth Management Co. purchased a new stake in shares of LKQ during the second quarter worth $25,000. Cedar Mountain Advisors LLC purchased a new stake in shares of LKQ during the first quarter worth $28,000. Global Retirement Partners LLC acquired a new stake in shares of LKQ in the second quarter valued at $25,000. Finally, Essential Partners LLC purchased a new position in LKQ in the first quarter valued at $30,000. 95.63% of the stock is currently owned by institutional investors and hedge funds.

LKQ Trading Down 1.5%

LKQ opened at $25.36 on Friday. The company has a quick ratio of 0.61, a current ratio of 1.58 and a debt-to-equity ratio of 0.52. LKQ Corporation has a 52 week low of $21.17 and a 52 week high of $37.13. The business’s 50 day moving average is $25.39 and its two-hundred day moving average is $27.97. The firm has a market cap of $6.42 billion, a price-to-earnings ratio of 14.09 and a beta of 0.84.

LKQ (NASDAQ:LKQ) last posted its quarterly earnings data on Thursday, July 30th. The auto parts company reported $0.67 earnings per share for the quarter, missing the consensus estimate of $0.71 by ($0.04). The firm had revenue of $3.41 billion during the quarter, compared to analyst estimates of $3.48 billion. LKQ had a net margin of 3.37% and a return on equity of 10.84%. LKQ’s revenue was down 3.0% compared to the same quarter last year. During the same period in the previous year, the company posted $0.87 earnings per share. LKQ has set its FY 2026 guidance at 2.600-2.900 EPS. On average, research analysts predict that LKQ Corporation will post 2.67 EPS for the current year.

LKQ Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Thursday, August 20th will be paid a dividend of $0.30 per share. The ex-dividend date is Thursday, August 20th. This represents a $1.20 dividend on an annualized basis and a yield of 4.7%. LKQ’s dividend payout ratio is currently 66.67%.

Wall Street Analyst Weigh In

Several research firms recently commented on LKQ. Zacks Research cut LKQ from a “hold” rating to a “strong sell” rating in a research note on Monday, August 3rd. Weiss Ratings lowered LKQ from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, August 13th. Stephens decreased their price objective on LKQ from $39.00 to $36.50 and set an “overweight” rating for the company in a research note on Tuesday, July 21st. Barclays lowered their price objective on LKQ from $30.00 to $25.00 and set an “equal weight” rating for the company in a research report on Monday, August 3rd. Finally, JPMorgan Chase & Co. cut their target price on shares of LKQ from $37.00 to $30.00 and set an “overweight” rating on the stock in a research note on Friday, July 31st. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $31.08.

About LKQ

LKQ Corporation is a leading provider of alternative and specialty parts to repair and accessorize automobiles and other vehicles. The company supplies a broad range of replacement components, including recycled original equipment manufacturer (OEM) parts, aftermarket parts, refurbished and remanufactured items. Its products support collision repair, mechanical repair and performance enhancement needs across passenger cars, heavy trucks and recreational vehicles.

Through a combination of in-house operations and strategic acquisitions, LKQ has developed a comprehensive product portfolio that extends beyond core replacement parts.