Why Genuine Parts Company (NYSE:GPC) Is An Attractive Investment To Consider

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I've been keeping an eye on Genuine Parts Company (NYSE:GPC) because I'm attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe GPC has a lot to offer. Basically, it is a dependable dividend-paying company that has been able to sustain great financial health over the past. In the following section, I expand a bit more on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at the report on Genuine Parts here.

Adequate balance sheet average dividend payer

GPC's ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This indicates that GPC has sufficient cash flows and proper cash management in place, which is an important determinant of the company’s health. GPC appears to have made good use of debt, producing operating cash levels of 0.24x total debt in the prior year. This is a strong indication that debt is reasonably met with cash generated.

For those seeking income streams from their portfolio, GPC is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 3.1%.

Next Steps:

For Genuine Parts, there are three fundamental factors you should further examine:

1. Future Outlook: What are well-informed industry analysts predicting for GPC’s future growth? Take a look at our free research report of analyst consensus for GPC’s outlook.
2. Historical Performance: What has GPC's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of GPC? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.