LKQ Stock Overview
LKQ Corporation distributes replacement parts, components, and systems used in the repair and maintenance of vehicles.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$54.24|
|52 Week High||US$60.43|
|52 Week Low||US$34.79|
|1 Month Change||-7.49%|
|3 Month Change||-3.74%|
|1 Year Change||51.98%|
|3 Year Change||104.14%|
|5 Year Change||71.10%|
|Change since IPO||2,792.80%|
Recent News & Updates
Does LKQ (NASDAQ:LKQ) Deserve A Spot On Your Watchlist?
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...
Why I Took Profits In LKQ Corporation
In November of 2020, I shared an article that explained why I had decided to buy LKQ Corp. Since then, LKQ has performed very well, nearly doubling the performance of the S&P 500. After examining LKQ's historical earnings trends and analysts' estimates for the future, I think LKQ is now in danger of boom/bust cycle. Because of that boom/bust risk, I have taken profits in this stock.
Does LKQ (NASDAQ:LKQ) Have A Healthy Balance Sheet?
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...
Returns At LKQ (NASDAQ:LKQ) Are On The Way Up
If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
LKQ Corporation: A Favorable Risk To Reward Prospect On Automotive Parts
LKQ Corporation is performing well during the current fiscal year, which underscores the company's quality. The long-term outlook for the business is likely appealing, and the company is cheaper than one of its peers. In the best case, shares have some decent upside, but in the worst case it's probably not a bad prospect by any means.
Is LKQ Corporation (NASDAQ:LKQ) Trading At A 29% Discount?
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of LKQ Corporation...
|LKQ||US Retail Distributors||US Market|
Return vs Industry: LKQ exceeded the US Retail Distributors industry which returned 26.9% over the past year.
Return vs Market: LKQ exceeded the US Market which returned 3.3% over the past year.
|LKQ Average Weekly Movement||3.5%|
|Retail Distributors Industry Average Movement||7.1%|
|Market Average Movement||6.7%|
|10% most volatile stocks in US Market||15.4%|
|10% least volatile stocks in US Market||2.4%|
Stable Share Price: LKQ is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: LKQ's weekly volatility (3%) has been stable over the past year.
About the Company
LKQ Corporation distributes replacement parts, components, and systems used in the repair and maintenance of vehicles. It operates through three segments: North America, Europe, and Specialty. The company distributes bumper covers, automotive body panels, and lights, as well as automotive glass products, such as windshields; salvage products, including mechanical and collision parts comprising engines; transmissions; door assemblies; sheet metal products, such as trunk lids, fenders, and hoods; lights and bumper assemblies; scrap metal and other materials to metals recyclers; and brake pads, discs and sensors, clutches, steering and suspension products, filters, and oil and automotive fluids, as well as electrical products, including spark plugs and batteries.
LKQ Fundamentals Summary
|LKQ fundamental statistics|
Is LKQ overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|LKQ income statement (TTM)|
|Cost of Revenue||US$7.63b|
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
Feb 17, 2022
|Earnings per share (EPS)||3.55|
|Net Profit Margin||8.05%|
How did LKQ perform over the long term?See historical performance and comparison
1.8%Current Dividend Yield
Is LKQ undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LKQ ($54.24) is trading below our estimate of fair value ($90.95)
Significantly Below Fair Value: LKQ is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LKQ is poor value based on its PE Ratio (15.3x) compared to the US Retail Distributors industry average (14.8x).
PE vs Market: LKQ is good value based on its PE Ratio (15.3x) compared to the US market (16.4x).
Price to Earnings Growth Ratio
PEG Ratio: LKQ is poor value based on its PEG Ratio (3.3x)
Price to Book Ratio
PB vs Industry: LKQ's PB Ratio (2.7x) is in line with the US Retail Distributors industry average.
How is LKQ forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LKQ's forecast earnings growth (4.6% per year) is above the savings rate (2%).
Earnings vs Market: LKQ's earnings (4.6% per year) are forecast to grow slower than the US market (12.9% per year).
High Growth Earnings: LKQ's earnings are forecast to grow, but not significantly.
Revenue vs Market: LKQ's revenue (3.2% per year) is forecast to grow slower than the US market (9.1% per year).
High Growth Revenue: LKQ's revenue (3.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LKQ's Return on Equity is forecast to be low in 3 years time (18.3%).
How has LKQ performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LKQ has high quality earnings.
Growing Profit Margin: LKQ's current net profit margins (8.1%) are higher than last year (5.1%).
Past Earnings Growth Analysis
Earnings Trend: LKQ's earnings have grown by 12.4% per year over the past 5 years.
Accelerating Growth: LKQ's earnings growth over the past year (72.9%) exceeds its 5-year average (12.4% per year).
Earnings vs Industry: LKQ earnings growth over the past year (72.9%) underperformed the Retail Distributors industry 72.9%.
Return on Equity
High ROE: LKQ's Return on Equity (17.4%) is considered low.
How is LKQ's financial position?
Financial Position Analysis
Short Term Liabilities: LKQ's short term assets ($4.3B) exceed its short term liabilities ($2.3B).
Long Term Liabilities: LKQ's short term assets ($4.3B) exceed its long term liabilities ($4.2B).
Debt to Equity History and Analysis
Debt Level: LKQ's net debt to equity ratio (32.5%) is considered satisfactory.
Reducing Debt: LKQ's debt to equity ratio has reduced from 95.3% to 39.3% over the past 5 years.
Debt Coverage: LKQ's debt is well covered by operating cash flow (71.6%).
Interest Coverage: LKQ's interest payments on its debt are well covered by EBIT (20.7x coverage).
What is LKQ current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LKQ's dividend (1.84%) is higher than the bottom 25% of dividend payers in the US market (1.36%).
High Dividend: LKQ's dividend (1.84%) is low compared to the top 25% of dividend payers in the US market (3.56%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether LKQ's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if LKQ's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Nick Zarcone (63 yo)
Mr. Dominick Paul Zarcone, also known as Nick, has been the Chief Executive Officer and President of LKQ Corporation since May 2017 and has been its Director since May 8, 2017. Mr. Zarcone served as Chief...
CEO Compensation Analysis
Compensation vs Market: Nick's total compensation ($USD7.84M) is below average for companies of similar size in the US market ($USD11.47M).
Compensation vs Earnings: Nick's compensation has increased by more than 20% in the past year.
Experienced Management: LKQ's management team is considered experienced (4.3 years average tenure).
Experienced Board: LKQ's board of directors are considered experienced (3.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
LKQ Corporation's employee growth, exchange listings and data sources
- Name: LKQ Corporation
- Ticker: LKQ
- Exchange: NasdaqGS
- Founded: 1998
- Industry: Distributors
- Sector: Retail
- Implied Market Cap: US$15.810b
- Shares outstanding: 291.49m
- Website: https://www.lkqcorp.com
Number of Employees
- LKQ Corporation
- 500 West Madison Street
- Suite 2800
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/01/27 00:04|
|End of Day Share Price||2022/01/26 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.