Zacks Investment Research cut shares of LKQ (NASDAQ:LKQ) from a hold rating to a sell rating in a research note released on Tuesday, Zacks.com reports. They currently have $29.00 price target on the auto parts company’s stock.

According to Zacks, “LKQ’s strategic acquisitions has helped it to expand geographic footprint, improve customer offering and adopt new technologies. The $1.8 billion buyout of Stahlgruber in 2018 is significantly aiding the prospects of LKQ. Further, LKQ’s progress toward jettisoning the non-core businesses to simplify its operating model and improve margins also bode well. The company’s increased cash flow guidance for 2019 and buyback program lifts investors’ confidence. However, amid the macroeconomic headwinds and softness in the European markets, the full year EPS and sales forecast has been cut, which is a major headwind, going forward. Moreover, the company is bearing the brunt of rising SG&A costs, which may increase its overall costs and clip its profits. As such, the sock warrants a cautious stance from the investors.”

LKQ has been the subject of several other reports. Wellington Shields cut LKQ from a buy rating to a gradually accumulate rating in a research report on Thursday, July 25th. Raymond James cut LKQ from an outperform rating to a market perform rating in a research report on Friday, July 26th. Finally, BidaskClub cut LKQ from a hold rating to a sell rating in a research report on Tuesday, August 13th. One investment analyst has rated the stock with a sell rating, four have given a hold rating and two have given a buy rating to the company’s stock. LKQ currently has an average rating of Hold and a consensus target price of $34.50.

Shares of NASDAQ LKQ traded up $0.22 during mid-day trading on Tuesday, hitting $32.77. The company had a trading volume of 330,250 shares, compared to its average volume of 2,458,762. The company has a market capitalization of $8.83 billion, a price-to-earnings ratio of 14.96, a P/E/G ratio of 0.88 and a beta of 1.31. LKQ has a 1 year low of $22.74 and a 1 year high of $33.22. The company has a current ratio of 2.20, a quick ratio of 0.94 and a debt-to-equity ratio of 1.03. The stock’s 50-day moving average price is $26.19 and its 200-day moving average price is $27.32.

LKQ (NASDAQ:LKQ) last announced its quarterly earnings results on Thursday, July 25th. The auto parts company reported $0.65 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.64 by $0.01. The company had revenue of $3.25 billion during the quarter, compared to analysts’ expectations of $3.28 billion. LKQ had a return on equity of 14.54% and a net margin of 3.36%. The firm’s quarterly revenue was up 7.2% compared to the same quarter last year. During the same period in the previous year, the business earned $0.61 earnings per share. As a group, equities research analysts forecast that LKQ will post 2.33 earnings per share for the current year.

In related news, EVP John S. Quinn sold 10,721 shares of the business’s stock in a transaction dated Monday, July 15th. The stock was sold at an average price of $27.04, for a total transaction of $289,895.84. Following the completion of the transaction, the executive vice president now directly owns 254,674 shares in the company, valued at $6,886,384.96. The transaction was disclosed in a document filed with the SEC, which is available through this link. 0.71% of the stock is owned by insiders.

Institutional investors have recently bought and sold shares of the stock. International Value Advisers LLC bought a new stake in LKQ during the first quarter worth about $93,177,000. New Mountain Vantage Advisers L.L.C. lifted its stake in LKQ by 81.8% during the second quarter. New Mountain Vantage Advisers L.L.C. now owns 4,704,201 shares of the auto parts company’s stock worth $125,179,000 after purchasing an additional 2,117,077 shares during the last quarter. Nuveen Asset Management LLC bought a new stake in LKQ during the second quarter worth about $54,754,000. FMR LLC lifted its stake in LKQ by 13.3% during the first quarter. FMR LLC now owns 11,329,024 shares of the auto parts company’s stock worth $321,518,000 after purchasing an additional 1,329,633 shares during the last quarter. Finally, D. E. Shaw & Co. Inc. lifted its stake in LKQ by 67.6% during the second quarter. D. E. Shaw & Co. Inc. now owns 2,594,935 shares of the auto parts company’s stock worth $69,051,000 after purchasing an additional 1,047,038 shares during the last quarter. Institutional investors and hedge funds own 91.77% of the company’s stock.

LKQ Company Profile

LKQ Corporation, together with its subsidiaries, distributes replacement parts, components, and systems used in the repair and maintenance of vehicles. It operates in four segments: Wholesale – North America, Europe, Specialty, and Self Service. 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.

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