LKQ Corporation $LKQ Stock: Pzena Investment Management LLC Raises Holdings

Pzena Investment Management LLC increased its holdings in shares of LKQ Corporation (NASDAQ:LKQ) by 49.0% during the third quarter, Holdings Channel.com reports. The fund owned 22,556,858 shares of the auto parts company’s stock after buying an additional 7,414,573 shares during the period. LKQ comprises approximately 1.5% of Pzena Investment Management LLC’s holdings, making the stock its 24th biggest position. Pzena Investment Management LLC owned approximately 0.09% of LKQ worth $514,973,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors have also made changes to their positions in LKQ. Salomon & Ludwin LLC acquired a new position in LKQ during the third quarter worth $61,000. One Way Holdings LLC acquired a new stake in shares of LKQ in the third quarter valued at approximately $10,983,000. Mirae Asset Global Investments Co. Ltd. purchased a new position in shares of LKQ during the 3rd quarter worth $87,000. Pinnacle Wealth Planning Services Inc. raised its stake in LKQ by 55.8% during the third quarter. Pinnacle Wealth Planning Services Inc. now owns 6,366 shares of the auto parts company’s stock worth $145,000 after purchasing an additional 2,279 shares during the period. Finally, Abundance Wealth Counselors raised its position in shares of LKQ by 11.1% during the 3rd quarter. Abundance Wealth Counselors now owns 48,490 shares of the auto parts company’s stock valued at $1,107,000 after buying an additional 4,859 shares during the period. 95.63% of the stock is owned by institutional investors and hedge funds.

LKQ Price Performance

Shares of NASDAQ LKQ opened at $20.94 on Thursday. The stock has a fifty day moving average price of $22.43 and a 200 day moving average price of $27.01. LKQ Corporation has a 1-year low of $16.85 and a 1-year high of $37.13. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.75 and a quick ratio of 0.67. The company has a market cap of $5.29 billion, a PE ratio of 20.94 and a beta of 0.87.

LKQ (NASDAQ:LKQ) last announced its quarterly earnings data on Thursday, October 29th. The auto parts company reported $0.50 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.58 by ($0.08). The firm had revenue of $3.32 billion during the quarter, compared to analyst estimates of $3.36 billion. LKQ had a net margin of 1.89% and a return on equity of 9.57%. The business’s quarterly revenue was down 5.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.84 earnings per share. Sell-side analysts forecast that LKQ Corporation will post 2.22 EPS for the current year.

LKQ Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Stockholders of record on Thursday, November 19th will be issued a $0.30 dividend. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $1.20 annualized dividend and a dividend yield of 5.7%. LKQ’s payout ratio is presently 120.00%.

Key Stories Impacting LKQ

Here are the key news stories impacting LKQ this week:

• Positive Sentiment: Two directors made sizable open-market purchases: Andrew Clarke bought 21,800 shares for about $400,000, and Michael Scott Powell bought 10,000 shares for about $191,500. Insider buying can signal confidence, though it does not guarantee a turnaround. Director purchase report
• Negative Sentiment: Multiple law firms announced investigations into potential securities claims, citing allegations that LKQ may have provided materially misleading business information. These are investigations, not findings of wrongdoing, but the headlines may add uncertainty and pressure sentiment. Rosen Law investigation announcement
• Negative Sentiment: Reported consensus price targets were reduced, including cuts of 16.53% to $27.19 and 17.48% to €24.15, signaling more cautious expectations. Report on consensus price-target reduction
• Negative Sentiment: Recent quarterly results missed expectations: LKQ reported $0.50 in earnings per share versus the $0.58 consensus and revenue of $3.32 billion versus $3.36 billion expected. Revenue fell 5.1% year over year, adding to concerns about its operating outlook.

Analysts Set New Price Targets

A number of research analysts have commented on the stock. Roth Capital cut shares of LKQ from a “buy” rating to a “neutral” rating and decreased their target price for the company from $35.00 to $18.00 in a research report on Monday, October 26th. JPMorgan Chase & Co. reduced their price target on LKQ from $22.00 to $20.00 and set an “overweight” rating on the stock in a research report on Friday, October 30th. Barclays upgraded shares of LKQ from an “equal weight” rating to an “overweight” rating and set a $25.00 price objective on the stock in a report on Monday, October 26th. Raymond James Financial set a $30.00 target price on LKQ in a research note on Friday, July 31st. Finally, Jefferies Financial Group restated a “buy” rating and issued a $30.00 price objective on shares of LKQ in a research note on Friday, October 23rd. Five research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $26.07.

Insider Activity

In other news, Director Andrew Clarke purchased 21,800 shares of the company’s stock in a transaction dated Friday, October 30th. The shares were acquired at an average cost of $18.35 per share, for a total transaction of $400,030.00. Following the completion of the purchase, the director directly owned 56,850 shares in the company, valued at $1,043,197.50. The trade was a 62.20% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Michael Scott Powell purchased 10,000 shares of the business’s stock in a transaction that occurred on Monday, November 2nd. The shares were purchased at an average cost of $19.15 per share, with a total value of $191,500.00. Following the completion of the acquisition, the director directly owned 20,998 shares of the company’s stock, valued at $402,111.70. This represents a 90.93% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 0.38% of the stock is owned by insiders.

LKQ Profile

LKQ Corporation is a global distributor of automotive parts and accessories. The company supplies replacement parts, components and equipment to professional repair shops, collision-repair businesses, insurers, dealerships and other commercial customers. Its product offerings include recycled original-equipment parts, aftermarket parts, specialty vehicle products, tools and equipment.

LKQ’s operations include the procurement, dismantling and distribution of salvaged vehicles, allowing it to provide recycled engines, transmissions, body panels and other components.