Genuine Parts is a distributor of automotive replacement parts and accessories in the U.S., Canada, Mexico and Australasia. The Company also distributes industrial replacement parts in the U.S., Canada and Mexico through its Motion Industries subsidiary. The company was founded in 1928 and is based in Atlanta, Georgia.
GPC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Genuine Parts Co. To summarize, we found that Genuine Parts Co ranked in the 51th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 35.83% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for GPC, they are:
The company's balance sheet shows it gets 78% of its capital from equity, and 22% of its capital from debt. Notably, its equity weight is greater than 71.86% of US equities in the Consumer Cyclical sector yielding a positive free cash flow.
Genuine Parts Co's effective tax rate, as measured by taxes paid relative to net income, is at 70 -- greater than 95.87% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
LUVU, SMP, CVCO, PKG, and CSV can be thought of as valuation peers to GPC, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Bank of America is out with thoughts on the $300 billion aftermarket auto parts and repair market based on survey results. The Takeaways: Suzuki highlights four large companies in the auto parts market in AutoZone (NYSE: AZO ), O’Reilly Automotive (NASDAQ: ORLY ), Advance Auto Parts (NYSE: AAP ) and Genuine Parts Company (NYSE: GPC ). “The US automotive parts and repair market is large, stable, highly profitable (versus other segments of the auto value chain, and relatively fragmented,” analyst Elizabeth … Full story available on Benzinga.com
Good morning, and thank you for joining us today for the Genuine Parts Company Second Quarter 2020 Conference Call. With me today are Paul Donahue, our Chairman and Chief Executive Officer; and Carol Yancey, our Executive Vice President and Chief Financial Officer. Today's conference call and webcast are accompanied by a slide presentation that can be found on the Genuine Parts Company, Investor Relations website.
Genuine Parts Co (GPC) Q2 2020 Earnings Conference Call July 30, 2020, 11:00 ET Company Participants Sidney Jones - SVP, IR Paul Donahue - Chairman & CEO Carol Yancey - EVP, CFO & CAO Conference Call Participants Mark Jordan - Jefferies Michael Montani - Evercore ISI Daniel Imbro - Stephens...