LKQ Corporation (NASDAQ:LKQ) Relative Strength Index (RSI) is 36.20, with weekly volatility at 2.54% and ATR at 1.10. The LKQ stock’s 52-week price range has touched low of $24.35 and a $51.68 high. Intraday shares traded counted 2.92 million, which was -64.29% lower than its 30-day average trading volume of 1.78M. Its shares traded lower over the last trading session, losing -0.97% on 06/18/21. The shares fell to a low of $46.16 before closing at $46.82. LKQ’s previous close was $47.28 while the outstanding shares total 303.04M. The firm has a beta of 1.67, a 12-month trailing P/E ratio of 18.78, and a growth ratio of 0.56.
Investors have identified the Auto Parts company LKQ Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $14.29 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
LKQ Corporation (LKQ) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For LKQ, the company has in raw cash 590.19 million on their books with 239.96 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 4.45 billion total, with 2.44 billion as their total liabilities.
LKQ were able to record 480.73 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by 278.04 million. In cash movements, the company had a total of 522.51 million as operating cash flow.
Potential earnings growth for LKQ Corporation (LKQ)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, LKQ Corporation recorded a total of 3.17 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 5.36% coming in sequential stages and their sales for the 07/29/2021 quarter increasing by 6.84%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.88 billion trying to sell their products during the last quarter, with the result yielding a gross income of 1.29 billion. This allows shareholders to hold on to 303.04M with the recently reported earning now reading 0.88 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.94 cents a share).
Having a look at the company’s valuation, the company is expected to record 3.33 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on LKQ sounds very interesting.
Is the stock of LKQ attractive?
In related news, Director, Hanser Robert M. sold 1,386 shares of the company’s stock in a transaction that recorded on May 12. The sale was performed at an average price of 48.62, for a total value of 67,386. As the sale deal closes, the Director, HOLSTEN JOSEPH M now sold 70,000 shares of the company’s stock, valued at 2,605,939. Also, SVP — CIO, Brooks Michael T. sold 134 shares of the company’s stock in a deal that was recorded on Jul 14. The shares were price at an average price of 25.84 per share, with a total market value of 3,462. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.50%.
7 out of 12 analysts covering the stock have rated it a Buy, while 2 have maintained a Hold recommendation on LKQ Corporation. 0 analysts has assigned a Sell rating on the LKQ stock. The 12-month mean consensus price target for the company’s shares has been set at $57.13.