(LKQ) LKQ - Overview
Sector: Consumer Cyclical | Industry: Auto Parts | Exchange: NASDAQ (USA) | Market Cap: 6.918m USD | Total Return: -29.9% in 12m
Avg Turnover: 96.9M
EPS Trend: -96.4%
Qual. Beats: 0
Rev. Trend: 41.5%
Qual. Beats: 0
Warnings
Choppy Below Avwap Earnings
Tailwinds
No distinct edge detected
LKQ Corporation is a global distributor of replacement parts, components, and systems for vehicle repair and maintenance. Operating across North America and Europe, the company segments its business into Wholesale-North America, Europe, Specialty, and Self Service. Its inventory includes recycled OEM parts, aftermarket collision and mechanical components, and specialty accessories for recreational and marine vehicles.
The company utilizes a circular economy business model by acquiring salvage vehicles to harvest mechanical and collision parts while selling remaining scrap and precious metals to recyclers. This integrated approach allows LKQ to serve a diverse client base including professional collision centers, mechanical repair shops, and automotive dealerships. The automotive aftermarket sector is traditionally defensive, as vehicle aging and repair cycles often remain consistent regardless of broader economic volatility.
For a deeper dive into these fundamentals, you might find the data on ValueRay useful for your process. LKQ’s expansive logistics network across more than a dozen countries supports its position as a primary alternative to high-cost original equipment manufacturer (OEM) parts.
- Collision repair demand fluctuates with total miles driven and accident frequency rates
- European market consolidation and margin expansion drive long-term earnings growth
- Fluctuating scrap metal prices impact profitability in self-service and salvage operations
- Alternative parts utilization rates by insurance carriers dictate North American revenue
- Strategic acquisitions and integration efficiency influence overall corporate debt and cash flow
| Net Income: 517.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA 1.68 > 1.0 |
| NWC/Revenue: 13.85% < 20% (prev 12.92%; Δ 0.93% < -1%) |
| CFO/TA 0.07 > 3% & CFO 1.01b > Net Income 517.0m |
| Net Debt (6.29b) to EBITDA (1.37b): 4.58 < 3 |
| Current Ratio: 1.54 > 1.5 & < 3 |
| Outstanding Shares: last quarter (255.9m) vs 12m ago -1.43% < -2% |
| Gross Margin: 37.68% > 18% (prev 0.39%; Δ 3.73k% > 0.5%) |
| Asset Turnover: 90.97% > 50% (prev 91.25%; Δ -0.28% > 0%) |
| Interest Coverage Ratio: 4.50 > 6 (EBITDA TTM 1.37b / Interest Expense TTM 215.0m) |
| A: 0.13 (Total Current Assets 5.47b - Total Current Liabilities 3.55b) / Total Assets 15.1b |
| B: 0.53 (Retained Earnings 7.96b / Total Assets 15.1b) |
| C: 0.06 (EBIT TTM 968.0m / Avg Total Assets 15.3b) |
| D: 0.91 (Book Value of Equity 7.83b / Total Liabilities 8.65b) |
| Altman-Z'' = 3.93 = AA |
| DSRI: 1.05 (Receivables 1.46b/1.41b, Revenue 13.9b/14.1b) |
| GMI: 1.04 (GM 37.68% / 39.22%) |
| AQI: 0.98 (AQ_t 0.46 / AQ_t-1 0.47) |
| SGI: 0.99 (Revenue 13.9b / 14.1b) |
| TATA: -0.03 (NI 517.0m - CFO 1.01b) / TA 15.1b) |
| Beneish M = -3.00 (Cap -4..+1) = AA |
As of May 30, 2026, the stock is trading at USD 27.12 with a total of 2,231,709 shares traded.
Over the past week, the price has changed by +0.89%,
over one month by -10.51%,
over three months by -16.32% and
over the past year by -29.85%.
LKQ has received a consensus analysts rating of 4.13. Therefore, it is recommended to buy LKQ.
- StrongBuy: 2
- Buy: 5
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 40.8 | 50.5% |
P/E Trailing = 13.575
P/E Forward = 9.0744
P/S = 0.5015
P/B = 1.0694
P/EG = 0.9499
Revenue TTM = 13.9b USD
EBIT TTM = 968.0m USD
EBITDA TTM = 1.37b USD
Long Term Debt = 3.31b USD (from longTermDebt, last quarter)
Short Term Debt = 786.0m USD (from shortTermDebt, last quarter)
Debt = 6.63b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.39b
Net Debt = 6.29b USD (calculated: Debt 6.63b - CCE 335.0m)
Enterprise Value = 13.2b USD (6.92b + Debt 6.63b - CCE 335.0m)
Interest Coverage Ratio = 4.50 (Ebit TTM 968.0m / Interest Expense TTM 215.0m)
EV/FCF = 16.35x (Enterprise Value 13.2b / FCF TTM 808.0m)
FCF Yield = 6.12% (FCF TTM 808.0m / Enterprise Value 13.2b)
FCF Margin = 5.80% (FCF TTM 808.0m / Revenue TTM 13.9b)
Net Margin = 3.71% (Net Income TTM 517.0m / Revenue TTM 13.9b)
Gross Margin = 37.68% ((Revenue TTM 13.9b - Cost of Revenue TTM 8.68b) / Revenue TTM)
Gross Margin QoQ = 38.37% (prev 35.08%)
Tobins Q-Ratio = 0.87 (Enterprise Value 13.2b / Total Assets 15.1b)
Interest Expense / Debt = 3.24% (Interest Expense 215.0m / Debt 6.63b)
Taxrate = 26.35% (44.0m / 167.0m)
NOPAT = 713.0m (EBIT 968.0m * (1 - 26.35%))
Current Ratio = 1.54 (Total Current Assets 5.47b / Total Current Liabilities 3.55b)
Debt / Equity = 1.02 (Debt 6.63b / totalStockholderEquity, last quarter 6.47b)
Debt / EBITDA = 4.58 (Net Debt 6.29b / EBITDA 1.37b)
Debt / FCF = 7.79 (Net Debt 6.29b / FCF TTM 808.0m)
Total Stockholder Equity = 6.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.38% (Net Income 517.0m / Total Assets 15.1b)
RoE = 7.93% (Net Income TTM 517.0m / Total Stockholder Equity 6.52b)
RoCE = 9.85% (EBIT 968.0m / Capital Employed (Equity 6.52b + L.T.Debt 3.31b))
RoIC = 5.77% (NOPAT 713.0m / Invested Capital 12.4b)
WACC = 4.99% (E(6.92b)/V(13.5b) * Re(7.48%) + D(6.63b)/V(13.5b) * Rd(3.24%) * (1-Tc(0.26)))
Discount Rate = 7.48% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -2.05%
[DCF] Terminal Value 77.97% ; FCFF base≈711.2m ; Y1≈815.3m ; Y5≈1.20b
[DCF] Fair Price = 46.17 (EV 18.1b - Net Debt 6.29b = Equity 11.8b / Shares 254.8m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -96.45 | EPS CAGR: -8.33% | SUE: 0.0 | # QB: 0
Revenue Correlation: 41.55 | Revenue CAGR: 1.55% | SUE: 0.70 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.71 | Chg30d=-8.79% | Revisions=-54% | Analysts=9
EPS next Quarter (2026-09-30): EPS=0.85 | Chg30d=-0.12% | Revisions=+8% | Analysts=9
EPS current Year (2026-12-31): EPS=2.97 | Chg30d=-1.68% | Revisions=-60% | GrowthEPS=-1.4% | GrowthRev=+1.9%
EPS next Year (2027-12-31): EPS=3.32 | Chg30d=+0.45% | Revisions=-9% | GrowthEPS=+12.0% | GrowthRev=+2.3%
[Analyst] Revisions Ratio: -60%