Genuine Parts

Genuine Parts grew earnings 10.5% in the past, and the current forecast says 2.0%.

If you own GPC, your dividend looks steady, but your growth engine is slowing.

gpc

consumer large cap updated jan 16, 2026
$123.38
market cap ~$17B · 52-week range $104–$144
xvary composite: 64 / 100 · average
our overall rating — combines growth, value, risk, and momentum
Start here if you're new
what it is
It supplies replacement parts to repair shops and factories, so broken cars and machines get fixed fast.
how it gets paid
Last year Genuine Parts made $24.3B in revenue. automotive replacement parts was the main engine at $13.7B, or 56% of sales.
why it's growing
Revenue grew 3.5% last year. Company filings showed revenue of $18.3B, EPS of $4.85, and gross margin of 37.4%, which clashes with the consensus snapshot.
what just happened
The quarter was about the miss: consensus pegged earnings at $1.92, and GPC delivered $1.55.
At a glance
A balance sheet — strong enough to weather a downturn
85/100 earnings predictability — you can trust these numbers
15.9x trailing p/e — the market's not buying it — or you found a deal
3.4% dividend yield — cash in your pocket every quarter
14.5% return on capital — nothing to write home about
xvary composite: 64/100 — average
What they do
It supplies replacement parts to repair shops and factories, so broken cars and machines get fixed fast.
When your car is stuck on a lift, you do not wait three days for a part. GPC built that urgency into a network spanning 15 countries and about 60,000 employees. That reach keeps customers close because your downtime costs more than the part.
consumer large-cap distribution aftermarket-parts income
How they make money
$24.3B annual revenue · their business grew +3.5% last year
automotive replacement parts
$13.7B
+5.0%
automotive tools and equipment
$1.6B
+5.0%
industrial replacement parts
$7.5B
+4.6%
industrial materials and supplies
$1.5B
+4.6%
The products that matter
distributes aftermarket auto parts
Automotive Parts
$4.0B latest-quarter sales · +5.0%
this was the larger of the two segments disclosed in the latest quarter, with $4.0B in sales and 8.4% segment EBITDA margin. this is still the center of gravity.
largest segment
supplies industrial replacement parts
Industrial Parts
$2.3B latest-quarter sales · +4.6%
industrial sales reached $2.3B in the latest quarter, and EBITDA margin was 12.6%. smaller than automotive, but more profitable on the numbers shown here.
higher margin
moves replacement parts at scale
Distribution Network
$24.3B company revenue · 4.6% net margin
the real product is availability. a $24.3B network that only keeps 4.6 cents on each revenue dollar has to be good at logistics, inventory, and execution just to stand still.
execution business
Key numbers
2.0%
earnings growth
That is the projected profit growth rate, down from a 10.5% historical pace, which tells you the business is getting harder to expand.
15.9x
trailing p/e
You are paying about 15.9 years of trailing earnings for the stock, which is not expensive if profits stabilize.
14.5%
return on capital
Return on capital means profit generated from money invested in the business. At 14.5%, GPC still turns investment into real earnings better than many distributors.
3.4%
dividend yield
Your cash payout is 3.4% a year before any price change, which gives you some patience while the growth story resets.
Financial health
A
strength
  • balance sheet grade A — very strong financial position
  • risk rank 2 — safer than 80% of stocks
  • price stability 85 / 100
  • long-term debt $3.7B (18% of capital)
  • net profit margin 4.6% — keeps 5 cents of every dollar in revenue
  • return on equity 26% — $0.26 profit for every $1 investors have put in
A with balance sheet grade and risk rank standing out. your money faces less risk here than at most public companies.
Total return vs. market

You invested $10,000 in GPC 3 years ago → it's now worth $7,970.

The index would have given you $14,770.

source: institutional data · total return
What just happened
missed estimates
The quarter was about the miss: consensus pegged earnings at $1.92, and GPC delivered $1.55.
Company filings showed revenue of $18.3B, EPS of $4.85, and gross margin of 37.4%, which clashes with the consensus snapshot. The clean takeaway is simpler: investors saw a 19.27% earnings miss in a year already marked by slower profit growth.
$6.1B
revenue
$4.85
eps
37.4%
gross margin
the number that mattered
The number that mattered was the 19.27% miss versus estimates, because a slow-growth stock gets judged hardest when it stops clearing easy bars.
source: company earnings report, 2026

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What could go wrong

the #1 risk is margin pressure in a 4.6% net margin distribution business.

med
low-margin math cuts both ways
Genuine Parts generated $24.3B in revenue but only a 4.6% net margin. That means small cost misses, pricing pressure, or mix deterioration can hit profits fast.
When you only keep about 5 cents of every dollar, you do not have much room for operational sloppiness.
med
underlying growth is not as strong as the headline
Automotive sales rose 5.0% in the latest quarter, but only 1.6% came from comparative sales. Another 2.3% came from acquisitions and 1.1% from currency.
If acquisitions and FX stop helping, you are left with a much slower organic engine.
med
activist involvement raises the execution bar
The source data flags collaboration with Elliott Management affecting roughly 7% of $15B in global purchasing. That may improve efficiency, but it also means procurement changes will be watched closely.
This is not existential risk. It is execution risk layered onto a business where efficiency already does most of the heavy lifting.
With $24.3B in revenue and only a 4.6% net margin, the combined risk picture is simple: GPC does not need a collapse to disappoint you. It just needs costs, mix, or organic growth to go the wrong way for a couple of quarters.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
can revenue actually clear $25B
The FY2026 estimate is $25B versus $24.3B last year. That is the next proof point for whether this remains a slow grinder or slows even more.
risk
watch the 4.6% net margin
This is the number with the least room for error. In a distribution business, a little margin pressure can do a lot of damage to EPS.
earnings
latest quarter industrial margin hit 12.6%
That is better than automotive's 8.4%. If the business mix tilts toward industrial, profitability can improve even without much extra growth.
trend
institutions have been net buyers for two straight quarters
The count was 520 buyers versus 439 sellers in 3q2025. That is not a guarantee, but it tells you big money has not abandoned the name.
Analyst rankings
short-term outlook
below average
momentum score 4 — in human-speak, analysts do not expect this to be a near-term hero.
risk profile
above average
stability score 2 — safer than roughly 80% of stocks. This is a business-quality signal, not a growth signal.
chart momentum
top 20%
technical score 2 — the chart looks better than the short-term fundamental ranking. Welcome to the part where models disagree.
earnings predictability
85 / 100
management tends to deliver what the market expects. That lowers drama, which also lowers the odds of a sudden rerating.
source: institutional data
Institutional activity

institutions have been net buying for 2 consecutive quarters — 520 buyers vs. 439 sellers in 3q2025. total institutional holdings: 0.1B shares. net buying for 2 quarters.

source: institutional data
Price targets
3-5 year target range
$100 $166
$123 current price
$133 target midpoint · +8% from current · 3-5yr high: $195 (+60% · 15% ann'l return)
source: institutional data · analyst targets

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