Analysts Raise Genuine Parts Targets to $162 and $155 on Q3 Momentum
Truist raised its price target on Genuine Parts Company to $162 from $146 and Evercore lifted its target to $155 from $150, both maintaining buy ratings. In Q3, the company generated $6.3 billion in sales, up 5%, with gross margin expanding 60 basis points and adjusted EBITDA rising 10%.
1. Analyst Price Target Revisions
Genuine Parts Company saw Truist raise its price target to $162 from $146 and maintain a Buy rating, while Evercore increased its target to $155 from $150 and kept an Outperform rating, reflecting confidence in sustained operational momentum.
2. Q3 Financial Performance
In the third quarter the company posted $6.3 billion in revenue, a 5% year-over-year increase, with gross margin up 60 basis points and adjusted EBITDA climbing 10%, supporting a 5% gain in adjusted EPS to $1.98.
3. Segment Momentum
U.S. Automotive comparable sales improved sequentially, aided by same-SKU inflation, and the Industrial segment continued its recovery from Q3, indicating stabilization of demand trends across core businesses.
4. Expansion via Acquisitions
The company expanded its footprint by acquiring more than 85 independent locations and agreed to purchase Benson Auto Parts’ 85 stores in Ontario and Quebec, enhancing U.S. and Canadian market presence.