33.32 USD
+0.12 (+0.36%)
33.32 USD
0 (0%)
LKQ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 21 industry peers in the Distributors industry. While LKQ belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. LKQ has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
- In the past year LKQ was profitable.
- LKQ had a positive operating cash flow in the past year.
- In the past 5 years LKQ has always been profitable.
- LKQ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 4.47%, LKQ is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- With a decent Return On Equity value of 10.63%, LKQ is doing good in the industry, outperforming 66.67% of the companies in the same industry.
- LKQ has a Return On Invested Capital of 7.40%. This is comparable to the rest of the industry: LKQ outperforms 57.14% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for LKQ is significantly below the industry average of 15.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 10.63% | ||
| ROIC | 7.4% |
ROA(3y)6.79%
ROA(5y)6.84%
ROE(3y)15.91%
ROE(5y)15.58%
ROIC(3y)9.3%
ROIC(5y)9.18%
1.3 Margins
- Looking at the Profit Margin, with a value of 4.99%, LKQ is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
- LKQ's Profit Margin has improved in the last couple of years.
- LKQ has a better Operating Margin (8.69%) than 76.19% of its industry peers.
- LKQ's Operating Margin has improved in the last couple of years.
- LKQ has a better Gross Margin (39.07%) than 90.48% of its industry peers.
- In the last couple of years the Gross Margin of LKQ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.69% | ||
| PM (TTM) | 4.99% | ||
| GM | 39.07% |
OM growth 3Y-6.3%
OM growth 5Y3.68%
PM growth 3Y-16.76%
PM growth 5Y2.13%
GM growth 3Y-1.22%
GM growth 5Y0.2%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LKQ is destroying value.
- The number of shares outstanding for LKQ has been reduced compared to 1 year ago.
- LKQ has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, LKQ has an improved debt to assets ratio.
2.2 Solvency
- LKQ has an Altman-Z score of 2.60. This is not the best score and indicates that LKQ is in the grey zone with still only limited risk for bankruptcy at the moment.
- LKQ has a Altman-Z score (2.60) which is comparable to the rest of the industry.
- LKQ has a debt to FCF ratio of 5.75. This is a neutral value as LKQ would need 5.75 years to pay back of all of its debts.
- The Debt to FCF ratio of LKQ (5.75) is better than 61.90% of its industry peers.
- A Debt/Equity ratio of 0.55 indicates that LKQ is somewhat dependend on debt financing.
- The Debt to Equity ratio of LKQ (0.55) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.75 | ||
| Altman-Z | 2.6 |
ROIC/WACC0.78
WACC9.46%
2.3 Liquidity
- A Current Ratio of 1.60 indicates that LKQ should not have too much problems paying its short term obligations.
- LKQ's Current ratio of 1.60 is in line compared to the rest of the industry. LKQ outperforms 52.38% of its industry peers.
- LKQ has a Quick Ratio of 1.60. This is a bad value and indicates that LKQ is not financially healthy enough and could expect problems in meeting its short term obligations.
- LKQ's Quick ratio of 0.67 is on the low side compared to the rest of the industry. LKQ is outperformed by 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
- The earnings per share for LKQ have decreased by -6.25% in the last year.
- The Earnings Per Share has been growing by 8.08% on average over the past years. This is quite good.
- LKQ shows a decrease in Revenue. In the last year, the revenue decreased by -3.71%.
- The Revenue has been growing slightly by 2.80% on average over the past years.
EPS 1Y (TTM)-6.25%
EPS 3Y-4.22%
EPS 5Y8.08%
EPS Q2Q%-4.55%
Revenue 1Y (TTM)-3.71%
Revenue growth 3Y3.13%
Revenue growth 5Y2.8%
Sales Q2Q%-2.37%
3.2 Future
- Based on estimates for the next years, LKQ will show a small growth in Earnings Per Share. The EPS will grow by 6.68% on average per year.
- LKQ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.24% yearly.
EPS Next Y-9.77%
EPS Next 2Y-2.63%
EPS Next 3Y-0.74%
EPS Next 5Y6.68%
Revenue Next Year-4.61%
Revenue Next 2Y-1.42%
Revenue Next 3Y-0.39%
Revenue Next 5Y2.24%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- LKQ is valuated reasonably with a Price/Earnings ratio of 10.10.
- Based on the Price/Earnings ratio, LKQ is valued cheaply inside the industry as 90.48% of the companies are valued more expensively.
- LKQ's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.30.
- Based on the Price/Forward Earnings ratio of 10.10, the valuation of LKQ can be described as reasonable.
- 100.00% of the companies in the same industry are more expensive than LKQ, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.04. LKQ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.1 | ||
| Fwd PE | 10.1 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LKQ indicates a rather cheap valuation: LKQ is cheaper than 85.71% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, LKQ is valued a bit cheaper than 61.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.81 | ||
| EV/EBITDA | 7.6 |
4.3 Compensation for Growth
- LKQ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.25
EPS Next 2Y-2.63%
EPS Next 3Y-0.74%
5. Dividend
5.1 Amount
- LKQ has a Yearly Dividend Yield of 3.64%.
- Compared to an average industry Dividend Yield of 0.98, LKQ pays a better dividend. On top of this LKQ pays more dividend than 95.24% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.92, LKQ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.64% |
5.2 History
- LKQ has been paying a dividend for over 5 years, so it has already some track record.
- LKQ has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- LKQ pays out 44.76% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP44.76%
EPS Next 2Y-2.63%
EPS Next 3Y-0.74%
33.32
+0.12 (+0.36%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)10-30 2025-10-30/bmo
Earnings (Next)02-19 2026-02-19/amc
Inst Owners106.3%
Inst Owner Change-0.16%
Ins Owners0.35%
Ins Owner Change0.56%
Market Cap8.53B
Revenue(TTM)13.96B
Net Income(TTM)697.00M
Analysts81.33
Price Target41.78 (25.39%)
Short Float %4.73%
Short Ratio2.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.64% |
Yearly Dividend1.21
Dividend Growth(5Y)N/A
DP44.76%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.76%
Min EPS beat(2)-6.63%
Max EPS beat(2)10.16%
EPS beat(4)3
Avg EPS beat(4)2.65%
Min EPS beat(4)-6.63%
Max EPS beat(4)10.16%
EPS beat(8)4
Avg EPS beat(8)-0.26%
EPS beat(12)5
Avg EPS beat(12)-1.34%
EPS beat(16)8
Avg EPS beat(16)0.5%
Revenue beat(2)0
Avg Revenue beat(2)-1.57%
Min Revenue beat(2)-2.13%
Max Revenue beat(2)-1.01%
Revenue beat(4)0
Avg Revenue beat(4)-2.27%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-1.01%
Revenue beat(8)0
Avg Revenue beat(8)-2.56%
Revenue beat(12)2
Avg Revenue beat(12)-1.73%
Revenue beat(16)4
Avg Revenue beat(16)-1.66%
PT rev (1m)-3.36%
PT rev (3m)-5.41%
EPS NQ rev (1m)0.88%
EPS NQ rev (3m)-6.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.36%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)-2.21%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.1 | ||
| Fwd PE | 10.1 | ||
| P/S | 0.61 | ||
| P/FCF | 11.81 | ||
| P/OCF | 8.81 | ||
| P/B | 1.3 | ||
| P/tB | 1218.42 | ||
| EV/EBITDA | 7.6 |
EPS(TTM)3.3
EY9.9%
EPS(NY)3.3
Fwd EY9.9%
FCF(TTM)2.82
FCFY8.47%
OCF(TTM)3.78
OCFY11.35%
SpS54.54
BVpS25.6
TBVpS0.03
PEG (NY)N/A
PEG (5Y)1.25
Graham Number43.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 10.63% | ||
| ROCE | 10.09% | ||
| ROIC | 7.4% | ||
| ROICexc | 7.59% | ||
| ROICexgc | 17.17% | ||
| OM | 8.69% | ||
| PM (TTM) | 4.99% | ||
| GM | 39.07% | ||
| FCFM | 5.17% |
ROA(3y)6.79%
ROA(5y)6.84%
ROE(3y)15.91%
ROE(5y)15.58%
ROIC(3y)9.3%
ROIC(5y)9.18%
ROICexc(3y)9.54%
ROICexc(5y)9.42%
ROICexgc(3y)21.74%
ROICexgc(5y)20.87%
ROCE(3y)12.68%
ROCE(5y)12.51%
ROICexgc growth 3Y-5.75%
ROICexgc growth 5Y4.73%
ROICexc growth 3Y-8.2%
ROICexc growth 5Y3.17%
OM growth 3Y-6.3%
OM growth 5Y3.68%
PM growth 3Y-16.76%
PM growth 5Y2.13%
GM growth 3Y-1.22%
GM growth 5Y0.2%
F-Score5
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.75 | ||
| Debt/EBITDA | 2.22 | ||
| Cap/Depr | 58.85% | ||
| Cap/Sales | 1.76% | ||
| Interest Coverage | 5.05 | ||
| Cash Conversion | 59.35% | ||
| Profit Quality | 103.59% | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 2.6 |
F-Score5
WACC9.46%
ROIC/WACC0.78
Cap/Depr(3y)90.97%
Cap/Depr(5y)86.79%
Cap/Sales(3y)2.16%
Cap/Sales(5y)2.04%
Profit Quality(3y)104.5%
Profit Quality(5y)122.23%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.25%
EPS 3Y-4.22%
EPS 5Y8.08%
EPS Q2Q%-4.55%
EPS Next Y-9.77%
EPS Next 2Y-2.63%
EPS Next 3Y-0.74%
EPS Next 5Y6.68%
Revenue 1Y (TTM)-3.71%
Revenue growth 3Y3.13%
Revenue growth 5Y2.8%
Sales Q2Q%-2.37%
Revenue Next Year-4.61%
Revenue Next 2Y-1.42%
Revenue Next 3Y-0.39%
Revenue Next 5Y2.24%
EBIT growth 1Y-9%
EBIT growth 3Y-3.37%
EBIT growth 5Y6.58%
EBIT Next Year12.78%
EBIT Next 3Y6.44%
EBIT Next 5Y7.5%
FCF growth 1Y-32.96%
FCF growth 3Y-8.96%
FCF growth 5Y0.29%
OCF growth 1Y-30.06%
OCF growth 3Y-6.4%
OCF growth 5Y1.05%
LKQ CORP / LKQ FAQ
What is the ChartMill fundamental rating of LKQ CORP (LKQ) stock?
ChartMill assigns a fundamental rating of 5 / 10 to LKQ.
What is the valuation status for LKQ stock?
ChartMill assigns a valuation rating of 7 / 10 to LKQ CORP (LKQ). This can be considered as Undervalued.
What is the profitability of LKQ stock?
LKQ CORP (LKQ) has a profitability rating of 7 / 10.
How financially healthy is LKQ CORP?
The financial health rating of LKQ CORP (LKQ) is 4 / 10.
How sustainable is the dividend of LKQ CORP (LKQ) stock?
The dividend rating of LKQ CORP (LKQ) is 5 / 10 and the dividend payout ratio is 44.76%.