Back to top

Image: Bigstock

Genuine Parts (GPC) Q1 Earnings and Revenues Top Estimates

Read MoreHide Full Article

Genuine Parts Company (GPC - Free Report) , based in Atlanta, GA, distributes automotive and industrial replacement parts, office products and electrical/electronic materials in the U.S., Canada and Mexico.

Rising competition in the industries in which Genuine Parts operates poses a challenge for the company. The company is also facing challenges in the non-automotive business. Weak operating results are a challenge for Genuine Parts. In addition, high level of inventory poses a concern.

Estimate Trend & Surprise History

Investors should note that the first-quarter 2017 earnings estimate for Genuine Parts has been declining over the past two months.

The company has a mixed record of earnings surprises. It has surpassed the Zacks Consensus Estimate in two of the trailing four quarters and missed in two, leading to an average miss of around 0.62%. Thus investors are eagerly awaiting Genuine Parts latest earnings report.

Genuine Parts Company Price and EPS Surprise

 

Genuine Parts Company Price and EPS Surprise | Genuine Parts Company Quote

Zacks Rank

Genuine Parts currently has a Zacks Rank #4 (Sell), but that could change following its earnings report which was just released. We have highlighted some of the key stats from this earnings announcement below:

Earnings

Genuine Parts’ earnings were $1.08 per share in the first quarter of 2017, higher than $1.05 recorded in the year ago quarter. Moreover, earnings per share surpassed the Zacks Consensus Estimate of $1.05.

Revenues

Genuine Parts reported revenues of $3.91 billion, up 5% year over year. Revenues also surpassed the Zacks Consensus Estimate of $3.87 billion.

Key Stats/Developments to Note

For 2017, Genuine Parts continues to expect annual revenue to increase 3% to 4%. Earnings per share in 2017 is expected to be in the range of $4.75–$4.85, up from the prior expectation of $4.70–$4.80.

Genuine Parts has entered into a definitive agreement to acquire Merle's Automotive Supply, an automotive parts distributor spread over 14 locations. The acquisition is expected to generate annual revenues of $45 million.

Market Reaction

Genuine Parts' shares have risen roughly 1.8% till now. It would be interesting to see how the market reacts to the results during the trading session today.

Check back later for our full write up on Genuine Parts’ earnings report!

5 Trades Could Profit "Big-League" from Trump Policies

If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Genuine Parts Company (GPC) - free report >>

Published in