Genuine Parts (NYSE:GPC) Shares Gap Down After Earnings Miss

Genuine Parts Company (NYSE:GPC) gapped down before the market opened on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $147.16, but opened at $137.38. Genuine Parts shares last traded at $128.9980, with a volume of 524,032 shares changing hands.

The specialty retailer reported $1.55 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.80 by ($0.25). Genuine Parts had a net margin of 3.36% and a return on equity of 22.57%. During the same quarter last year, the firm earned $1.61 earnings per share. The company’s revenue was up 4.1% on a year-over-year basis. Genuine Parts has set its FY 2026 guidance at 7.500-8.000 EPS.

Key Headlines Impacting Genuine Parts

Here are the key news stories impacting Genuine Parts this week:

• Positive Sentiment: Company announced a plan to separate into two publicly traded businesses (Global Automotive and Global Industrial). Management says the separation is tax‑free, targeted to complete in Q1 2027 and intended to unlock shareholder value and sharpen strategic focus. Article Title
• Positive Sentiment: Declared a dividend increase, marking the company’s 70th consecutive year of dividend growth — a sign of management confidence and shareholder returns. Article Title
• Neutral Sentiment: Revenue grew ~4.1% year‑over‑year in Q4, showing underlying top‑line expansion, though details and comparability will matter as investors parse margins and segment performance. Article Title
• Neutral Sentiment: Company plans investor days in H2 2026 for both new companies and held a conference call/posted slides today — these presentations will be important for details on separation timing, cost estimates, and pro forma financials. Article Title
• Negative Sentiment: Q4 EPS of $1.55 missed consensus (Zacks/Street ~ $1.79–$1.80) and declined vs prior year $1.61 — the earnings shortfall is the immediate catalyst for the sell‑off. Article Title
• Negative Sentiment: FY‑2026 EPS guidance of $7.50–$8.00 came in below the consensus (~$8.41), raising questions on margins and growth assumptions for the combined business going forward. Article Title
• Negative Sentiment: Media and market coverage note the stock dropped sharply on the combined effect of the earnings miss and below‑consensus guidance. Monitor near‑term volatility and analyst reactions. Article Title

Wall Street Analyst Weigh In

GPC has been the topic of several recent analyst reports. Truist Financial boosted their target price on Genuine Parts from $146.00 to $162.00 and gave the stock a “buy” rating in a research report on Thursday, February 12th. The Goldman Sachs Group raised Genuine Parts from a “sell” rating to a “neutral” rating and upped their price objective for the stock from $130.00 to $142.00 in a report on Thursday, November 13th. JPMorgan Chase & Co. raised their target price on Genuine Parts from $145.00 to $150.00 and gave the company an “overweight” rating in a report on Thursday, October 23rd. Evercore set a $175.00 price target on shares of Genuine Parts in a report on Wednesday, February 11th. Finally, UBS Group reiterated a “neutral” rating on shares of Genuine Parts in a research note on Wednesday, February 11th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $154.83.

Institutional Trading of Genuine Parts

Several institutional investors and hedge funds have recently modified their holdings of GPC. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Genuine Parts by 3.9% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 17,717 shares of the specialty retailer’s stock valued at $2,111,000 after buying an additional 671 shares in the last quarter. Woodline Partners LP boosted its stake in shares of Genuine Parts by 40.7% during the first quarter. Woodline Partners LP now owns 11,746 shares of the specialty retailer’s stock valued at $1,399,000 after acquiring an additional 3,396 shares during the last quarter. CWM LLC increased its position in Genuine Parts by 108.6% during the 2nd quarter. CWM LLC now owns 8,012 shares of the specialty retailer’s stock worth $972,000 after purchasing an additional 4,172 shares in the last quarter. Nordea Investment Management AB lifted its holdings in Genuine Parts by 8.1% in the 2nd quarter. Nordea Investment Management AB now owns 11,261 shares of the specialty retailer’s stock valued at $1,359,000 after purchasing an additional 845 shares in the last quarter. Finally, Stratos Wealth Partners LTD. lifted its holdings in Genuine Parts by 16.3% in the 2nd quarter. Stratos Wealth Partners LTD. now owns 2,771 shares of the specialty retailer’s stock valued at $336,000 after purchasing an additional 388 shares in the last quarter. Hedge funds and other institutional investors own 78.83% of the company’s stock.

Genuine Parts Price Performance

The company’s 50 day simple moving average is $133.74 and its 200-day simple moving average is $133.66. The company has a current ratio of 1.14, a quick ratio of 0.51 and a debt-to-equity ratio of 0.78. The company has a market capitalization of $18.09 billion, a price-to-earnings ratio of 22.14 and a beta of 0.74.

About Genuine Parts

Genuine Parts Company (NYSE: GPC) is a global distributor of automotive replacement parts, industrial parts and business products with a history dating back to 1928. Headquartered in Atlanta, Georgia, the company operates a broad distribution network and retail presence serving repair shops, independent retailers, industrial customers and commercial accounts. Its business model centers on stocking and delivering a wide range of parts and supplies to support aftermarket and maintenance needs across multiple end markets.

Genuine Parts conducts its operations through several well-known operating groups and subsidiaries.