LKQ (NASDAQ:LKQ) Stock Moved Down to Market Perform by Barrington Research

LKQ (NASDAQ:LKQ) was downgraded by investment analysts at Barrington Research from an “outperform” rating to a “market perform” rating in a research note issued on Friday, MarketBeat Ratings reports.

LKQ has been the topic of a number of other reports. Robert W. Baird set a $30.00 price target on LKQ in a research note on Friday, July 31st. Roth Capital set a $35.00 target price on LKQ in a research note on Monday, August 3rd. Weiss Ratings lowered shares of LKQ from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, August 13th. Zacks Research downgraded shares of LKQ from a “hold” rating to a “strong sell” rating in a research note on Monday, August 3rd. Finally, JPMorgan Chase & Co. cut their price target on shares of LKQ from $30.00 to $27.00 and set an “overweight” rating on the stock in a report on Thursday, October 8th. Four investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, LKQ has an average rating of “Hold” and a consensus price target of $30.50.

LKQ Stock Down 22.5%

NASDAQ:LKQ traded down $5.05 on Friday, reaching $17.42. 23,397,309 shares of the stock traded hands, compared to its average volume of 3,260,149. The company’s fifty day simple moving average is $23.56 and its 200 day simple moving average is $25.66. LKQ has a 12 month low of $17.21 and a 12 month high of $37.13. The company has a market capitalization of $4.41 billion, a price-to-earnings ratio of 9.68 and a beta of 0.87. The company has a current ratio of 1.58, a quick ratio of 0.61 and a debt-to-equity ratio of 0.52.

LKQ (NASDAQ:LKQ) last issued its quarterly earnings results on Thursday, July 30th. The auto parts company reported $0.67 EPS for the quarter, missing analysts’ consensus estimates of $0.71 by ($0.04). The company had revenue of $3.41 billion during the quarter, compared to analysts’ expectations of $3.48 billion. LKQ had a return on equity of 10.84% and a net margin of 3.37%. The business’s quarterly revenue was down 3.0% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.87 EPS. LKQ has set its FY 2026 guidance at 2.600-2.900 EPS. Equities analysts predict that LKQ will post 2.65 EPS for the current fiscal year.

Hedge Funds Weigh In On LKQ

Several large investors have recently modified their holdings of the business. Harbor Investment Advisory LLC grew its position in LKQ by 260.0% in the first quarter. Harbor Investment Advisory LLC now owns 900 shares of the auto parts company’s stock worth $26,000 after acquiring an additional 650 shares in the last quarter. Root Financial Partners LLC boosted its stake in LKQ by 142.4% during the 1st quarter. Root Financial Partners LLC now owns 1,217 shares of the auto parts company’s stock valued at $36,000 after purchasing an additional 715 shares during the last quarter. Northwestern Mutual Wealth Management Co. bought a new position in LKQ during the second quarter valued at approximately $25,000. Cedar Mountain Advisors LLC bought a new position in LKQ in the first quarter worth approximately $28,000. Finally, Global Retirement Partners LLC purchased a new position in LKQ during the second quarter valued at approximately $25,000. Institutional investors own 95.63% of the company’s stock.

Key Headlines Impacting LKQ

Here are the key news stories impacting LKQ this week:

• Positive Sentiment: New CEO appointed: Salvatore A. Abbate, described as an experienced distribution executive, will become president and CEO on December 15, potentially improving execution and providing a fresh start. LKQ appoints Salvatore A. Abbate as CEO
• Positive Sentiment: Turnaround support added: LKQ retained Alvarez & Marsal to advise on its European operations, which could accelerate corrective actions related to execution and profitability. LKQ preliminary third-quarter results and operational actions
• Neutral Sentiment: Full results pending: LKQ plans to release complete third-quarter results on October 29, which should provide more detail on the European disruption and the company’s recovery plans.
• Negative Sentiment: Preliminary results missed expectations: Revenue was approximately $3.32 billion, down from $3.50 billion a year earlier and below the roughly $3.4 billion consensus. LKQ expects a net loss of $16 million to $32 million and adjusted diluted EPS of $0.47–$0.53, versus an analyst estimate near $0.69. LKQ preliminary Q3 results
• Negative Sentiment: Europe is the primary problem: European parts-and-services organic revenue fell 9.8%, reflecting an ERP implementation disruption in Germany and lower volumes in the United Kingdom and Benelux. The segment’s expected EBITDA margin was only 4.1%–5.1%.
• Negative Sentiment: Visibility has weakened: LKQ withdrew its full-year 2026 financial guidance. CEO Justin Jude and LKQ Europe chief Andy Hamilton also departed, increasing uncertainty during the turnaround. LKQ pulls 2026 guidance and names new CEO
• Negative Sentiment: Analyst sentiment deteriorated: Barrington Research downgraded LKQ from “outperform” to “market perform.” A law firm also announced an investigation into whether investors were misled about European operations and the German software rollout.

About LKQ

LKQ Corporation is a global distributor of automotive parts and accessories. The company supplies replacement parts, components and equipment to professional repair shops, collision-repair businesses, insurers, dealerships and other commercial customers. Its product offerings include recycled original-equipment parts, aftermarket parts, specialty vehicle products, tools and equipment.

LKQ’s operations include the procurement, dismantling and distribution of salvaged vehicles, allowing it to provide recycled engines, transmissions, body panels and other components.