One-glance verdict
Within fair range
$136.19 our estimate vs market $133.96
Wall Street consensus: $140.56 (3.2% higher than our fair-value estimate)
2% below our estimate
Fundamentals snapshot
Genuine Parts Company
GPC · NYQ · Consumer Cyclical · Auto Parts
Current price
$133.96
52-week range
$90.78 - $151.57
Market cap
$18.47B
Balance sheet
Stretched
7.43x Adequate
Net debt $6.09B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 3.2% last year.
- Reward Free cash flow was positive in 10/10 years.
- Risk Stock trades 579.6% above its 5-year average P/E.
- Risk Net debt grew 72.5% over 3 years.
What this company does
Genuine Parts Company
Genuine Parts Company is the business behind NAPA Auto Parts, selling replacement parts to keep cars, trucks, and industrial machinery running. The company makes most of its money by supplying essential items like brakes, filters, and industrial bearings to professional repair shops and factories. Because vehicles and equipment always need maintenance, this creates a steady demand for its products, which can lead to reliable revenue (the total money a company brings in from sales).
How the company got here
Genuine Parts Company (GPC) started in 1928 when Carlyle Fraser bought a small auto parts store in Atlanta, Georgia. A key move was its early and close association with the National Automotive Parts Association (NAPA), a network of independent parts stores, which helped it grow across the country. Over the decades, GPC expanded by purchasing other companies, including a major step into industrial parts in 1976 with the acquisition of Motion Industries. More recently, the company has focused on growing its automotive business in Europe and industrial presence in Australia through major acquisitions, while selling off unrelated businesses like office and electrical supplies to concentrate on its two main areas.
What it actually does
Genuine Parts Company is a large distributor, which means it's a middleman that gets replacement parts from manufacturers to the people and businesses who need them. Think of it as a massive warehouse and delivery service for things that keep vehicles and machinery running. You've likely seen their most famous brand, NAPA Auto Parts, which sells items like brakes, filters, and batteries for cars and trucks. They also own a large business called Motion that supplies parts for factory equipment, like bearings and motors, to keep manufacturing plants from having to shut down.
Automotive Parts Group
This is the company's largest business, making up more than half of its sales, and operates globally under well-known names like NAPA Auto Parts. It sells all kinds of replacement parts and accessories for cars, trucks, and other vehicles. Its main customers are professional repair shops and commercial fleets who need parts delivered quickly to fix their customers' vehicles. While you can walk into a NAPA store to buy a part yourself, the bulk of this segment's business comes from serving these professional mechanics.
Industrial Parts Group
Operating under the brand name Motion, this segment is a huge supplier of replacement parts for all kinds of machinery used in factories and industrial settings. It sells essential components like bearings, power transmission parts, and hydraulic systems to businesses in industries from food processing to equipment manufacturing. These customers pay for quick and reliable access to parts to handle maintenance, repair, and operations (MRO), which means fixing equipment to avoid costly factory shutdowns. This part of the company provides a steady business that is a little less than half of total sales.
What management is betting on now
Management has announced a major plan to split the company into two separate, publicly traded companies: one focused entirely on automotive parts (Global Automotive) and the other on industrial parts (Global Industrial). The goal is to allow each business to focus more sharply on its specific customers and markets, which they believe will unlock more value for investors. This separation is also intended to make each company's financial performance and strategic goals clearer to the public. For the industrial business, a key focus is on growing higher-value services like automation and engineered solutions, not just selling parts.
How the company got here
Genuine Parts Company (GPC) started in 1928 when Carlyle Fraser bought a small auto parts store in Atlanta, Georgia. A key move was its early and close association with the National Automotive Parts Association (NAPA), a network of independent parts stores, which helped it grow across the country. Over the decades, GPC expanded by purchasing other companies, including a major step into industrial parts in 1976 with the acquisition of Motion Industries. More recently, the company has focused on growing its automotive business in Europe and industrial presence in Australia through major acquisitions, while selling off unrelated businesses like office and electrical supplies to concentrate on its two main areas.
What it actually does
Genuine Parts Company is a large distributor, which means it's a middleman that gets replacement parts from manufacturers to the people and businesses who need them. Think of it as a massive warehouse and delivery service for things that keep vehicles and machinery running. You've likely seen their most famous brand, NAPA Auto Parts, which sells items like brakes, filters, and batteries for cars and trucks. They also own a large business called Motion that supplies parts for factory equipment, like bearings and motors, to keep manufacturing plants from having to shut down.
Automotive Parts Group
This is the company's largest business, making up more than half of its sales, and operates globally under well-known names like NAPA Auto Parts. It sells all kinds of replacement parts and accessories for cars, trucks, and other vehicles. Its main customers are professional repair shops and commercial fleets who need parts delivered quickly to fix their customers' vehicles. While you can walk into a NAPA store to buy a part yourself, the bulk of this segment's business comes from serving these professional mechanics.
Industrial Parts Group
Operating under the brand name Motion, this segment is a huge supplier of replacement parts for all kinds of machinery used in factories and industrial settings. It sells essential components like bearings, power transmission parts, and hydraulic systems to businesses in industries from food processing to equipment manufacturing. These customers pay for quick and reliable access to parts to handle maintenance, repair, and operations (MRO), which means fixing equipment to avoid costly factory shutdowns. This part of the company provides a steady business that is a little less than half of total sales.
What management is betting on now
Management has announced a major plan to split the company into two separate, publicly traded companies: one focused entirely on automotive parts (Global Automotive) and the other on industrial parts (Global Industrial). The goal is to allow each business to focus more sharply on its specific customers and markets, which they believe will unlock more value for investors. This separation is also intended to make each company's financial performance and strategic goals clearer to the public. For the industrial business, a key focus is on growing higher-value services like automation and engineered solutions, not just selling parts.
Price history
How the share price has moved
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Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$357.96M
FY2024 Q4
$-26.72M
FY2025 Q1
$-160.67M
FY2025 Q2
$80.96M
FY2025 Q3
$239.95M
FY2025 Q4
$260.68M
FY2026 Q1
$-33.64M
FY2026 Q2
$292.36M
Revenue
$6.54B
Net income
$227.56M
Diluted EPS
1.65
Operating cash flow
$400.20M
Free cash flow
$292.36M
Fetching…
Sources
Revenue
$6.26B
Net income
$188.53M
Diluted EPS
1.37
Operating cash flow
$63.92M
Free cash flow
$-33.64M
Fetching…
Sources
Revenue
$6.01B
Net income
$-609.50M
Diluted EPS
-4.38
Operating cash flow
$380.07M
Free cash flow
$260.68M
Fetching…
Sources
Revenue
$6.26B
Net income
$226.17M
Diluted EPS
1.62
Operating cash flow
$341.57M
Free cash flow
$239.95M
Fetching…
Sources
Revenue
$6.16B
Net income
$254.88M
Diluted EPS
1.83
Operating cash flow
$209.94M
Free cash flow
$80.96M
Fetching…
Sources
Revenue
$5.87B
Net income
$194.39M
Diluted EPS
1.40
Operating cash flow
$-40.83M
Free cash flow
$-160.67M
Fetching…
Sources
Revenue
$5.77B
Net income
$133.06M
Diluted EPS
0.96
Operating cash flow
$155.03M
Free cash flow
$-26.72M
Fetching…
Sources
Revenue
$5.97B
Net income
$226.58M
Diluted EPS
1.62
Operating cash flow
$484.31M
Free cash flow
$357.96M
Fetching…
Sources
Is it cheap or expensive?
Fair value $136.19 vs current price $133.96
Wall Street consensus is the average analyst price target: $140.56 (3.2% higher than our fair-value estimate).
Our most-likely fair value is $136.19 a share — about 1.7% away from today's price of $133.96, so the stock currently looks fairly priced.
Is it drowning in debt?
Stretched
Net debt $6.1B. Interest coverage 7.4x.
Net debt
$6.09B
Interest coverage
7.43x
Genuine Parts Company's profit covers its interest bill about 7.4 times over. which is stronger than most peers shown here.
Stretched
Worse cushion
Baseline
Better cushion
GPC
BASELINE
Genuine Parts Company
Total debt $6.65B Interest coverage 7.43x This is the baseline the peer rows are being compared against.
Total debt $9.59B Interest coverage 14.72x +98% vs GPC Carries about 2.0x more debt cushion than GPC.
Total debt $12.86B Interest coverage 7.42x -0% vs GPC Has roughly the same debt cushion as GPC.
Total debt $5.63B Interest coverage 1.16x -84% vs GPC Carries about 6.4x less debt cushion than GPC.
Total debt $5.31B Interest coverage 4.85x -35% vs GPC Carries about 1.5x less debt cushion than GPC.
Total debt $528.25M Interest coverage 12.47x +68% vs GPC Carries about 1.7x more debt cushion than GPC.
What you should know
The case for and against GPC
3 Rewards
3 Risks
Rewards
-
Revenue grew 3.2% last year.
-
Free cash flow was positive in 10/10 years.
-
Dividend yield is 3.2% with 44-year payout history.
Risks
-
Stock trades 579.6% above its 5-year average P/E.
-
Net debt grew 72.5% over 3 years.
-
Operating margin compressed from 7.3% to 6.6% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
535.84x
Forward P/E
16.10x
P/B
4.08x
P/S
0.74x
EV/EBITDA
11.97x
PEG ratio
1.32x
Profitability
How much profit each dollar creates
Gross margin
37.6%
Operating margin
6.6%
Net margin
0.1%
ROE
0.7%
ROA
4.5%
Health
Liquidity and balance-sheet strength
Debt / equity
1.46x
Current ratio
1.16x
Quick ratio
0.42x
Total debt
$6.65B
Total cash
$559.12M
Growth
How the business has been compounding
Revenue TTM
$25.07B
Revenue 5Y CAGR
6.5%
EPS TTM
0.25
EPS 5Y CAGR
-61.6%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.19B
Free CF TTM
$420.92M
FCF margin
1.7%
Dividend
Shareholder payout
Yield
3.2%
Payout ratio
1,674.0%
Last ex-div date
2026-09-04