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Investing.com - UBS raised its price target on Genuine Parts (NYSE:GPC) to $140.00 from $135.00 on Friday, while maintaining its Neutral rating on the auto parts retailer. The company, which has increased its dividend for 37 consecutive years, currently trades at a P/E ratio of 22.6 with a market capitalization of $18.3 billion.
The price target increase comes as UBS noted that strategic actions to create shareholder value have become the dominant theme in the investment case for Genuine Parts. According to InvestingPro analysis, the stock appears fairly valued, with analyst targets ranging from $119 to $200.
UBS expects the company to communicate its commitment and progress with its strategic review during its upcoming third-quarter earnings report on October 21, though detailed information about the process may be limited. InvestingPro subscribers can access additional insights and a comprehensive Pro Research Report, part of the platform’s coverage of over 1,400 US stocks.
The market will likely focus on signs that Genuine Parts is stabilizing its market share in key segments, according to UBS’s analysis of the company’s position.
UBS anticipates that underlying business trends for Genuine Parts will remain stable, which aligns with broader market expectations, suggesting the quarterly report may not significantly alter the current investment narrative.
In other recent news, Genuine Parts Company announced the appointment of two new independent directors to its Board as part of an ongoing board refreshment program and strategic review. Court Carruthers, former President and CEO of TricorBraun, and Matt Carey, previously EVP of Customer Experience and Chief Information Officer at The Home Depot, joined the Board effective immediately. This move coincides with the retirement of long-serving directors Robert Loudermilk Jr. and John Holder. Additionally, Genuine Parts declared a regular quarterly cash dividend of $1.03 per share, payable on October 2, 2025, to shareholders of record as of September 5, 2025.
In terms of analyst activity, Truist Securities reiterated its Buy rating on Genuine Parts, with a price target of $143.00, citing the company’s significant earnings leverage in its Industrial business. Meanwhile, Evercore ISI raised its price target to $145.00 from $135.00, maintaining an Outperform rating. Evercore noted that the company’s 2025 guidance was less concerning than anticipated, with cost reductions and inflation pass-through expected to improve profitability. These developments highlight Genuine Parts’ ongoing efforts to enhance shareholder value and strengthen its market position.
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