LKQ Corporation's Q1 Earnings Outlook: Crucial Insights detailed
In the face of macroeconomic challenges, LKQ Corporation, a global supplier of alternative aftermarket, remanufactured, and recycled auto parts, has reaffirmed its full-year adjusted EPS of $3.40-$3.70. The company is focusing on operational efficiency and shareholder returns.
LKQ Corporation, with a market cap of approximately $10 billion, serves repair shops, dealerships, and retail customers across North America, Europe, and Taiwan. The company recently reported a 6.5% year-over-year decrease in Q1 2025 revenue, totalling $3.5 billion. Despite this decline, LKQ Corporation has met or surpassed Wall Street's earnings estimates in three of the last four quarters.
Analysts expect LKQ to report a profit of $0.93 per share for Q2 of fiscal 2025, marking a 5.1% decrease from $0.98 per share in the year-ago quarter. The analyst consensus for LKQ Corporation's Q2 earnings in fiscal 2025 is not explicitly detailed, but the company recently reported earnings per share (EPS) of $0.79 for Q1 2025, which met analysts' expectations. For the entire fiscal year 2025, analysts forecast an EPS of 3.57.
Regarding the price target, analysts have set an average 12-month price target of $52.60, representing a potential upside of approximately 36% from the current trading price near $39.34 as of early July 2025. Among seven analysts covering the stock, five recommend "Strong Buy," one suggests "Moderate Buy," and one indicates "Hold." As of the publication date, analysts have a highly bullish view on LKQ Corporation's stock, with a "Strong Buy" rating overall.
This reflects a positive outlook for LKQ's earnings growth and stock performance in fiscal 2025. However, it's important to note that stock prices can be influenced by various factors and past performance is not a guarantee of future results.
Over the past 52 weeks, shares of LKQ have declined 6.9%, lagging behind both the S&P 500 Index's 13.4% surge and the Consumer Discretionary Select Sector SPDR Fund's 17.8% return. The mean price target of LKQ Corporation's stock, as of the publication date, is $53, indicating a premium of 37% from the prevailing market prices.
LKQ Corporation was founded in 1998 and is expected to announce its fiscal 2025 Q2 earnings results on July 24, 2025. Investors and analysts will be closely watching these results to gauge the company's performance and future prospects.
The author, Kritika Sarmah, did not have positions in any of the securities mentioned in this article at the time of publication. For more information, please view the article's Disclosure Policy here.
LKQ Corporation's focus on operational efficiency and shareholder returns is rooted in its financial goals, as it serves a wide market cap and aims to increase profits. Analysts expect LKQ to report a Q2 EPS of $0.93 per share and forecast an EPS of 3.57 for the entire fiscal year 2025, reflecting a positive outlook for the company's earnings growth.
