LKQ vs GPC

For growth investors, Genuine Parts Company (GPC) is the stronger pick with 3.

5% revenue growth year-over-year, versus -3. 1% for LKQ Corporation (LKQ). LKQ Corporation (LKQ) offers the better valuation at 12. 2x trailing P/E (9. 5x forward), making it the more compelling value choice. Analysts rate LKQ Corporation (LKQ) a "Buy" — based on 22 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, LKQ Corporation (LKQ) is the cheapest at 12.

2x versus Genuine Parts Company at 224. 4x. On forward P/E, LKQ Corporation is actually cheaper at 9. 5x.

Over the past 5 years, Genuine Parts Company (GPC) delivered a total return of -6.

0%, compared to -31. 0% for LKQ Corporation (LKQ). Over 10 years, the gap is even starker: GPC returned +43. 4% versus LKQ's +4. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Genuine Parts Company (GPC) is the lower-risk stock at 0.

74β versus LKQ Corporation's 0. 90β — meaning LKQ is approximately 22% more volatile than GPC relative to the S&P 500. On balance sheet safety, LKQ Corporation (LKQ) carries a lower debt/equity ratio of 77% versus 186% for Genuine Parts Company — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Genuine Parts Company (GPC) is pulling ahead at 3.

5% versus -3. 1% for LKQ Corporation (LKQ). On earnings-per-share growth, the picture is similar: LKQ Corporation grew EPS -10. 6% year-over-year, compared to -92. 7% for Genuine Parts Company. Over a 3-year CAGR, GPC leads at 3. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

LKQ Corporation (LKQ) is the more profitable company, earning 4.

4% net margin versus 0. 3% for Genuine Parts Company — meaning it keeps 4. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: LKQ leads at 7. 8% versus 5. 0% for GPC. At the gross margin level — before operating expenses — LKQ leads at 38. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, LKQ Corporation (LKQ) trades at 9.

5x forward P/E versus 13. 7x for Genuine Parts Company — 4. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for LKQ: 34. 4% to $38. 67.

All stocks in this comparison pay dividends.

LKQ Corporation (LKQ) offers the highest yield at 4. 2%, versus 3. 8% for Genuine Parts Company (GPC).

For long-horizon retirement investors, Genuine Parts Company (GPC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

74), 3. 8% yield). Both have compounded well over 10 years (GPC: +43. 4%, LKQ: +4. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: LKQ is a small-cap deep-value stock; GPC is a mid-cap income-oriented stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.