Genuine Parts Co
GPC
Wholesale-Motor Vehicle Supplies & New Parts
Mkt Cap
$19.71BPE
15.63Debt
$3.875BCash
$1.05BEV
$22.54BFCF
$1.016BP/E Ratio
15.63Debt
$3.875BCash
$1.05BEV
$22.54BFCF
$1.016BCharts data: {"Earnings":[{"time":"2014-12-30","value":711286000},{"time":"2015-12-30","value":705672000},{"time":"2016-12-30","value":687240000},{"time":"2017-12-30","value":616757000},{"time":"2018-12-30","value":810474000},{"time":"2019-12-30","value":621085000},{"time":"2020-12-30","value":-29102000},{"time":"2021-12-30","value":898790000},{"time":"2022-12-30","value":1182701000},{"time":"2023-12-30","value":1316524000}],"Sales":[{"time":"2014-12-30","value":15341647000},{"time":"2015-12-30","value":15280044000},{"time":"2016-12-30","value":15339713000},{"time":"2017-12-30","value":16308801000},{"time":"2018-12-30","value":18735073000},{"time":"2019-12-30","value":19392305000},{"time":"2020-12-30","value":16537433000},{"time":"2021-12-30","value":18870510000},{"time":"2022-12-30","value":22095973000},{"time":"2023-12-30","value":23090610000}],"Net Margins":[{"time":"2014-12-30","value":0.04636307953116116},{"time":"2015-12-30","value":0.04618258952657466},{"time":"2016-12-30","value":0.04480135971253178},{"time":"2017-12-30","value":0.03781743366664416},{"time":"2018-12-30","value":0.04325971935097344},{"time":"2019-12-30","value":0.032027394371117825},{"time":"2020-12-30","value":-0.001759765254982439},{"time":"2021-12-30","value":0.0476293433510806},{"time":"2022-12-30","value":0.053525635644105826},{"time":"2023-12-30","value":0.05701555740623569}],"Assets":[{"time":"2014-12-30","value":8246238000},{"time":"2015-12-30","value":8144771000},{"time":"2016-12-30","value":8859400000},{"time":"2017-12-30","value":12412381000},{"time":"2018-12-30","value":12683040000},{"time":"2019-12-30","value":14645629000},{"time":"2020-12-30","value":13440215000},{"time":"2021-12-30","value":14352102000},{"time":"2022-12-30","value":16495379000},{"time":"2023-12-30","value":17968454000}],"Stockholders Equity":[{"time":"2014-12-30","value":3312364000},{"time":"2015-12-30","value":3159242000},{"time":"2016-12-30","value":3207356000},{"time":"2017-12-30","value":3464156000},{"time":"2018-12-30","value":3471991000},{"time":"2019-12-30","value":3695500000},{"time":"2020-12-30","value":3218003000},{"time":"2021-12-30","value":3503290000},{"time":"2022-12-30","value":3804447000},{"time":"2023-12-30","value":4416985000}],"ROE":[{"time":"2014-12-30","value":0.21473666541479136},{"time":"2015-12-30","value":0.22336750397721986},{"time":"2016-12-30","value":0.21426994695942703},{"time":"2017-12-30","value":0.1780396148441352},{"time":"2018-12-30","value":0.23343205670752026},{"time":"2019-12-30","value":0.16806521445000677},{"time":"2020-12-30","value":-0.009043496851929598},{"time":"2021-12-30","value":0.2565559802357213},{"time":"2022-12-30","value":0.31087330169141536},{"time":"2023-12-30","value":0.2980594228868787}],"ROA":[{"time":"2014-12-30","value":0.1538932056047861},{"time":"2015-12-30","value":0.15707611668885474},{"time":"2016-12-30","value":0.13876063841795155},{"time":"2017-12-30","value":0.10149551484118961},{"time":"2018-12-30","value":0.11278881088445672},{"time":"2019-12-30","value":0.056692682847558136},{"time":"2020-12-30","value":0.028226334176945832},{"time":"2021-12-30","value":0.08363555387217844},{"time":"2022-12-30","value":0.09533591195449344},{"time":"2023-12-30","value":0.09696705125549476}]}
Genuine Parts Company distributes automotive replacement parts, and industrial parts and materials. It operates through Automotive Parts Group and Industrial Parts Group segments. The company distributes automotive replacement parts for hybrid and electric vehicles, trucks, SUVs, buses, motorcycles, recreational vehicles, farm vehicles, small engines, farm equipment, marine equipment, and heavy duty equipment; and accessory and supply items used by various automotive aftermarket customers, such as repair shops, service stations, fleet operators, automobile and truck dealers, leasing companies, bus and truck lines, mass merchandisers, farms, and individuals. It also distributes industrial replacement parts and related supplies, such as bearings, mechanical and electrical power transmission products, industrial automation and robotics, hoses, hydraulic and pneumatic components, industrial and safety supplies, and material handling products for original equipment manufacturer, as well as maintenance, repair, and operation customers in equipment and machinery, food and beverage, forest product, primary metal, pulp and paper, mining, automotive, oil and gas, petrochemical, pharmaceutical, power generation, alternative energy, government, transportation, ports, and other industries. In addition, the company provides various services and repairs comprising gearbox and fluid power and process pump assembly and repair, hydraulic drive shaft repair, electrical panel assembly and repair, hose and gasket manufacture and assembly. It operates in the United States, Canada, France, the United Kingdom, Ireland, Germany, Poland, the Netherlands, Belgium, Spain, Portugal, Australia, New Zealand, Mexico, Indonesia, and Singapore. Genuine Parts Company was incorporated in 1928 and is headquartered in Atlanta, Georgia.
Sector
DCF
Discounted Cash Flow Valuation of Genuine Parts Co
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.016B | $1.053B | $1.092B | $1.132B | $1.173B | $1.216B | $1.26B | $1.306B | $1.354B | $1.403B | $1.454B | $14.54B |
| DCF | $915.9M | $825.5M | $744M | $670.6M | $604.4M | $544.7M | $491M | $442.5M | $398.8M | $359.5M | $3.595B | |
| Value | $9.591B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 6.1%
Earnings Stability 5%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 4.6% | 4.5% | 3.8% | 4.3% | 3.2% | -0.18% | 4.8% | 5.4% | 5.7% | 5.5% |
| ROA | 16% | 14% | 10% | 11% | 5.7% | 2.8% | 8.4% | 9.5% | 9.7% | 9.1% |
| ROE | 22% | 21% | 18% | 23% | 17% | -0.9% | 26% | 31% | 30% | 29% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +3.86%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +0.52%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +7.89%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +0.26%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +20.97%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +2.91%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | 0.95 | 1.53 | 5.99 | 4.23 | 6.83 | 1.53 | 2.44 | 3.20 | 4.65 | 3.81 |
| Debt Equity | 0.32 | 0.37 | 1.14 | 1.11 | 1.10 | 0.89 | 0.69 | 0.95 | 0.97 | 0.88 |
| MIN | ||||||||||
| Graham Stability | - | - | 88% | 100% | 88% | -4.3% | 100% | 100% | 100% | -4.3% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 3.81.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -0.23.
What is the Graham’s Stability?
Graham’s Stability measure stands at -0.04.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 6% | 4.3% | 12% | 4.5% | 0.93% |
| Net Income | 9.7% | 10% | - | 11% | 2.9% |
| Stockholders Equity | 4.7% | 4.9% | 11% | 16% | 1.5% |
| FCF | 2.3% | 0.22% | -21% | -18% | -0.96% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +4.27%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +0.93%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +10.19%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is +2.91%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +4.93%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +1.54%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +0.22%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is -0.96%.