Genuine Parts (NYSE:GPC) to Issue Dividend Increase – $1.03 Per Share

Genuine Parts (NYSE:GPC) announced a quarterly dividend on Tuesday, February 18th,RTT News reports. Stockholders of record on Friday, March 7th will be given a dividend of 1.03 per share by the specialty retailer on Wednesday, April 2nd. This represents a $4.12 dividend on an annualized basis and a dividend yield of 3.38%. This is a boost from Genuine Parts’s previous quarterly dividend of $1.00.

Genuine Parts has increased its dividend payment by an average of 7.1% per year over the last three years and has raised its dividend every year for the last 69 years. Genuine Parts has a payout ratio of 43.9% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Genuine Parts to earn $8.20 per share next year, which means the company should continue to be able to cover its $4.00 annual dividend with an expected future payout ratio of 48.8%.

Genuine Parts Price Performance

GPC opened at $121.72 on Wednesday. The firm has a market cap of $16.92 billion, a P/E ratio of 15.67 and a beta of 0.94. The company has a debt-to-equity ratio of 0.81, a quick ratio of 0.57 and a current ratio of 1.17. Genuine Parts has a fifty-two week low of $112.74 and a fifty-two week high of $164.45. The firm has a 50-day moving average of $118.27 and a 200 day moving average of $127.34.

Genuine Parts (NYSE:GPC) last released its earnings results on Tuesday, February 18th. The specialty retailer reported $1.61 earnings per share for the quarter, beating analysts’ consensus estimates of $1.54 by $0.07. Genuine Parts had a net margin of 4.67% and a return on equity of 27.23%. During the same quarter in the prior year, the company posted $2.26 earnings per share. On average, research analysts expect that Genuine Parts will post 8.08 EPS for the current year.

Insiders Place Their Bets

In other news, Director Wendy B. Needham sold 1,608 shares of the company’s stock in a transaction on Friday, December 13th. The shares were sold at an average price of $120.78, for a total value of $194,214.24. Following the transaction, the director now owns 11,357 shares of the company’s stock, valued at approximately $1,371,698.46. This represents a 12.40 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 0.37% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on GPC. Evercore ISI lifted their price objective on Genuine Parts from $155.00 to $160.00 and gave the stock an “in-line” rating in a report on Tuesday, October 22nd. Northcoast Research downgraded shares of Genuine Parts from a “buy” rating to a “neutral” rating in a research note on Friday, January 17th. JPMorgan Chase & Co. dropped their price target on shares of Genuine Parts from $162.00 to $135.00 and set an “overweight” rating on the stock in a research note on Tuesday, October 22nd. The Goldman Sachs Group cut their price objective on shares of Genuine Parts from $162.00 to $138.00 and set a “neutral” rating for the company in a report on Wednesday, October 23rd. Finally, Redburn Atlantic raised shares of Genuine Parts to a “hold” rating in a report on Monday, November 11th. Eight equities research analysts have rated the stock with a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, Genuine Parts presently has an average rating of “Hold” and a consensus target price of $141.50.

Genuine Parts Company Profile

Genuine Parts Company distributes automotive replacement parts, and industrial parts and materials. It operates in two segments: 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 equipment and parts used by repair shops, service stations, fleet operators, automobile and truck dealers, leasing companies, bus and truck lines, mass merchandisers, farms, and individuals.