Truist Lowers GPC Target to $124, Notes Margin Recovery

On April 22, Scot Ciccarelli astatine Truist Financial lowered the terms proposal connected Genuine Parts Company (NYSE:GPC) to $124 from $127. It reiterated a Hold standing connected the shares, pursuing its Q1 net beat. The steadfast said Q1 trends improved aft a hard Q4. U.S. car comps roseate 3%, and North America EBITDA borderline accrued to 6.6% from 5.5% successful Q4, according to the probe note. Shares look comparatively inexpensive, though the steadfast added that Auto needs to inflect for the banal to re-rate.

During the Q1 2026 net call, CFO Nappier said the institution is holding its full-year outlook steady. Diluted EPS is inactive expected to travel successful betwixt $6.10 and $6.60, portion adjusted diluted EPS is projected successful the $7.50 to $8 range. He said the determination reflects a equilibrium betwixt show truthful acold and a much cautious stance connected the 2nd and 3rd quarters, pointing to uncertainty tied to the Iran conflict.

On revenue, helium noted that the institution continues to expect full GPC income maturation of 3% to 5.5%. That outlook assumes wide marketplace maturation remains astir flat, with pricing contributing astir 2%.

Genuine Parts Company (NYSE:GPC) operates globally arsenic a supplier of automotive and concern replacement parts, on with value-added solutions. The concern is organized into 2 segments: Automotive Parts Group and Industrial Parts Group.

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