LKQ Corporation (LKQ)
NASDAQConsumer DiscretionaryAuto - PartsSnapshot 2026-11-05
$20.54-1.91%
Close 2026-11-05 · 1-day change
NASDAQConsumer DiscretionaryAuto - PartsSnapshot 2026-11-05
QuarterlyIQ Insights · LKQ
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within consumer discretionary on a research-validated quality screen. As of 2026-11-05.
The screen ranks LKQ against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 2 of the last 3 quarter-over-quarter moves. Historically, Consumer Discretionary names rated neutral grew net income 45% of the time over the next year (vs 59% for the rest of the cohort, n=6999).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
At the same time, our recent financial and operating performance has not reflected the strength of the business or met the standards we expect, particularly in Europe.
Stated in 2 of 4 supplied quarters. Management reported: “At the same time, our recent financial and operating performance has not reflected the strength of the business or met the standards we expect, particularly in Europe.” “The actions underway in Europe are focused on restoring service levels, aligning the cost structure with current demand and translating operational improvement into stronger financial performance," stated Rick Galloway, Senior Vice President and Chief Financial Officer.” Operating income was $53.000 million in 2026-Q3.
“At the same time, our recent financial and operating performance has not reflected the strength of the business or met the standards we expect, particularly in Europe.”
“The actions underway in Europe are focused on restoring service levels, aligning the cost structure with current demand and translating operational improvement into stronger financial performance," s…”
We are continuing to implement productivity and restructuring initiatives intended to help mitigate the impact of ongoing macroeconomic and cost pressures.
Stated in 2 of 4 supplied quarters. Management reported: “The plan is expected to result in restructuring charges of approximately $60 to $70 million and generate more than $50 million in annualized cost savings, with more than half of these savings anticipated to be realized in 2026.” “We are continuing to implement productivity and restructuring initiatives intended to help mitigate the impact of ongoing macroeconomic and cost pressures.” Gross profit was $1.236 billion in 2026-Q3.
Returning Capital to Shareholders During the first quarter of 2026, the Company distributed $77 million in cash dividends.
Stated in 2 of 4 supplied quarters. Management reported: “Returning Capital to Shareholders During the first quarter of 2026, the Company distributed $77 million in cash dividends.” “◦ Returned $469 million of capital through share buybacks and dividends and launched strategic review process to enhance shareholder value.”
“Returning Capital to Shareholders During the first quarter of 2026, the Company distributed $77 million in cash dividends.”
Our teams are taking deliberate actions to reduce costs, streamline operations while taking market share, and position ourselves for success going forward as the environment improves.
Stated in 2 of 4 supplied quarters. Management reported: “• Invest and Grow Organically: Investing in our core businesses to achieve above market growth and drive market share gains.” “Our teams are taking deliberate actions to reduce costs, streamline operations while taking market share, and position ourselves for success going forward as the environment improves.” Revenue was $3.319 billion in 2026-Q3.
The Board suspended the strategic review, including the Specialty sale process, while the incoming leadership team assesses the business and potential pathways.
Over the trailing year it converted 0.70x of net income into operating cash flow. Historically, Consumer Discretionary names rated fragile grew net income 40% of the time over the next year (vs 53% for the rest of the cohort, n=3629).
Most sensitive to long-term interest rates.
Not enough signal to read sensitivity to the US dollar, the broad stock market, real (inflation-adjusted) rates, Fed net liquidity (low R² over the window).
16 material management or governance events in the past 24 months, led by executive changes. Historically, Consumer Discretionary names rated neutral grew net income 53% of the time over the next year (vs 54% for the rest of the cohort, n=6802).
Not investment advice. As of 2026-11-05.
“We are continuing to implement productivity and restructuring initiatives intended to help mitigate the impact of ongoing macroeconomic and cost pressures.”
“The plan is expected to result in restructuring charges of approximately $60 to $70 million and generate more than $50 million in annualized cost savings, with more than half of these savings anticip…”
“◦ Returned $469 million of capital through share buybacks and dividends and launched strategic review process to enhance shareholder value.”
“Our teams are taking deliberate actions to reduce costs, streamline operations while taking market share, and position ourselves for success going forward as the environment improves.”
“• Invest and Grow Organically: Investing in our core businesses to achieve above market growth and drive market share gains.”