GPC Valuation

Genuine Parts Co

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137.720

+0.58(0.423%)1D

Overview
Forecast
Valuation
Earnings

GPC Relative Valuation

GPC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GPC is overvalued; if below, it's undervalued.

Historical Valuation

Genuine Parts Co (GPC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 16.87 is considered Undervalued compared with the five-year average of 16.75. The fair price of Genuine Parts Co (GPC) is between 145.46 to 171.40 according to relative valuation methord. Compared to the current price of 137.14 USD , Genuine Parts Co is Undervalued By 5.72%.

Relative Value

Fair Zone

145.46-171.40

Current Price：137.14

5.72%

Undervalued

16.87

Trailing

Forward

11.76

EV/EBITDA

Genuine Parts Co. (GPC) has a current EV/EBITDA of 11.76. The 5-year average EV/EBITDA is 11.74. The thresholds are as follows: Strongly Undervalued below 9.38, Undervalued between 9.38 and 10.56, Fairly Valued between 12.93 and 10.56, Overvalued between 12.93 and 14.11, and Strongly Overvalued above 14.11. The current Forward EV/EBITDA of 11.76 falls within the Historic Trend Line -Fairly Valued range.

15.34

EV/EBIT

Genuine Parts Co. (GPC) has a current EV/EBIT of 15.34. The 5-year average EV/EBIT is 14.46. The thresholds are as follows: Strongly Undervalued below 11.70, Undervalued between 11.70 and 13.08, Fairly Valued between 15.84 and 13.08, Overvalued between 15.84 and 17.22, and Strongly Overvalued above 17.22. The current Forward EV/EBIT of 15.34 falls within the Historic Trend Line -Fairly Valued range.

0.78

Genuine Parts Co. (GPC) has a current PS of 0.78. The 5-year average PS is 0.88. The thresholds are as follows: Strongly Undervalued below 0.64, Undervalued between 0.64 and 0.76, Fairly Valued between 0.99 and 0.76, Overvalued between 0.99 and 1.11, and Strongly Overvalued above 1.11. The current Forward PS of 0.78 falls within the Historic Trend Line -Fairly Valued range.

12.76

P/OCF

Genuine Parts Co. (GPC) has a current P/OCF of 12.76. The 5-year average P/OCF is 15.70. The thresholds are as follows: Strongly Undervalued below 9.18, Undervalued between 9.18 and 12.44, Fairly Valued between 18.97 and 12.44, Overvalued between 18.97 and 22.23, and Strongly Overvalued above 22.23. The current Forward P/OCF of 12.76 falls within the Historic Trend Line -Fairly Valued range.

18.75

P/FCF

Genuine Parts Co. (GPC) has a current P/FCF of 18.75. The 5-year average P/FCF is 24.67. The thresholds are as follows: Strongly Undervalued below -2.31, Undervalued between -2.31 and 11.18, Fairly Valued between 38.15 and 11.18, Overvalued between 38.15 and 51.64, and Strongly Overvalued above 51.64. The current Forward P/FCF of 18.75 falls within the Historic Trend Line -Fairly Valued range.

Genuine Parts Co (GPC) has a current Price-to-Book (P/B) ratio of 4.06. Compared to its 3-year average P/B ratio of 4.88 , the current P/B ratio is approximately -16.87% higher. Relative to its 5-year average P/B ratio of 5.04, the current P/B ratio is about -19.54% higher. Genuine Parts Co (GPC) has a Forward Free Cash Flow (FCF) yield of approximately 1.31%. Compared to its 3-year average FCF yield of 4.27%, the current FCF yield is approximately -69.26% lower. Relative to its 5-year average FCF yield of 5.96% , the current FCF yield is about -77.99% lower.

4.06

P/B

Median3y

4.88

Median5y

5.04

1.31

FCF Yield

Median3y

4.27

Median5y

5.96

Competitors Valuation Multiple

The average P/S ratio for GPC's competitors is 1.38, providing a benchmark for relative valuation. Genuine Parts Co Corp (GPC) exhibits a P/S ratio of 0.78, which is -43.42% above the industry average. Given its robust revenue growth of 3.39%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Wesco International Inc

Applied Industrial Technologies Inc

2.01

5.52%

9.90B

Performance Decomposition

Market capitalization of GPC decreased by 4.27% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 21.65 to 23.62.

The secondary factor is the Revenue Growth, contributed 3.39%to the performance.

Overall, the performance of GPC in the past 1 year is driven by P/E Change. Which is more unsustainable.

3.39%

5.96B → 6.16B

Revenue Growth

-16.73%

4.96 → 4.13

Margin Expansion

9.07%

21.65 → 23.62

P/E Change

-4.27%