Genuine Parts Operating Margin vs. Net Income

GPC Stock  USD 136.94  0.78  0.57%   
Based on Genuine Parts' profitability indicators, Genuine Parts Co is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in February. Profitability indicators assess Genuine Parts' ability to earn profits and add value for shareholders.

Genuine Parts Operating Profit Margin

0.0879

At present, Genuine Parts' Days Sales Outstanding is projected to drop based on the last few years of reporting. The current year's Days Of Sales Outstanding is expected to grow to 33.05, whereas EV To Sales is forecasted to decline to 0.73. At present, Genuine Parts' Net Income Per Share is projected to increase slightly based on the last few years of reporting. At present, Genuine Parts' Pretax Profit Margin is projected to slightly decrease based on the last few years of reporting. The current year's Operating Profit Margin is expected to grow to 0.09, whereas Gross Profit Margin is forecasted to decline to 0.26.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.260.33
Significantly Down
Slightly volatile
Operating Profit Margin0.08790.0706
Fairly Up
Slightly volatile
Pretax Profit Margin0.08570.0576
Way Up
Slightly volatile
For Genuine Parts profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Genuine Parts to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Genuine Parts Co utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Genuine Parts's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Genuine Parts Co over time as well as its relative position and ranking within its peers.

Genuine Parts' Revenue Breakdown by Earning Segment

Check out Risk vs Return Analysis.
The next projected EPS of Genuine Parts is estimated to be 2.0116 with future projections ranging from a low of 1.94 to a high of 2.1. Genuine Parts' most recent 12-month trailing earnings per share (EPS TTM) is at 5.81. Please be aware that the consensus of earnings estimates for Genuine Parts Co is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
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Genuine Parts is projected to generate 2.0116 in earnings per share on the 31st of March 2026. Genuine Parts earnings estimates show analyst consensus about projected Genuine Parts Co EPS (Earning Per Share). It derives the highest and the lowest estimates based on Genuine Parts' historical volatility. Many public companies, such as Genuine Parts, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Genuine Parts Revenue Breakdown by Earning Segment

By analyzing Genuine Parts' earnings estimates, investors can diagnose different trends across Genuine Parts' analyst sentiment over time as well as compare current estimates against different timeframes.
Is Distributors space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Genuine Parts. If investors know Genuine will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Genuine Parts listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Dividend Share
4.09
Earnings Share
5.81
Revenue Per Share
173.184
Quarterly Revenue Growth
0.049
Return On Assets
0.0443
The market value of Genuine Parts is measured differently than its book value, which is the value of Genuine that is recorded on the company's balance sheet. Investors also form their own opinion of Genuine Parts' value that differs from its market value or its book value, called intrinsic value, which is Genuine Parts' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Genuine Parts' market value can be influenced by many factors that don't directly affect Genuine Parts' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Genuine Parts' value and its price as these two are different measures arrived at by different means. Investors typically determine if Genuine Parts is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Genuine Parts' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Genuine Parts Net Income vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Genuine Parts's current stock value. Our valuation model uses many indicators to compare Genuine Parts value to that of its competitors to determine the firm's financial worth.
Genuine Parts Co is rated # 4 in operating margin category among its peers. It also is rated # 4 in net income category among its peers making up about  14,060,279,938  of Net Income per Operating Margin. At present, Genuine Parts' Operating Profit Margin is projected to slightly decrease based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Genuine Parts' earnings, one of the primary drivers of an investment's value.

Genuine Parts' Earnings Breakdown by Geography

Genuine Net Income vs. Operating Margin

Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Genuine Parts

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.06 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Genuine Parts

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
904.08 M
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.

Genuine Net Income Comparison

Genuine Parts is currently under evaluation in net income category among its peers.

Genuine Parts Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Genuine Parts, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Genuine Parts will eventually generate negative long term returns. The profitability progress is the general direction of Genuine Parts' change in net profit over the period of time. It can combine multiple indicators of Genuine Parts, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-1.1 B-1.1 B
Operating Income1.7 B1.7 B
Income Before Tax1.4 B790.5 M
Total Other Income Expense Net-240.1 M-228.1 M
Net IncomeB543.6 M
Income Tax Expense312.7 M275.7 M
Net Income Applicable To Common SharesB657.7 M
Net Income From Continuing OpsB779.2 M
Non Operating Income Net Other37.1 M33 M
Interest Income111.4 M74 M
Net Interest Income-87.1 M-91.5 M
Change To Netincome-50.8 M-48.2 M
Net Income Per Share 5.84  6.14 
Income Quality 1.25  0.92 
Net Income Per E B T 0.69  0.48 

Genuine Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Genuine Parts. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Genuine Parts position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Genuine Parts' important profitability drivers and their relationship over time.

Genuine Parts Earnings Estimation Breakdown

The calculation of Genuine Parts' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Genuine Parts is estimated to be 2.0116 with the future projection ranging from a low of 1.94 to a high of 2.1. Please be aware that this consensus of annual earnings estimates for Genuine Parts Co is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
1.94
Lowest
Expected EPS
2.0116
2.10
Highest

Genuine Parts Earnings Projection Consensus

Suppose the current estimates of Genuine Parts' value are higher than the current market price of the Genuine Parts stock. In this case, investors may conclude that Genuine Parts is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Genuine Parts' stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of March 2026Current EPS (TTM)
1290.89%
0.0
2.0116
5.81

Genuine Parts Earnings History

Earnings estimate consensus by Genuine Parts analysts from Wall Street is used by the market to judge Genuine Parts' stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we recommend analyzing not only Genuine Parts' upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.

Genuine Parts Quarterly Gross Profit

2.34 Billion

At present, Genuine Parts' Price Earnings Ratio is projected to decrease significantly based on the last few years of reporting. The current year's Common Stock Shares Outstanding is expected to grow to about 132.8 M, whereas Net Income Applicable To Common Shares is forecasted to decline to about 657.7 M.
Hype
Prediction
LowEstimatedHigh
135.60136.96138.32
Details
Intrinsic
Valuation
LowRealHigh
128.53129.89150.63
Details
Naive
Forecast
LowNextHigh
143.60144.96146.32
Details
13 Analysts
Consensus
LowTargetHigh
132.96146.11162.18
Details
Note that many institutional investors and large investment bankers can move markets due to the volume of Genuine assets they manage. They also follow analysts to some degree and often drive overall investor sentiments towards Genuine Parts. With so many stockholders watching consensus numbers, the difference between actual and projected earnings is one of the most critical factors driving Genuine Parts' stock price in the short term.

Genuine Parts Earnings per Share Projection vs Actual

Actual Earning per Share of Genuine Parts refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Genuine Parts Co predict the company's earnings will be in the future. The higher the earnings per share of Genuine Parts, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.

Genuine Parts Estimated Months Earnings per Share

For an investor who is primarily interested in generating an income out of investing in entities such as Genuine Parts, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Genuine Parts should always be considered in relation to other companies to make a more educated investment decision.

Genuine Quarterly Analyst Estimates and Surprise Metrics

Earnings surprises can significantly impact Genuine Parts' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
null
nullnullnullnull
2025-10-21
2025-09-302.011.98-0.03
2025-07-21
2025-06-302.082.10.02
2025-04-16
2025-03-311.681.750.07
2025-02-13
2024-12-311.5541.610.056
2024-10-22
2024-09-302.421.88-0.5422 
2024-07-23
2024-06-302.592.44-0.15
2024-04-18
2024-03-312.162.220.06
2024-02-15
2023-12-312.22.260.06
2023-10-19
2023-09-302.42.490.09
2023-07-20
2023-06-302.342.440.1
2023-04-20
2023-03-312.032.140.11
2023-02-23
2022-12-311.892.050.16
2022-10-20
2022-09-302.052.230.18
2022-07-27
2022-06-302.032.20.17
2022-04-21
2022-03-311.671.860.1911 
2022-02-17
2021-12-311.61.790.1911 
2021-10-21
2021-09-301.641.880.2414 
2021-07-22
2021-06-301.541.740.212 
2021-04-22
2021-03-311.151.50.3530 
2021-02-17
2020-12-311.351.520.1712 
2020-10-22
2020-09-301.41.630.2316 
2020-07-30
2020-06-300.931.320.3941 
2020-05-06
2020-03-311.070.92-0.1514 
2020-02-19
2019-12-311.31.350.05
2019-10-17
2019-09-301.471.50.03
2019-07-18
2019-06-301.651.57-0.08
2019-04-18
2019-03-311.31.28-0.02
2019-02-19
2018-12-311.311.350.04
2018-10-18
2018-09-301.481.480.0
2018-07-19
2018-06-301.581.590.01
2018-04-19
2018-03-311.311.27-0.04
2018-02-20
2017-12-311.091.120.03
2017-10-19
2017-09-301.281.16-0.12
2017-07-20
2017-06-301.311.29-0.02
2017-04-19
2017-03-311.051.080.03
2017-02-21
2016-12-311.011.020.01
2016-10-19
2016-09-301.281.24-0.04
2016-07-19
2016-06-301.291.28-0.01
2016-04-19
2016-03-311.031.050.02
2016-02-16
2015-12-311.011.070.06
2015-10-19
2015-09-301.231.240.01
2015-07-20
2015-06-301.321.28-0.04
2015-04-21
2015-03-311.051.050.0
2015-02-17
2014-12-311.061.070.01
2014-10-20
2014-09-301.241.240.0
2014-07-21
2014-06-301.261.280.02
2014-04-22
2014-03-311.021.020.0
2014-02-18
2013-12-310.930.970.04
2013-10-18
2013-09-301.191.12-0.07
2013-07-18
2013-06-301.211.17-0.04
2013-04-19
2013-03-310.990.93-0.06
2013-02-19
2012-12-310.931.030.110 
2012-10-18
2012-09-301.121.11-0.01
2012-07-19
2012-06-301.081.080.0
2012-04-19
2012-03-310.870.930.06
2012-02-21
2011-12-310.830.860.03
2011-10-18
2011-09-300.940.970.03
2011-07-15
2011-06-300.890.960.07
2011-04-15
2011-03-310.750.80.05
2011-02-22
2010-12-310.70.750.05
2010-10-15
2010-09-300.760.830.07
2010-07-16
2010-06-300.710.780.07
2010-04-16
2010-03-310.610.630.02
2010-02-16
2009-12-310.50.620.1224 
2009-10-16
2009-09-300.650.670.02
2009-07-16
2009-06-300.620.650.03
2009-04-16
2009-03-310.490.560.0714 
2009-02-17
2008-12-310.560.55-0.01
2008-10-17
2008-09-300.780.810.03
2008-07-17
2008-06-300.790.810.02
2008-04-17
2008-03-310.750.750.0
2008-02-19
2007-12-310.760.75-0.01
2007-10-18
2007-09-300.770.76-0.01
2007-07-19
2007-06-300.760.760.0
2007-04-19
2007-03-310.720.71-0.01
2007-02-20
2006-12-310.690.70.01
2006-10-18
2006-09-300.70.710.01
2006-07-19
2006-06-300.690.70.01
2006-04-17
2006-03-310.660.660.0
2006-02-21
2005-12-310.620.630.01
2005-10-18
2005-09-300.610.630.02
2005-07-19
2005-06-300.620.630.01
2005-04-15
2005-03-310.610.610.0
2005-02-22
2004-12-310.540.550.01
2004-10-15
2004-09-300.560.560.0
2004-07-15
2004-06-300.570.580.01
2004-04-15
2004-03-310.540.570.03
2004-02-17
2003-12-310.50.50.0
2003-10-16
2003-09-300.510.510.0
2003-07-17
2003-06-300.560.52-0.04
2003-04-17
2003-03-310.520.51-0.01
2003-02-18
2002-12-310.520.520.0
2002-10-17
2002-09-300.550.54-0.01
2002-07-18
2002-06-300.550.550.0
2002-04-16
2002-03-310.50.50.0
2002-02-19
2001-12-310.510.510.0
2001-10-17
2001-09-300.530.51-0.02
2001-07-18
2001-06-300.550.550.0
2001-04-17
2001-03-310.530.52-0.01
2001-02-20
2000-12-310.610.610.0
2000-10-18
2000-09-300.540.53-0.01
2000-07-19
2000-06-300.550.550.0
2000-04-18
2000-03-310.510.520.01
2000-02-22
1999-12-310.610.610.0
1999-10-20
1999-09-300.510.510.0
1999-07-21
1999-06-300.510.520.01
1999-04-20
1999-03-310.470.480.01
1999-02-16
1998-12-310.570.580.01
1998-10-21
1998-09-300.490.48-0.01
1998-07-22
1998-06-300.480.480.0
1998-04-21
1998-03-310.450.450.0
1998-02-17
1997-12-310.540.550.01
1997-10-22
1997-09-300.480.47-0.01
1997-07-22
1997-06-300.470.470.0
1997-04-22
1997-03-310.430.430.0
1997-02-18
1996-12-310.520.520.0
1996-10-17
1996-09-300.460.45-0.01
1996-07-18
1996-06-300.450.450.0
1996-04-18
1996-03-310.410.410.0
1996-02-19
1995-12-310.480.480.0
1995-10-18
1995-09-300.420.420.0

Use Genuine Parts in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Genuine Parts position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Genuine Parts will appreciate offsetting losses from the drop in the long position's value.

Genuine Parts Pair Trading

Genuine Parts Co Pair Trading Analysis

The ability to find closely correlated positions to Genuine Parts could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Genuine Parts when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Genuine Parts - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Genuine Parts Co to buy it.
The correlation of Genuine Parts is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Genuine Parts moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Genuine Parts moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Genuine Parts can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Genuine Parts position

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When determining whether Genuine Parts offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Genuine Parts' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Genuine Parts Co Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Genuine Parts Co Stock:
To fully project Genuine Parts' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Genuine Parts at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Genuine Parts' income statement, its balance sheet, and the statement of cash flows.
Potential Genuine Parts investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Genuine Parts investors may work on each financial statement separately, they are all related. The changes in Genuine Parts's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Genuine Parts's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.