Genuine Parts Company GPC is slated to release first-quarter 2026 results on April 21, before market open. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings per share (EPS) and revenues is pegged at $1.82 and $6.19 billion, respectively.
For the first quarter, the consensus estimate for Genuine Parts’ earnings has moved down 14 cents over the past 60 days. Its bottom-line estimates imply 4% growth from the year-ago reported numbers.
The Zacks Consensus Estimate for GPC's quarterly revenues implies year-over-year growth of 4.4%. The company's earnings beat estimates in two of the trailing four quarters and missed twice, delivering an average negative surprise of 2.25%. This is depicted in the graph below:
Genuine Parts Company Price and EPS Surprise
Genuine Parts Company price-eps-surprise | Genuine Parts Company Quote
Q4 Highlights
In the fourth quarter of 2025, GPC reported adjusted earnings of $1.55 per share, which missed the Zacks Consensus Estimate of $1.79. The bottom line fell from the year-ago quarter’s earnings of $1.61.
The company reported net sales of $6.01 billion, which marginally missed the Zacks Consensus Estimate of $6.04 billion but grew 4.2% year over year. The increase was driven by a 1.7% contribution from comparable sales, a 1.5% boost from acquisitions and a 0.9% favorable impact from forex transactions.
Things to Note
Genuine Parts’ European segment is under pressure, with sales down approximately 2% in local currency and roughly 3% in comparable sales in the fourth quarter. The region faces soft demand and ongoing cost pressures. While strategic initiatives, including NAPA brand expansion, are supporting performance, near-term growth and margin expansion remain challenged.
It expects adjusted SG&A to rise 30-50 basis points in 2026 as persistent inflation in rent and operating costs offsets restructuring savings. As a result, SG&A is projected to grow slightly faster than revenues, pressuring margins. Additionally, depreciation and interest expenses are expected to create a $30 million headwind due to ongoing capital investments and financing obligations.
Softer demand in the European segment and an expected rise in operating expenses are likely to have impacted Genuine Parts’ performance in the first quarter of 2026.
Let’s have a look at our estimates for GPC’s segmental performance.
We expect the North America Automotive revenues to be $2.3 billion, suggesting a rise of 4.1% year over year. For International Automotive, we expect sales to be $1.45 billion, representing an increase of 3.7% year over year. We project Industrial sales to be $2.36 billion, suggesting a rise of 7.4% year over year.
Our estimate for the North America Automotive adjusted EBITDA is $174 million, suggesting a rise of 18.4% year over year. We expect International Automotive's adjusted EBITDA to be $132.3 million, suggesting a decline of 4.5% year over year. Our estimate for the Industrial adjusted EBITDA is $306.3 million, suggesting a rise of 9.9% year over year.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Genuine Parts for the quarter to be reported, as it does not have the right combination of the two key ingredients. A positive Earnings ESP, combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), increases the odds of an earnings beat. This is not the case here.
Earnings ESP: GPC has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate is pegged at par with the Zacks Consensus Estimate. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: It currently carries a Zacks Rank #4 (Sell).
Stocks With the Favorable Combination
Here are some players from the auto space that, per our model, have the correct ingredients to post an earnings beat this time around.
Polaris Inc. PII has an Earnings ESP of +17.45% and a Zacks Rank #3 at present. The company is set to release first-quarter 2026 results on April 28. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for PII’s to-be-reported quarter’s loss and revenues is pegged at 42 cents per share and $1.66 billion, respectively. Polaris beat earnings estimates in each of the trailing four quarters, the average surprise being 186.31%.
Lucid Group, Inc. LCID has an Earnings ESP of +31.98% and a Zacks Rank #3 at present. The company is set to release first-quarter 2026 results on May 5.
The Zacks Consensus Estimate for LCID’s to-be-reported quarter’s loss per share and revenues is pegged at $2.22 per share and $471.83 million, respectively. Lucid missed earnings estimates in each of the trailing four quarters, the average negative surprise being 29.92%.
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Genuine Parts Company (GPC): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).