The upcoming report from Genuine Parts (GPC) is expected to reveal quarterly earnings of $1.89 per share, indicating an increase of 8% compared to the year-ago period. Analysts forecast revenues of $6.19 billion, representing an increase of 5.6% year over year.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some Genuine Parts metrics that are commonly tracked and projected by analysts on Wall Street.
The collective assessment of analysts points to an estimated 'Net Sales- Automotive' of $3.81 billion. The estimate points to a change of +3.9% from the year-ago quarter.
Analysts predict that the 'Net Sales- Industrial' will reach $2.34 billion. The estimate suggests a change of +6.2% year over year.
According to the collective judgment of analysts, 'Net Sales- Automotive- North America' should come in at $2.36 billion. The estimate points to a change of +4.1% from the year-ago quarter.
View all Key Company Metrics for Genuine Parts here>>>Over the past month, shares of Genuine Parts have returned +9.7% versus the Zacks S&P 500 composite's +6% change. Currently, GPC carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Genuine Parts Company (GPC): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).