LKQ CorporationLKQ
NasdaqGS•Consumer Cyclical•Auto Parts
LKQ Corporation engages in the distribution of replacement parts, components, and systems used in the repair and maintenance of vehicles and specialty vehicle aftermarket products and accessories. The company operates through four segments: Wholesale-North America, Europe, Specialty, and Self Service. It offers bumper covers, automotive body panels, and lights, as well as paint and paint related consumables for refinishing vehicles; mechanical automotive parts and accessories; salvage products, including mechanical and collision parts comprising engines; transmissions; door assemblies; sheet metal products, such as trunk lids, fenders, and hoods; and lights and bumper assemblies. The company also provides scrap metal and other materials to metals recyclers; precious metals, such as catalytic converters; and brake pads, discs and sensors, clutches, steering and suspension products, filters, and oil and automotive fluids, as well as electrical products, including spark plugs and batteries. In addition, the company distributes recreational vehicle appliances and air conditioners, towing hitches, truck bed covers, vehicle protection products, marine electronics, cargo management products, wheels, tires, and suspension products. It serves collision and mechanical repair shops, new and used car dealerships, and retail customers. The company operates in the United States, Canada, Germany, the United Kingdom, Belgium, the Netherlands, Luxembourg, Italy, the Czech Republic, Austria, Poland, Slovakia, France, and other European countries. LKQ Corporation was incorporated in 1998 and is headquartered in Antioch, Tennessee.
LKQ Corporation (LKQ) reported trailing twelve months revenue of $13.66B as of March 2026, a 3.2% decline year-over-year. Quarterly revenue reached $3.47B, reflecting a contraction in sales.
LKQ Corporation generated $518.00M in TTM net income, with quarterly EBITDA of $304.00M. The operating margin contracted from 8.3% to 6.3%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (6.3%) and net margin (2.3%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 4.9% a year ago, reflecting increased costs or interest expense.
LKQ trades at a P/E of 12.9x (below the broader market average) and a P/S of 0.5x. The price-to-book ratio of 1.0x reflects a moderate premium to book value.
The company reported negative free cash flow of $-96.00M, indicating cash consumption over the period. The balance sheet shows $15.14B in total assets with $3.31B in long-term debt against $6.47B in stockholders equity for a debt-to-equity ratio of 0.5. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are positive at ~7.6% on average, but show some variability — pricing power may be sensitive to market conditions.
ROE is positive at ~10.6% on average, adequate but below the threshold typically associated with wide moats.
6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
Revenue has been flat or declining over recent quarters, which may indicate eroding demand or competitive pressure.
Data-driven red flags and warnings across 21 quarters
Operating margins dropped 21.5% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.
FCF covers net income by 1.2x on average — earnings are well-supported by cash generation.
D/E ratio is 0.5 — conservative capital structure with low financial risk.
Revenue declined in 5 of the last 7 quarters — persistent contraction signals a fundamental problem.
FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.
Shares decreased 3.7% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation