Fundamental analysis · SEC EDGAR · TTM through 30/06/2026

Fundamental analysis of Lkq Corp

LKQ · Nasdaq · Consumer

Fundamental quality

DEMANDING

45

out of 100

Lkq Corp earns a fundamental-quality score of 45 out of 100, profiling it as a company with demanding fundamentals. Its score rests mainly on its financial strength (net debt 2.85× EBITDA). Its weakest area is its growth (revenue +3%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

LKQ is North America's and Europe's largest alternative auto-parts supplier: recycled parts from salvaged cars and compatible parts costing half the original's price. The business of car repair not requiring the manufacturer's price.

What will shape its future

  • Insured repairs: accident claims drive its demand.
  • The fleet's age: older cars get repaired with alternative parts.
  • Its European restructuring, the pending margin subject.

Breakdown by area

I.Growth
28

EPS growth: -2.8% · Revenue growth: 3%

II.Profitability
52

Net margin: 3.4% · ROE: 7.2% · ROIC: 6.5%

III.Financial health
55

Net debt/EBITDA: 2.85x · FCF: 4.6%

Source: SEC EDGAR · TTM through 30/06/2026

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 98 Consumer companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 43%
ROEbeats 27%
Growthbeats 21%
Cash generationbeats 40%
Less debtbeats 24%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Lkq Corp strengths

  • Positive free cash flow year after year, a self-funding business.

Lkq Corp risks and weaknesses

  • Declining earnings per share (-2.8% annualized).
  • Its net debt has grown over the period.
  • Thin margins (net margin of 3.4%), little cushion for setbacks.

Lkq Corp historical evolution

YearRevenueNet incomeFree cash flowNet debt
202011,6296381,2712,585
202113,0891,0921,0742,550
202212,7941,1501,0282,384
202313,2699389983,982
202413,8236938103,961
202513,6516088473,376

Between 2020 and 2025, revenue went from $11,629M to $13,651M (+17%) and net income went from $638M to $608M (-5%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended June 30, 2026, versus the half-year ended June 30, 2025 (SEC filings):

  • Revenue+0.5%
  • Net income-40.6%

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score5045
  • FCF margin5.9%4.6%
  • Net debt/EBITDA2.6×2.85×

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$1.2

per share, yearly

51% of earnings

Payout

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Lkq Corp cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is Lkq Corp a good company to invest in?

In terms of business quality, Lkq Corp scores 45 out of 100 in our analysis, placing it as a company with demanding fundamentals. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Lkq Corp a profitable company?

Lkq Corp is profitable, with a net margin of 3.4%, though a thin one.

Does Lkq Corp have a lot of debt?

A moderate level: its net debt is 2.85 times its EBITDA.

Is Lkq Corp growing?

Its revenue has grown 3% annualized in recent years.

Does Lkq Corp generate cash?

Yes. It converts about 4.6% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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