Stock Traders Purchase High Volume of LKQ Put Options (NASDAQ:LKQ)

LKQ Corporation (NASDAQ:LKQ) was the target of some unusual options trading activity on Monday. Stock investors bought 29,165 put options on the company. This is an increase of approximately 2,198% compared to the average volume of 1,269 put options.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Global Retirement Partners LLC bought a new stake in shares of LKQ during the second quarter worth about $25,000. Northwestern Mutual Wealth Management Co. acquired a new stake in shares of LKQ in the 2nd quarter worth about $25,000. Harbor Investment Advisory LLC lifted its position in LKQ by 260.0% in the 1st quarter. Harbor Investment Advisory LLC now owns 900 shares of the auto parts company’s stock valued at $26,000 after acquiring an additional 650 shares in the last quarter. Cedar Mountain Advisors LLC bought a new position in LKQ in the 1st quarter valued at about $28,000. Finally, Essential Partners LLC acquired a new position in LKQ during the 1st quarter valued at about $30,000. Institutional investors and hedge funds own 95.63% of the company’s stock.

LKQ Stock Down 2.4%

LKQ stock traded down $0.47 during mid-day trading on Tuesday, reaching $19.46. The stock had a trading volume of 245,981 shares, compared to its average volume of 3,245,394. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.61 and a current ratio of 1.58. LKQ has a fifty-two week low of $16.85 and a fifty-two week high of $37.13. The stock’s 50-day simple moving average is $22.65 and its 200-day simple moving average is $27.15. The firm has a market capitalization of $4.91 billion, a PE ratio of 19.46 and a beta of 0.87.

LKQ (NASDAQ:LKQ) last issued its earnings results on Thursday, October 29th. The auto parts company reported $0.50 earnings per share for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.08). LKQ had a return on equity of 10.84% and a net margin of 3.37%. The firm had revenue of $3.32 billion for the quarter, compared to analyst estimates of $3.36 billion. During the same period in the previous year, the company earned $0.84 earnings per share. LKQ’s revenue for the quarter was down 5.1% compared to the same quarter last year. On average, sell-side analysts forecast that LKQ will post 2.26 EPS for the current fiscal year.

LKQ Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 3rd. Shareholders of record on Thursday, November 19th will be paid a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a yield of 6.2%. The ex-dividend date is Thursday, November 19th. LKQ’s payout ratio is 120.00%.

Wall Street Analysts Forecast Growth

LKQ has been the subject of several research analyst reports. Roth Capital lowered LKQ from a “buy” rating to a “neutral” rating and lowered their price objective for the stock from $35.00 to $18.00 in a research report on Monday, October 26th. Raymond James Financial set a $30.00 target price on LKQ in a research report on Friday, July 31st. JPMorgan Chase & Co. decreased their target price on LKQ from $22.00 to $20.00 and set an “overweight” rating for the company in a research note on Friday. Zacks Research cut LKQ from a “hold” rating to a “strong sell” rating in a research note on Monday, August 3rd. Finally, Barclays upgraded LKQ from an “equal weight” rating to an “overweight” rating and set a $25.00 target price for the company in a report on Monday, October 26th. Five analysts have rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $26.07.

About LKQ

LKQ Corporation is a global distributor of automotive parts and accessories. The company supplies replacement parts, components and equipment to professional repair shops, collision-repair businesses, insurers, dealerships and other commercial customers. Its product offerings include recycled original-equipment parts, aftermarket parts, specialty vehicle products, tools and equipment.

LKQ’s operations include the procurement, dismantling and distribution of salvaged vehicles, allowing it to provide recycled engines, transmissions, body panels and other components.