Genuine Parts tumbles 20%, tracking record drop on weak forecast, earnings miss

Genuine Parts

22/10/2024 17:51

(Updates with milestones, changes headline)
** Shares of automotive and industrial spare parts maker Genuine
Parts Company  GPC.N  down 20% at $114.80 on Tues and on course
for biggest daily drop ever after annual forecast cut, profit
miss
    ** Stock hits lowest levels since Mar 2021 and is easily
biggest S&P 500 <.SPX) index loser on the session
** GPC lowers FY profit forecast to $8.00 - $8.20 from prior
forecast of $9.30 to $9.50 per share
    ** Co revised FY rev growth to 1%-2% vs 1%-3% previously
    ** Co posts Q3 EPS $1.88, below analysts' expectations of
$2.42, as per LSEG data
** "Our results were below our expectations, primarily driven by
continued weakness in market conditions in Europe and our
industrial business," - Will Stengel, CEO, said in statement
    ** 4 of 13 brokerages rate the stock "buy" or above, and 9
"hold"; their median PT is $154 - LSEG data
    ** With move on the session, stock down 17% YTD. That
compares to S&P 500 Consumer Discretionary sector's  .SPLRCD 
~11% advance and SPX's ~22% rise this year

(Reporting by Ankita Bora in Bengaluru and Lance Tupper in New
York)
((mailto:Ankita.Bora@thomsonreuters.com;))