Roth MKM downgrades LKQ on Europe deterioration, CEO transition uncertainty

LKQ

26/10/2026 13:11

** Roth MKM downgrades automotive parts distributor LKQ Corp LKQ.O to "neutral" from "buy" citing headwinds in Europe and uncertainty ahead of CEO change
** Brokerage says while leadership changes may help fix European operations and speed sale efforts, limited visibility into the issues and CEO transition cloud the outlook
** Cuts PT to $18 from $35, representing a minor upside to the stock's last close
** LKQ withdrew its annual outlook on Friday, citing weak European performance, and named Salvatore Abbate as CEO effective December
** "While early, we believe his track record of improving profitability and executing portfolio changes could support LKQ's operational recovery and ongoing strategic review," Roth MKM said
** LKQ shares up 0.7% ahead of the bell
** Of 11 brokerages tracking the stock, 7 rate it "buy" or higher, and the rest "hold"; their median PT is $25 - data compiled by LSEG
** As of last close, stock has fallen ~42% YTD

(Reporting by Kanchana Chakravarty in Bengaluru)
((Kanchana.Chakravarty@thomsonreuters.com;))