LKQ Corporation (LKQ): Today's Featured Automotive Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

LKQ Corporation ( LKQ) pushed the Automotive industry higher today making it today's featured automotive winner. The industry as a whole closed the day down 2.2%. By the end of trading, LKQ Corporation rose $0.33 (1.3%) to $25.61 on average volume. Throughout the day, 1,332,367 shares of LKQ Corporation exchanged hands as compared to its average daily volume of 1,396,600 shares. The stock ranged in a price between $24.79-$25.95 after having opened the day at $25.05 as compared to the previous trading day's close of $25.28. Another company within the Automotive industry that increased today was Tesla Motors ( TSLA), up 1.9%.
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LKQ Corporation, together with its subsidiaries, provides replacement parts, components, and systems needed to repair vehicles, primarily cars and trucks in the United States, the United Kingdom, Canada, Mexico, and Central America. LKQ Corporation has a market cap of $7.5 billion and is part of the consumer goods sector. The company has a P/E ratio of 28.7, above the S&P 500 P/E ratio of 17.7. Shares are up 19.8% year to date as of the close of trading on Friday. Currently there are 5 analysts that rate LKQ Corporation a buy, 1 analyst rates it a sell, and 2 rate it a hold.

TheStreet Ratings rates LKQ Corporation as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, growth in earnings per share, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

On the negative front, Hyster-Yale Materials Handling ( HY), down 6.2%, Federal Signal ( FSS), down 5.4%, Meritor ( MTOR), down 5.4% and Stoneridge ( SRI), down 5.2% , were all laggards within the automotive industry with General Motors ( GM) being today's automotive industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the automotive industry could consider Consumer Discretionary Sel Sec SPDR ( XLY) while those bearish on the automotive industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

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