DA Davidson initiated coverage of Genuine Parts Company with a Buy rating and a $145 price target, calling the stock materially undervalued. The firm believes the planned spin-off of the motion business could unlock value, and sees additional upside from cost reductions within the NAPA business as well as exposure to an improving industrial upcycle. During the first-quarter 2026 earnings call, CEO William Stengel said the separation process remains on track for completion in the first quarter of 2027 and that financial results exceeded expectations. CFO Herbert Nappier reported adjusted earnings per share of $1.77, with nonrecurring restructuring and separation costs totaling $75 million before taxes, or $56 million after taxes.
Genuine Parts CoDA Davidson initiated coverage with Buy rating and $145 price target, citing undervaluation and spin-off/cost-cutting upside.