What just happened? LKQ Corporation (NASDAQ:LKQ) stock value has climbed by nearly 7.2% or (2.09 points) to $31.17 from its previous close of $29.08. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 271048 contracts so far this session. LKQ shares had a relatively better volume day versus average trading capacity of 2.66 million shares, but with a 0.3 billion float and a 10.11% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for LKQ stock indicates that the average analyst price target is $36.59 per share. This means the stock has a potential increase of 17.39% from where the LKQ share price has been trading recently which is between $28.1 and $29.16. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $29.
The shorts are running away from LKQ Corporation (LKQ) stock. The latest set of short interest data was released on 15 August 2019, and the numbers show a drop in short interest in LKQ shares. While short interest still represents only 2.01% of LKQ’s float, the number of shares shorted have fallen by -201256. The number of shares shorted fell to 6054112 shares, down from 6255368 shares during the preceding fortnight. With average daily trading volumes at 2304432 shares, days to cover increased to about 1.790788 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “ValueAct reports it’s taken a 5.2% stake in LKQ” and dated September 12, 2019.
During the recent trading session for LKQ Corporation (NASDAQ:LKQ), the company witnessed their stock rise $3.59 over a week and surge $5.75 from the price 20 days ago. When compared to their established 52-week high of $33.22, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 09/21/18. The recent low of $22.74 stood for a -6.18% since 03/01/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.3 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.
Looking at the current readings for LKQ Corporation, the two-week RSI stands at 79.2. This figure suggests that LKQ stock, for now, is oversold, meaning that the shares are not stable in terms of price movement. The stochastic readings, on the other hand, based on the current LKQ readings is similarly very revealing as it has a stochastic reading of 91.08% at this stage. This figure means that LKQ share price today is being oversold.
Technical chart claims that LKQ Corporation (LKQ) would settle between $29.46/share to $29.84/share level. However, if the stock price goes below the $28.4 mark, then the market for LKQ Corporation becomes much weaker. If that happens, the stock price might even plunge as low as $27.72 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 1.84. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Wellington Shields lowered their recommendation on shares of LKQ from Buy to Gradually Accumulate in their opinion released on July 26. Raymond James analysts have lowered their rating of LKQ Corporation (NASDAQ:LKQ) stock from Outperform to Mkt Perform in a separate flash note issued to investors on July 26. Analysts at Guggenheim released an upgrade from Neutral to Buy for the stock, in a research note that dated back to March 06.
LKQ equity has an average rating of 1.42, with the figure leaning towards a bullish end. 12 analysts who tracked the company were contacted by Reuters. Amongst them, 2 rated the stock as a hold while the remaining 10 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 10 analysts rated LKQ Corporation (NASDAQ:LKQ) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, LKQ stock price is currently trading at 11.29X forward 12-month Consensus EPS estimates, and its P/E ratio is 12.92 while for the average stock in the same group, the multiple is 30.47. LKQ Corporation current P/B ratio of 1.83 means it is trading at a discount against its industry’s 3.26.
LKQ Corporation (LKQ)’s current-quarter revenues are projected to climb by nearly 0.02% to hit $3.12 billion, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 5.28% from $11.88 billion to a noteworthy $12.5 billion. At the other end of the current quarter income statement, LKQ Corporation is expected to see its adjusted earnings surge by roughly 3.57% to hit $0.58 per share. For the fiscal year, LKQ’s earnings are projected to climb by roughly 6.39% to hit $2.33 per share.