Genuine Parts Company: Commitment To Dividends Increase Leads Me To A 'Hold' Rating

Jan. 23, 2024 10:08 AM ETGenuine Parts Company (GPC) StockGPC6 Comments
Niccolo Braccini
91 Followers

Summary

  • The stock has lost 25% from its recent peak.
  • The management team is too focused on external acquisitions rather than improving existing business.
  • The company is losing market share to its competitors and has a bad balance sheet.
  • Dividend payment commitment and constantly increased lead me to assign a "hold" rating for the corporation.

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After my first article, I continue my studies about dividend companies. As I was navigating the internet, I came across a particular business working in an intriguing sector: Genuine Parts Company (NYSE:GPC), a company distributing automotive

This article was written by

91 Followers
I focus on long-term growth and dividend growth investing. I follow the US and the European stock markets, looking for undervalued stock and high-quality dividend-growing companies that provide me with cash to reinvest.I hold a Business Management degree and am pursuing a Master's degree in Finance and Risk Management in Italy.Upon completing my studies, I aspire to work in the financial sector, specifically aiming for a role as a financial analyst. I believe that Seeking Alpha can provide me with the opportunity to gain practical experience and help people understand my investment rationale.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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