Original Components Inc. (NYSE:GPC) is in the middle 10 Most Undervalued Stocks to Buy and Hold for 10 Years.
On February 24, Raymond James upgraded its rating on Genuine Parts Company (NYSE:GPC) from Outperform to Strong-Buy, with a $145 price target attached. The investment firm said the adjustment is based on the segment’s fair value after the planned separation of the company’s automotive and industrial businesses. The analyst also said that data for early 2026 shows a potential inflection point in industrial demand, pointing to strong US manufacturing output and rail traffic trends, which are likely to benefit the company.
In its report, Raymond James valued Genuine Parts Inc.’s ( NYSE:GPC ) motion industrial division at about 15x forward EBITDA, discounting direct-to-applied industrial technologies, which trades at about 17x. The company also applied a 10x EBITDA multiple to the company’s North American auto segment, in line with competitor Advance Auto Parts, and an 8x multiple for the global auto segment. Based on these assumptions, the company calculated a fair value of approximately $145 per share, including $50 million in charges.
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Raymond James expects the separation to be completed in the first quarter of 2027, with an investor day for both businesses planned for the second half of 2026.
Genuine Parts Company (NYSE:GPC) distributes automotive and industrial replacement parts. Its auto parts group operates in North America, Europe and Australia, while the industrial parts group serves customers in North America and Australia.
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