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Standard Motor Products (SMP) reported earnings 30 days ago. What's next for the stock?
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Standard Motor Products is a stable dividend stock, benefiting from non-discretionary demand for aftermarket car parts, with recent European expansion boosting growth prospects. SMP's acquisition of Nissens Automotive enhances its European presence and product offerings, expected to create significant cost and revenue synergies. Despite recent earnings setbacks, SMP's fair value remains around $33-35 per share, with potential upside from increased demand, synergies, and debt reduction.
SMP's third-quarter earnings and revenues beat the Zacks Consensus Estimate and increase year over year.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Standard Motor Products, Inc. (NYSE:SMP ) Q3 2024 Results Conference Call October 30, 2024 11:00 AM ET Company Participants Tony Cristello - Vice President-Investor Relations Eric Sills - Chairman and Chief Executive Officer Nathan Iles - Chief Financial Officer Conference Call Participants Scott Stember - ROTH MKM Carolina Jolly - Gabelli Operator Good day, everyone, and welcome to the Standard Motor Products' Third Quarter 2024 Earnings Call. [Operator Instructions] Please note today's call will be recorded [Operator Instructions].
Standard Motor Products (SMP) came out with quarterly earnings of $1.28 per share, beating the Zacks Consensus Estimate of $1.09 per share. This compares to earnings of $1.11 per share a year ago.
Standard Motor Products, a producer and distributor of automotive parts, has seen its stock rise nicely since my last 'buy' rating in June. The company's Q2 revenue increased by 10.4%, driven by a 28.2% surge in its Temperature Control segment due to early summer orders. Despite revenue growth, net income slightly dropped, and other profitability metrics were mixed, but the company remains attractively priced on key multiples.
SMP's balance sheet and acquisition strength, coupled with sustainable demand for automotive parts, make the stock worth retaining.
Standard Motor Products, Inc. (NYSE:SMP ) Q2 2024 Earnings Conference Call August 1, 2024 11:00 AM ET Company Participants Tony Cristello – Vice President-Investor Relations Eric Sills – Chairman and Chief Executive Officer Nathan Iles – Chief Financial Officer Conference Call Participants Scott Stember – ROTH MKM Bret Jordan – Jefferies Carolina Jolly – Gabelli Operator Good day, everyone, and welcome to the Standard Motor Products Second Quarter 2024 Earnings Call. At this time all participants are in a listen-only mode.
Standard Motor (SMP) reports better-than-expected second-quarter results and expects sales growth to be low- to mid-single digit compared with the previous forecast of flat to low-single digit.