Genuine Parts downgraded to Sell from Neutral at Goldman Sachs

Goldman Sachs downgraded Genuine Parts (GPC) to Sell from Neutral with a price target of $114, down from $133. The downgrade reflects the view that the company is positioned “less defensively” in the current environment relative to peers due to recent underperformance at Genuine Parts’ NAPA business, slowing trends at its European Automotive business, and concerns that its Industrial segment could be exposed to an uncertain macro environment, the analyst tells investors in a research note. The firm adds that the company’s fiscal 2025 guidance implies a stronger second half, which seems largely predicated on steady improvements in end market demand throughout the year. Goldman sees downside risk.