ORLANDO, Fla., March 28, 2007 (PRIME NEWSWIRE) -- RedChip Independent, a division of RedChip Companies, Inc., announced today that it has updated research on LKQ Corporation (Nasdaq:LKQX).
Lisa Springer, CFA, RedChip Senior Research Analyst, wrote in the report:
"In the 2006 earnings release, management provided guidance regarding 2007 per-share earnings. The Company anticipates 2007 organic revenue growth in the low double-digit range, which we believe will be comparable to growth rates from prior years. The balance of revenue growth will come from the full impact of 2006 acquisitions and two acquisitions the Company has already completed in 2007. LKQ expects 2007 net income will range between $53.5 million and $56.5 million, and fully diluted per-share earnings will be between $0.95 and $1.00. Capital expenditures (excluding any future acquisitions) are expected to range between $45 million and $50.0 million in FY 2007.
"At a current price of $21.00, LKQ shares trade at only 22 times management's low-end estimate of FY 2007 EPS. We continue to rate these shares a Buy and believe LKQ remains well positioned for continued double-digit earnings growth in the years ahead."
To receive an abbreviated sample of the RedChip Independent quarterly update for LKQX, please visit: http://www.redchip.com/independent/subscriber.asp?page=requestLKQX_Q4_2006s.
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RedChip Independent Research Disclosure
The analysts contributing to this report do not hold any shares of LKQX. Additionally, the analysts contributing to this report certify that the views expressed herein accurately reflect the analysts' personal views as to the subject securities and issuers. RedChip certifies that no part of the analysts' compensation was, is, or will be, directly or indirectly, related to the specific recommendation or views expressed by the analyst in the report. Additional information on the securities mentioned in this report is available upon request. This report is based on data obtained from sources we believe to be reliable, but is not guaranteed as to accuracy and does not purport to be complete. As such, the report should not be construed as advice designed to meet the particular investment needs of any investor. LKQX is not a client of RedChip Companies or any of its affiliates.