Should You Invest in LKQ Corporation (LKQ)?

2 weeks ago 10

Soumya Eswaran

Mon, February 16, 2026 astatine 8:12 AM CST 3 min read

Aristotle Capital Boston, LLC, an concern advisor, released its fourth-quarter capitalist missive for “Small Cap Equity Fund”. A transcript of the missive tin beryllium downloaded here. U.S. small-cap equities reported humble gains successful the 4th fourth of 2025. The 4th started arsenic a continuation of the post-Liberation Day risk-on marketplace environment, portion it ended connected a beardown note, driven by a affirmative macroeconomic backdrop. Attractive valuations, net recovery, broadening of the market, and a displacement from mega-cap stocks supported tiny caps successful the quarter. The Aristotle Small Cap Equity Fund (Class I-2) returned 1.96% successful Q4 2025, trailing the 2.19% full instrumentality of the Russell 2000 Index. Security enactment supported wide performance, portion allocation effects detracted from performance. Please reappraisal the Strategy’s apical 5 holdings to summation insights into their cardinal selections for 2025.

In its fourth-quarter 2025 capitalist letter, Aristotle Small Cap Equity Fund highlighted LKQ Corporation (NASDAQ:LKQ) arsenic a caller summation to its portfolio. LKQ Corporation (NASDAQ:LKQ) is simply a starring distributor of alternate and specialty car parts for the repair and attraction of vehicles and specialty vehicles. On February 13, 2026, LKQ Corporation (NASDAQ:LKQ) banal closed astatine $34.10 per share. One-month instrumentality of LKQ Corporation (NASDAQ:LKQ) was 1.76%, and its shares are down 12.81% implicit the past 12 months. LKQ Corporation (NASDAQ:LKQ) has a marketplace capitalization of $8.774 billion.

Aristotle Small Cap Equity Fund stated the pursuing regarding LKQ Corporation (NASDAQ:LKQ) successful its 4th fourth 2025 capitalist letter:

"LKQ Corporation (NASDAQ:LKQ) is simply a North American marketplace person successful alternate collision repair parts with expertise stemming crossed used, recycled, refurbished, and remanufactured collision repair parts arsenic good arsenic the marketplace for (new) aftermarket collision repair. Overall, we judge the institution maintains favorable standard advantages that let for measurement acquisition discounts from suppliers and a wider organisation network, higher capable rates, and faster effect times comparative to competition. Furthermore, the institution has made investments successful improving its exertion and logistics web beyond that of its smaller competitors, which we judge volition further cement its marketplace presumption done technological sophistication."

Is LKQ Corporation (LKQ) The Top Auto Parts Stock That Could Surge On Trump’s Auto Tariff Relaxation?

LKQ Corporation (NASDAQ:LKQ) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 49 hedge money portfolios held LKQ Corporation (NASDAQ:LKQ) astatine the extremity of the 3rd quarter, up from 32 successful the erstwhile quarter. While we admit the imaginable of LKQ Corporation (NASDAQ:LKQ) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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