LKQ
Through the investors’ lenses
Each of these investors has said in public what they look at before buying. Click a name to see how this company measures up — a tick where it passes one of their tests, a cross where it does not.
Warren Buffett 1/3
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Owner earnings | $810.00m | positive | ✓ |
| Return on equity | 9.3% | median 11.7% | ✗ |
| Debt to equity | — | median 0.79x | — |
| Operating margin | 7.3% | median 15.0% | ✗ |
Passes 1 of 3. To be clear: Warren Buffett has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Terry Smith 0/2
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Return on capital employed | — | median 10.1% | — |
| Cash conversion | 1.75x | median 1.78x | ✗ |
| Operating margin | 7.3% | median 15.0% | ✗ |
| Debt to equity | — | median 0.79x | — |
Passes 0 of 2. To be clear: Terry Smith has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Charlie Munger 0/2
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Return on capital employed | — | median 10.1% | — |
| Return on equity | 9.3% | median 11.7% | ✗ |
| Operating margin | 7.3% | median 15.0% | ✗ |
Passes 0 of 2. To be clear: Charlie Munger has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Chuck Akre 0/3
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Return on equity | 9.3% | median 11.7% | ✗ |
| Debt to equity | — | median 0.79x | — |
| Cash conversion | 1.75x | median 1.78x | ✗ |
| Return on equity, sustained | 5 of 10 | 8 of 10 above median | ✗ |
Passes 0 of 3. To be clear: Chuck Akre has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Philip Fisher 0/3
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Operating margin | 7.3% | median 15.0% | ✗ |
| Net margin | 4.5% | median 10.2% | ✗ |
| Return on capital employed | — | median 10.1% | — |
| Operating margin, held or improving | 7.3% | 10-yr median 8.5% | ✗ |
Passes 0 of 3. To be clear: Philip Fisher has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Walter Schloss 1/1
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Current ratio | 1.67x | median 1.25x | ✓ |
| Debt to equity | — | median 0.79x | — |
Passes 1 of 1. To be clear: Walter Schloss has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Benjamin Graham 1/2
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Current ratio | 1.67x | 2.00x published | ✗ |
| Long-term debt to working capital | — | 1.00x published | — |
| Positive earnings, ten years running | 10 yrs | 10 published | ✓ |
Passes 1 of 2. To be clear: Benjamin Graham has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
Peter Lynch 0/1
| Measure | LKQ | Checked against | |
|---|---|---|---|
| Debt to equity | — | median 0.79x | — |
| Net margin | 4.5% | median 10.2% | ✗ |
Passes 0 of 1. To be clear: Peter Lynch has never said anything about LKQ. These are the company’s own figures put through the tests he described. What he looks at, and why →
| Basis | Payout | Why |
|---|---|---|
| GAAP earnings | 51.2% | whyThe figure most screeners publish. |
| Operating cash flow | 29.2% | whyBefore capital spending. |
| Free cash flow | 36.6% | whyAfter maintaining the business. |
22 points between highest and lowest basis.
Coverage rating 32 / 100 — Strained. ? Peer standing 18/50Direction 10/30Stability 4/20
Free cash flow payout, last 5 years
| Fiscal year | Payout |
|---|---|
| 2025-12-31 | 36.6% |
| 2024-12-31 | 39.3% |
| 2023-12-31 | 30.3% |
| 2022-12-31 | 27.6% |
| 2021-12-31 | 6.8% |
35% of the 74 industrials here pay out more.
The arithmetic
- GAAP earnings — dividends declared per share $1.20 ÷ diluted EPS $2.35
- Operating cash flow — dividends paid $310m ÷ operating cash flow $1,063m
- Free cash flow — dividends paid $310m ÷ (operating cash flow $1,063m − capex $216m)
Where the figures came from
- 10-K filed 2026-02-19 · accession 0001065696-26-000012
All public at sec.gov — you should not have to take our word for it.
Caveats on this company
- DPS derived from dividends paid ($1.20); no per-share tag filed
Computed straight from SEC XBRL. A number that looks wrong to you is more useful to us than agreement — tell us.
What the free cash flow payout ratio measures, and where every company here sits on it.
Also on: rated strained · when it files.
When this changes
Every figure above is recomputed whenever LKQ files. The monthly letter carries what filed, what moved, and one finding computed across every company here.