#1 Genuine Parts (GPC)
Most dads love to tinker with their cars, and Father's Day is the perfect day to give pop something that will dress up his set of wheels -- a gift from Genuine Parts Company(NYSE: GPC).
This leading wholesale distributor of auto replacement parts beat Q1 forecasts by a mile as a result of cost-cutting coupled with better sales. Earnings estimates from several research houses should boost the stock.
S&P recently raised their earnings estimate, stressing a history of stock buybacks and acquisitions, and a strong balance sheet. Their 12-month target is $49. Our trading target is $43 to $44 within 30 days.
But this is a tough overall market, so with the stock at $40-plus, let's go longer term with the GPC Nov 40 Calls (GPC 101120C00040000) at $3.25 with a target of $6.50 by October.
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