GPCNEUTRAL

GPC Return on Equity (ROE) Analysis

0.7%

Updated 681h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; the current 0.7% means GPC earns less than one cent per dollar of equity.

Sector Performance

18th percentile

GPC

0.7%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

1.3%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity; the current 0.7% means GPC earns less than one cent per dollar of equity.

That is far below the sector median of 13.8%, placing GPC in the 16th percentile among peers, so most comparable companies generate substantially higher returns. The year-over-year change is not available, and the quarter-over-quarter change is -46.2%, falling from 1.3% to the current 0.7%, with the overall eight-quarter trend also not available. The combination of a very low ROE and a sharp recent drop signals elevated risk of weak earnings power or inefficiency in using invested capital. This underperformance does not support an optimistic case, but it also does not by itself force a negative call. The metric contradicts the NEUTRAL verdict by reinforcing that GPC’s profitability lags its sector, though the verdict likely weighs other factors.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about GPC?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are GPC's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.