LKQ Is Exploring Options—And $50 Per Share Is On The Table!

LKQ Corporation may be gearing up for a transformation that significantly re-rates its valuation. The company recently disclosed it is exploring strategic alternatives—a phrase that often hints at a potential sale or major portfolio overhaul. This development, coupled with a fresh sum-of-the-parts (SOTP) valuation from Roth analyst Scott Stember, has ignited investor speculation that LKQ could command a premium in a takeover scenario. Stember pegs the equity value in the low-to-mid $50s per share range, substantially above its recent ~$34 trading level. The valuation hinges on 2025 financial projections for each operating segment: North American Wholesale ($5.7–$6.1B, ~7x EBITDA), Europe ($3.0–3.4B, 5–6x), and Specialty ($500–700M, 5–6x). Yet this isn’t just a valuation exercise—LKQ is actively selling assets like its Self Service unit and has committed to a broader transformation under new CEO Justin Jude. However, current macro and operating headwinds, particularly in North America and Europe, are complicating the picture.