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/MPAA
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Motorcar Parts of America Inc

Motorcar Parts of America Inc

MPAA
$14.00USD↓-2.57%-0.37 today

MARKET CAP

264.9M

P/E (TTM)

13.9x

FWD P/E

7.9x

DAY RANGE

$14 – $14

52W RANGE

$9
$18

AI Summary

Stalk
StalkMedium

In this Stage 2 advancing setup with an active Momentum Breakout, the medium-term bias remains bullish, but price is extreme overbought and extended well above key EMAs, making immediate execution unfavorable. We will await a corrective pullback into the former resistance zone around 12.30–13.30, where rising EMAs and prior range support converge before engaging.

  • ↑Q4 2026 revenue $212.3M (+9.9% YoY); gross margin 23.7%.
  • ↑Net income $9.7M vs loss of $0.7M a year ago.
  • ↓Revenue baseline at 85% after key client store closures.
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The case for & against

Bull & Bear analysis

Bullish

Motorcar Parts of America Inc. (NASDAQ: MPAA) is a leading player in the automotive aftermarket industry, specializing in the production and distribution of aftermarket automotive parts. Their product range includes critical components such as starters and alternators, with a significant focus on the demand for non-discretionary repair parts, particularly as the average vehicle age continues to rise. The company operates primarily in North America but is expanding its footprint in the heavy-duty market and Mexico, aiming to leverage its strong operational capabilities to maintain a competitive edge amid evolving market dynamics.

Bull says

  • ↑Q4 2026 revenue $212.3M (+9.9% YoY); gross margin 23.7%.
  • ↑Net income $9.7M vs loss of $0.7M a year ago.
  • ↑Secured $100M annualized sales growth from new business by FY27.
  • ↑Net debt $80M; $11.4M buybacks; expects annual positive cash flow.
  • ↑Analysts rate Moderate Buy with $19 target (~38% upside).
  • ↑High earnings yield, strong momentum, and manageable leverage support upside.

Bear says

  • ↓Revenue baseline at 85% after key client store closures.
  • ↓Accounts receivable rose $32.5M and inventory buildup strains liquidity.
  • ↓Rising fuel prices reduce miles driven and parts demand.
  • ↓Intensifying competition from large and new entrants pressures share.
  • ↓Negative growth and weak profitability factors risk guidance delivery.
  • ↓Small market cap and low institutional ownership raise sentiment risk.

Earnings Call · Q4 2025 · Mgmt. Guidance

Updated 06-10-2026bullish

Transcript signals

Bull points

  • We have substantially mitigated the current tariffs with customer price increases and supply chain initiatives.
  • We believe these tariffs will provide us strategic, competitive advantages going forward with strong market share growth opportunities.
  • We are certainly excited by our accomplishments for fiscal 2025, with net sales increasing 5.5% to a record $757 million and gross profit increasing 16.1% to a record $154 million,

Bear points

  • Tariffs continue to cause uncertainty, Despite these challenges, we expect rational prices for our products from our customers, particularly in the face of these tariffs,
  • Net loss for the fiscal 25 fourth quarter was $722,000, or 4 cents per share, reflecting the impact of $4.6 million, or 24 cents per share pre-tax, for tariff costs that I explained earlier in my gross profit discussion.
  • The loss for fiscal 25 was $19.5 million, or $0.99 per share, primarily due to the impact of non-cast expenses of $25 million, or $1.27 per share, and one-time cast expenses of $6.9 million, or $0.35 per share, as detailed in Exhibit 2 in this morning's earnings press release.
Read full transcript analysis ›