Standard Motor Products (NYSE:SMP) Issues Quarterly Earnings Results

Standard Motor Products (NYSE:SMP) issued its quarterly earnings results on Thursday. The auto parts company reported $0.56 EPS for the quarter, topping analysts’ consensus estimates of $0.45 by $0.11, Zacks reports. The company had revenue of $385.09 million during the quarter, compared to analyst estimates of $385.91 million. Standard Motor Products had a return on equity of 13.15% and a net margin of 1.79%.

Here are the key takeaways from Standard Motor Products’ conference call:

• Company delivered strong top-line and margin performance, with consolidated Q4 sales up 12.2% and full-year sales up 22.4% (organic growth ~4% excluding Nissens), and adjusted EBITDA expanding to 9.7% of net sales in Q4.
• The Nissens acquisition is performing well—contributing $64M in Q4 and $305M for the year—with mid-single-digit local-currency growth and management expecting cross-selling and cost synergies (targeting a $8M–$12M run rate by end-2026, and saying they’re ahead of plan).
• Management disclosed a material weakness in internal controls over financial reporting at Nissens related to IT controls; remediation (technical fixes and compensating controls) is underway, and auditors found no financial misstatements.
• Operating cash flow fell to $57.4M (down $19.3M) due to inventory build and tariff-driven cost increases, leaving net debt at $546.7M with leverage of 2.7x (management targets 2.0x by end-2026); 2026 guidance is modest (low- to mid-single-digit sales growth and adjusted EBITDA margin of 11%–12%), highlighting continued near-term execution and tariff risks.

Standard Motor Products Trading Down 8.5%

Standard Motor Products stock traded down $3.67 during mid-day trading on Thursday, hitting $39.43. The stock had a trading volume of 125,646 shares, compared to its average volume of 123,472. The stock has a 50-day simple moving average of $40.48 and a two-hundred day simple moving average of $39.43. The company has a current ratio of 1.96, a quick ratio of 0.77 and a debt-to-equity ratio of 0.78. The stock has a market capitalization of $867.50 million, a PE ratio of 28.17 and a beta of 0.76. Standard Motor Products has a 12 month low of $21.38 and a 12 month high of $46.00.

Standard Motor Products Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 2nd. Stockholders of record on Monday, February 16th will be paid a dividend of $0.33 per share. This represents a $1.32 annualized dividend and a dividend yield of 3.3%. This is a boost from Standard Motor Products’s previous quarterly dividend of $0.31. The ex-dividend date of this dividend is Friday, February 13th. Standard Motor Products’s payout ratio is currently 94.29%.

Insiders Place Their Bets

In other Standard Motor Products news, VP Ray Nicholas sold 9,093 shares of Standard Motor Products stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $38.01, for a total transaction of $345,624.93. Following the completion of the sale, the vice president owned 40,609 shares of the company’s stock, valued at approximately $1,543,548.09. The trade was a 18.30% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 5.00% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Standard Motor Products

Large investors have recently added to or reduced their stakes in the company. Tower Research Capital LLC TRC grew its holdings in shares of Standard Motor Products by 235.5% during the second quarter. Tower Research Capital LLC TRC now owns 2,298 shares of the auto parts company’s stock worth $71,000 after buying an additional 1,613 shares in the last quarter. iSAM Funds UK Ltd acquired a new stake in Standard Motor Products in the 3rd quarter valued at $99,000. Quantbot Technologies LP bought a new stake in Standard Motor Products during the 3rd quarter worth about $108,000. Zacks Investment Management bought a new stake in Standard Motor Products during the 3rd quarter worth about $202,000. Finally, EP Wealth Advisors LLC bought a new stake in Standard Motor Products during the 2nd quarter worth about $205,000. Institutional investors own 81.26% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts recently weighed in on SMP shares. Weiss Ratings reiterated a “hold (c)” rating on shares of Standard Motor Products in a research note on Monday, December 29th. Zacks Research cut Standard Motor Products from a “strong-buy” rating to a “hold” rating in a research report on Thursday, January 1st. Finally, Roth Mkm reaffirmed a “buy” rating and issued a $49.00 target price on shares of Standard Motor Products in a research report on Monday, November 3rd. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Standard Motor Products has an average rating of “Hold” and a consensus price target of $49.00.

About Standard Motor Products

Standard Motor Products, Inc, headquartered in Long Island City, New York, is a leading manufacturer and distributor of aftermarket and original equipment automotive parts. Since its founding in 1919, the company has focused on engineering, testing, and supplying ignition and temperature management products for passenger cars and light trucks. Its product lineup includes ignition coils, spark plug wires, sensors, switches, heating and air conditioning controls, and related electronic components.

The company operates through two primary segments: Engine Management and Temperature Control.