Motorcar Parts of America Inc. Common Stock (MPAA)

FairStock Score: 20/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Motorcar Parts of America as a Graham-style balance-sheet case, not a growth story. It sells non-discretionary aftermarket auto parts and test equipment, which should be steadier than new-car demand, but the figures show no durable moat. Revenue rose from $717.7M in fiscal FY2024, ended 2024-03-31, to $757.4M in fiscal FY2025, ended 2025-03-31, and $789.8M in fiscal FY2026, ended 2026-03-31. Profitability was erratic: net losses of $49.2M and $19.5M in fiscal FY2024 and fiscal FY2025, then net income of $12.4M in fiscal FY2026. That looked like a turnaround, and FairStock’s Lynch category is TURNAROUND because it returned to profit after a loss within three years. But the latest filed quarter, fiscal Q1 2027, ended 2026-06-30, showed revenue of $168.0M and a net loss of $13.4M, or EPS of $-0.71, so the turnaround is not yet proven. Financial health is the weak point. At the 2026-10-13 close, FairStock shows a P/B of 0.79 and EV/EBITDA of 6.75, which look modest, but P/E is -44.13, FCF is -$10.2M, FCF yield is -5.1%, D/E is 0.92, Altman Z is 0.56, and Piotroski is 1/9. Those are not the marks of a fortress. The stock is near the low end of its 52-week range of $9.29 to $18.12, and the low price may reflect real balance-sheet and cash-flow risk rather than an easy bargain. I would want to see sustained profits and positive free cash flow before trusting the book value as a margin of safety.

In plain English: Motorcar Parts of America makes replacement parts for cars and testing equipment. The business looks weak right now: the latest filed quarter showed a loss and sales fell from the same quarter a year earlier, and its cash flow is negative. The stock price looks low compared with the company’s accounting net assets, but the weak profit record makes it hard to call it a clear bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2027 10-Q (period ended 2026-06-30) · fiscal Q3 2026 10-Q (period ended 2025-12-31) · fiscal Q2 2026 10-Q (period ended 2025-09-30) · fiscal Q1 2026 10-Q (period ended 2025-06-30) · FY2026 10-K (period ended 2026-03-31) · FY2025 10-K (period ended 2025-03-31) · FY2024 10-K (period ended 2024-03-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer