Standard Motor Products (NYSE:SMP) Stock Price Down 9.5% – Here’s Why

Standard Motor Products, Inc. (NYSE:SMP)’s share price dropped 9.5% on Thursday . The company traded as low as $39.14 and last traded at $38.9950. Approximately 72,923 shares were traded during trading, a decline of 40% from the average daily volume of 121,993 shares. The stock had previously closed at $43.10.

Key Headlines Impacting Standard Motor Products

Here are the key news stories impacting Standard Motor Products this week:

• Positive Sentiment: Q4 results beat consensus — SMP reported $0.56 EPS vs. $0.45 expected and revenue of $385.1M (up ~12% YoY), with operating income and adjusted EPS rising. The company also raised its dividend, which supports income-oriented investors. Standard Motor Q4 Earnings Top Estimates, Dividend Raised
• Positive Sentiment: Full-year results and margin gains — FY net sales rose to $1.79B (including Nissens acquisition), adjusted diluted EPS and adjusted EBITDA margin improved materially year-over-year, signaling operating leverage as integration progresses. Standard Motor Products, Inc. Releases 2025 Fourth Quarter and Year-End Results
• Neutral Sentiment: Earnings details and analyst perspective — multiple write-ups and the earnings presentation provide metric-level context (margins, ROE, revenue mix excluding Nissens) for investors modeling FY26. Useful for verifying whether beat reflects one-time items or sustainable improvements. Standard Motor Products (SMP) Q4 Earnings: How Key Metrics Compare to Wall Street Estimates
• Neutral Sentiment: Call transcript and slides available — Management discussed Nissens integration progress and drivers of margin expansion; the transcript and slide deck provide direct commentary for investors assessing sustainability of trends. Standard Motor Products, Inc. 2025 Q4 – Results – Earnings Call Presentation
• Negative Sentiment: Conservative 2026 guidance disappointed some — management outlined low- to mid-single-digit sales growth for 2026 and targeted adjusted EBITDA margin of 11–12%, a cadence that some investors view as cautious given recent momentum, contributing to intraday weakness after the release. Standard Motor Products outlines low to mid-single-digit sales growth for 2026 while advancing Nissens integration
• Negative Sentiment: Rising short interest — February short interest jumped ~19% to ~858K shares (~4.1% of float), increasing potential selling pressure and volatility if sentiment turns negative. Standard Motor Products Stock Page
• Negative Sentiment: Market reaction commentary — some outlets note the stock fell after the print as investors focused on tempered guidance despite the beat, explaining recent intraday swings. Why Standard Motor Products, Inc.’s (SMP) Stock Is Down 6.64%

Analyst Upgrades and Downgrades

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

Standard Motor Products Price Performance

The stock has a market cap of $872.63 million, a price-to-earnings ratio of 21.44 and a beta of 0.76. The company’s 50 day moving average is $40.52 and its 200 day moving average is $39.44. The company has a debt-to-equity ratio of 0.78, a current ratio of 1.96 and a quick ratio of 0.77.

Standard Motor Products (NYSE:SMP) last issued its earnings results on Thursday, February 26th. The auto parts company reported $0.56 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.45 by $0.11. Standard Motor Products had a net margin of 2.31% and a return on equity of 13.23%. The company had revenue of $385.09 million during the quarter, compared to analysts’ expectations of $385.91 million. Research analysts forecast that Standard Motor Products, Inc. will post 3.08 earnings per share for the current fiscal year.

Standard Motor Products Increases Dividend

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

Insiders Place Their Bets

In other news, VP Ray Nicholas sold 9,093 shares of the firm’s stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $38.01, for a total value of $345,624.93. Following the completion of the transaction, the vice president owned 40,609 shares in the company, valued at $1,543,548.09. This trade represents a 18.30% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 5.00% of the company’s stock.

Hedge Funds Weigh In On Standard Motor Products

Hedge funds have recently bought and sold shares of the stock. Nisa Investment Advisors LLC lifted its position in shares of Standard Motor Products by 4,842.1% in the second quarter. Nisa Investment Advisors LLC now owns 939 shares of the auto parts company’s stock valued at $29,000 after acquiring an additional 920 shares in the last quarter. Tower Research Capital LLC TRC lifted its holdings in Standard Motor Products by 235.5% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,298 shares of the auto parts company’s stock valued at $71,000 after purchasing an additional 1,613 shares in the last quarter. iSAM Funds UK Ltd acquired a new stake in shares of Standard Motor Products during the 3rd quarter worth about $99,000. Quantbot Technologies LP purchased a new stake in shares of Standard Motor Products during the third quarter worth about $108,000. Finally, Zacks Investment Management purchased a new stake in shares of Standard Motor Products during the third quarter worth about $202,000. Hedge funds and other institutional investors own 81.26% of the company’s stock.

Standard Motor Products Company Profile

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.