Lear Corp. (LEA) Downgraded by Goldman Sachs Group Inc.
Lear Corp. (NYSE:LEA) was downgraded by equities research analysts at Goldman Sachs Group Inc. from a “neutral” rating to a “sell” rating in a report released on Thursday.
The analysts wrote, “As a result, we believe shares could see a pullback on just achieving the top end of management guidance,” Tamberrino wrote in a note.Further, the analyst said the company could face stiff competition from Johnson Controls Automotive on future business awards, pricing and margins. The rival is re-investing and increasing its bidding activity.Related Link: A Weaker Outlook For Gentherm Drives Argus To Downgrade”While Lear (17 percent) is a top player within the Auto seating business — with core capabilities above and beyond its competitors, the company is behind Johnson Controls’ Automotive segment (27 percent) in market share,”
Other analysts have also issued research reports about the company. Zacks Investment Research lowered Lear Corp. from a “buy” rating to a “hold” rating in a research note on Wednesday. Bank of America Corp. lowered Lear Corp. from a “buy” rating to a “neutral” rating in a research note on Tuesday, June 21st. Seaport Global Securities assumed coverage on Lear Corp. in a research note on Tuesday, August 9th. They issued a “neutral” rating on the stock. Citigroup Inc. upped their price objective on Lear Corp. from $145.00 to $153.00 and gave the company a “buy” rating in a research note on Tuesday, August 2nd. Finally, Barclays PLC set a $127.00 price objective on Lear Corp. and gave the company a “hold” rating in a research note on Monday, August 1st. One analyst has rated the stock with a sell rating, seven have assigned a hold rating and four have issued a buy rating to the stock. The stock presently has a consensus rating of “Hold” and an average price target of $129.11.
Shares of Lear Corp. (NYSE:LEA) opened at 124.46 on Thursday. The firm has a market cap of $8.90 billion, a price-to-earnings ratio of 9.96 and a beta of 1.22. The stock’s 50 day moving average price is $117.11 and its 200 day moving average price is $113.22. Lear Corp. has a one year low of $93.54 and a one year high of $127.00.
Lear Corp. (NYSE:LEA) last issued its quarterly earnings results on Thursday, July 28th. The company reported $3.66 EPS for the quarter, beating the consensus estimate of $3.32 by $0.34. Lear Corp. had a return on equity of 31.69% and a net margin of 5.14%. The firm earned $4.70 billion during the quarter, compared to analysts’ expectations of $4.86 billion. During the same period in the prior year, the firm posted $2.82 earnings per share. The business’s quarterly revenue was up 1.9% compared to the same quarter last year. On average, equities analysts anticipate that Lear Corp. will post $13.27 earnings per share for the current fiscal year.
The business also recently disclosed a quarterly dividend, which was paid on Thursday, September 22nd. Shareholders of record on Thursday, September 1st were paid a dividend of $0.30 per share. The ex-dividend date was Tuesday, August 30th. This represents a $1.20 dividend on an annualized basis and a yield of 0.96%. Lear Corp.’s dividend payout ratio (DPR) is presently 9.58%.
In other Lear Corp. news, Director Jonathan F. Foster sold 1,500 shares of the firm’s stock in a transaction on Wednesday, September 28th. The stock was sold at an average price of $119.24, for a total transaction of $178,860.00. Following the transaction, the director now owns 4,025 shares in the company, valued at approximately $479,941. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Company insiders own 0.33% of the company’s stock.
A number of institutional investors have recently bought and sold shares of the company. Bank of Montreal Can bought a new position in Lear Corp. during the second quarter worth approximately $222,829,000. Investec Asset Management LTD acquired a new stake in shares of Lear Corp. during the first quarter worth $62,828,000. Vanguard Group Inc. increased its stake in shares of Lear Corp. by 9.7% in the second quarter. Vanguard Group Inc. now owns 5,704,450 shares of the company’s stock worth $580,484,000 after buying an additional 502,415 shares in the last quarter. AQR Capital Management LLC increased its stake in shares of Lear Corp. by 30.8% in the second quarter. AQR Capital Management LLC now owns 1,668,029 shares of the company’s stock worth $169,739,000 after buying an additional 392,597 shares in the last quarter. Finally, NN Investment Partners Holdings N.V. acquired a new stake in shares of Lear Corp. during the first quarter worth $43,520,000. Hedge funds and other institutional investors own 94.70% of the company’s stock.
About Lear Corp.
Lear Corporation (Lear) is a supplier to the global automotive industry. The Company is engaged in supplying seating, electrical distribution systems and electronic modules, as well as related sub-systems, components and software, to automotive manufacturers. The Company operates through two segments: seating and electrical.
Receive News & Stock Ratings for Lear Corp. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Lear Corp. and related stocks with our FREE daily email newsletter.