Gentherm (NASDAQ:THRM) Releases Earnings Results, Misses Expectations By $0.08 EPS

Gentherm (NASDAQ:THRM) issued its quarterly earnings results on Thursday. The auto parts company reported $0.49 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.57 by ($0.08), FiscalAI reports. The business had revenue of $382.79 million for the quarter, compared to analysts’ expectations of $371.91 million. Gentherm had a return on equity of 10.07% and a net margin of 1.22%.The firm’s revenue for the quarter was up 8.5% on a year-over-year basis. During the same quarter last year, the company earned $0.29 earnings per share.

Here are the key takeaways from Gentherm’s conference call:

• Gentherm plans to combine with Modine Performance Technologies (expected close by end of 2026), creating a ~$2.6B pro forma company with identified near-term run-rate synergies of ~$25M and a management target to scale to ~$3.5B revenue and >$500M earnings by 2030.
• Management validated its go‑beyond‑automotive strategy with a >$300M lifetime commercial funnel outside light vehicles and rapid wins in home & office, commercial vehicles, and powersports, including an immediate supply win with a global furniture brand.
• Gentherm submitted a 510(k) for the Thermafix patient warming/securement system, expects revenue from that product later this year, and projects medical revenue growth into the high‑teens as it refreshes the product roadmap.
• 2026 guidance calls for revenue of $1.5–$1.6B (≈+3% midpoint ex‑FX), Adjusted EBITDA of $175–$195M (≈12% margin midpoint), and adjusted free cash flow of $80–$100M; the company also provided a preliminary 2027 revenue outlook of ~$1.7B (+~10% vs. 2026 midpoint).
• 2025 Adjusted EBITDA fell to $175M (11–11.7% of sales) from 12.6% due to higher material costs, unfavorable mix and footprint realignment, and management expects footprint transitions to be a ~60bp profit drag in 2026.

Gentherm Price Performance

NASDAQ:THRM traded down $1.59 during trading hours on Monday, reaching $32.53. 317,554 shares of the company traded hands, compared to its average volume of 274,254. The company has a debt-to-equity ratio of 0.26, a current ratio of 1.92 and a quick ratio of 1.30. The firm’s 50-day moving average is $35.58 and its 200-day moving average is $35.59. The stock has a market cap of $992.83 million, a P/E ratio of 53.32 and a beta of 1.34. Gentherm has a 1-year low of $22.75 and a 1-year high of $39.48.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Los Angeles Capital Management LLC acquired a new position in Gentherm during the 4th quarter worth approximately $35,000. Tower Research Capital LLC TRC raised its stake in shares of Gentherm by 232.0% during the second quarter. Tower Research Capital LLC TRC now owns 3,154 shares of the auto parts company’s stock valued at $89,000 after purchasing an additional 2,204 shares during the period. iSAM Funds UK Ltd acquired a new position in shares of Gentherm during the third quarter worth $111,000. Quadrant Capital Group LLC purchased a new position in shares of Gentherm in the third quarter valued at $174,000. Finally, Bank of Montreal Can purchased a new position in shares of Gentherm in the fourth quarter valued at $206,000. Institutional investors and hedge funds own 97.13% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts recently commented on THRM shares. Robert W. Baird decreased their target price on Gentherm from $42.00 to $36.00 and set a “neutral” rating for the company in a research report on Friday. Wall Street Zen downgraded shares of Gentherm from a “strong-buy” rating to a “buy” rating in a research report on Saturday. Finally, Weiss Ratings lowered shares of Gentherm from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, February 9th. One analyst has rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Gentherm currently has an average rating of “Hold” and a consensus target price of $41.00.

About Gentherm

Gentherm Incorporated (NASDAQ: THRM) is a global developer and supplier of advanced thermal management technologies for automotive, specialty vehicle, medical, consumer and industrial markets. The company’s core focus lies in delivering integrated heating and cooling systems designed to enhance energy efficiency, comfort and safety across a wide range of applications. Gentherm’s product portfolio includes seat thermal systems, heated and ventilated seating surfaces, steering wheel heaters, battery thermal management solutions, and climate systems for electric vehicles.

In the automotive sector, Gentherm partners with leading original equipment manufacturers to engineer and manufacture high-performance thermal solutions that meet stringent industry demands for reduced weight, lower energy consumption and improved passenger comfort.