Lear (NYSE:LEA) Downgraded by Wall Street Zen to “Buy”

Wall Street Zen lowered shares of Lear (NYSE:LEA) from a strong-buy rating to a buy rating in a report issued on Saturday.

Several other equities analysts also recently weighed in on the stock. The Goldman Sachs Group reiterated a “neutral” rating and issued a $140.00 price target on shares of Lear in a report on Saturday. Royal Bank Of Canada upped their price objective on shares of Lear from $138.00 to $143.00 and gave the company a “sector perform” rating in a report on Monday, July 13th. Morgan Stanley set a $130.00 price objective on shares of Lear in a research note on Monday, May 4th. JPMorgan Chase & Co. raised their target price on shares of Lear from $153.00 to $159.00 and gave the stock an “overweight” rating in a report on Friday, July 10th. Finally, Citigroup boosted their target price on shares of Lear from $177.00 to $179.00 and gave the company a “buy” rating in a research report on Monday, May 4th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and nine have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $145.31.

Lear Trading Down 10.7%

NYSE:LEA opened at $130.63 on Friday. The company has a market capitalization of $6.54 billion, a P/E ratio of 12.17, a PEG ratio of 0.63 and a beta of 1.25. The company has a current ratio of 1.33, a quick ratio of 1.05 and a debt-to-equity ratio of 0.51. Lear has a 12 month low of $91.67 and a 12 month high of $150.33. The firm has a fifty day simple moving average of $140.07 and a 200-day simple moving average of $131.11.

Lear (NYSE:LEA) last announced its quarterly earnings data on Friday, July 31st. The auto parts company reported $4.28 earnings per share for the quarter, beating analysts’ consensus estimates of $3.98 by $0.30. Lear had a return on equity of 13.69% and a net margin of 2.25%.The business had revenue of $6.21 billion for the quarter, compared to analyst estimates of $6.15 billion. During the same period in the prior year, the company earned $3.06 earnings per share. The company’s revenue was up 3.0% on a year-over-year basis. On average, equities research analysts anticipate that Lear will post 14.81 earnings per share for the current year.

Lear Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 23rd. Stockholders of record on Wednesday, June 3rd were paid a dividend of $0.77 per share. This represents a $3.08 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend was Wednesday, June 3rd. Lear’s dividend payout ratio is presently 30.80%.

Insiders Place Their Bets

In other news, CEO Raymond E. Scott sold 50,000 shares of the stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $135.37, for a total transaction of $6,768,500.00. Following the transaction, the chief executive officer owned 49,789 shares in the company, valued at $6,739,936.93. This trade represents a 50.11% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Jason M. Cardew sold 5,000 shares of Lear stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $147.50, for a total transaction of $737,500.00. Following the completion of the sale, the chief financial officer directly owned 13,241 shares in the company, valued at $1,953,047.50. This represents a 27.41% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 62,026 shares of company stock worth $8,498,248. Corporate insiders own 1.02% of the company’s stock.

Institutional Trading of Lear

Institutional investors and hedge funds have recently modified their holdings of the stock. Jones Financial Companies Lllp boosted its holdings in Lear by 5,205.1% in the 1st quarter. Jones Financial Companies Lllp now owns 7,268 shares of the auto parts company’s stock worth $604,000 after buying an additional 7,131 shares during the last quarter. United Services Automobile Association acquired a new position in shares of Lear during the first quarter valued at approximately $267,000. Empowered Funds LLC acquired a new position in shares of Lear during the first quarter valued at approximately $256,000. EverSource Wealth Advisors LLC lifted its position in shares of Lear by 37.1% in the second quarter. EverSource Wealth Advisors LLC now owns 968 shares of the auto parts company’s stock valued at $92,000 after acquiring an additional 262 shares in the last quarter. Finally, Cerity Partners LLC lifted its position in shares of Lear by 9.5% in the second quarter. Cerity Partners LLC now owns 4,296 shares of the auto parts company’s stock valued at $408,000 after acquiring an additional 372 shares in the last quarter. Hedge funds and other institutional investors own 97.04% of the company’s stock.

Key Headlines Impacting Lear

Here are the key news stories impacting Lear this week:

• Positive Sentiment: Lear reported second-quarter adjusted EPS of $4.28, above the approximately $3.98 consensus estimate, while revenue of $6.21 billion also exceeded expectations of roughly $6.15 billion. EPS rose from $3.06 a year earlier and revenue increased 3%. Lear Reports Second Quarter 2026 Results; Raises Full-Year Guidance
• Positive Sentiment: The company raised the midpoints of its 2026 outlook, targeting revenue of approximately $23.54 billion to $24.01 billion and core operating earnings of about $1.08 billion to $1.20 billion. Lear cited roughly 3% year-over-year revenue growth, gains above overall vehicle-market growth, and improving operating margins. Lear Reports Second Quarter 2026 Results; Raises Full-Year Guidance
• Positive Sentiment: Adjusted EPS increased about 23% year over year, free cash flow improved by approximately $117 million, and Lear repurchased $100 million of stock during the quarter. Lear Corporation 2026 Q2 Results Presentation
• Neutral Sentiment: Analyst price targets remain mixed, with recent targets ranging from $131 to $179 and a six-month median of $145.50, indicating differing views on Lear’s earnings power and automotive-market prospects.
• Negative Sentiment: Investors appear to have treated the results as a “sell-the-news” event because the guidance increase and margin improvement may not have exceeded already high expectations. Separately, reported insider activity showed 20 open-market sales and no purchases over the past six months, which may add to near-term sentiment pressure. Lear Slides After Q2 Despite Higher 2026 Outlook

About Lear

Lear Corporation (NYSE: LEA) is a global supplier of automotive seating and electrical distribution systems. The company designs, engineers and manufactures complete seat systems, seat components and power solutions for major vehicle manufacturers. Its electrical business delivers modules and components for battery management, infotainment, body and safety electronics, as well as advanced connectivity and electrification solutions.

The seating division develops lightweight, ergonomic seat structures, trim and mechanisms that address comfort, safety and environmental targets.