Gentherm (NASDAQ:THRM) Shares Gap Up on Analyst Upgrade

Gentherm Inc (NASDAQ:THRM) gapped up prior to trading on Tuesday after JPMorgan Chase & Co. upgraded the stock from a neutral rating to an overweight rating. The stock had previously closed at $38.23, but opened at $39.81. JPMorgan Chase & Co. now has a $48.00 price target on the stock. Gentherm shares last traded at $38.5260, with a volume of 18,765 shares trading hands.

Several other analysts have also weighed in on the company. Zacks Research raised Gentherm from a “hold” rating to a “strong-buy” rating in a report on Monday, July 27th. Roth Capital reaffirmed a “buy” rating and set a $50.00 price target on shares of Gentherm in a research note on Wednesday, July 29th. CJS Securities started coverage on shares of Gentherm in a research report on Monday. They issued an “outperform” rating and a $50.00 price objective on the stock. Stifel Nicolaus increased their price objective on shares of Gentherm from $44.00 to $59.00 and gave the company a “buy” rating in a research note on Friday, July 24th. Finally, Wall Street Zen downgraded shares of Gentherm from a “strong-buy” rating to a “buy” rating in a report on Saturday, August 1st. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $46.50.

Insider Activity

In related news, SVP Wayne Kauffman, III sold 4,700 shares of the business’s stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $43.21, for a total value of $203,087.00. Following the completion of the sale, the senior vice president directly owned 27,421 shares in the company, valued at approximately $1,184,861.41. The trade was a 14.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.10% of the company’s stock.

Hedge Funds Weigh In On Gentherm

A number of large investors have recently bought and sold shares of THRM. Tidal Investments LLC boosted its holdings in shares of Gentherm by 9.4% in the 2nd quarter. Tidal Investments LLC now owns 23,651 shares of the auto parts company’s stock valued at $807,000 after purchasing an additional 2,030 shares during the last quarter. Engineers Gate Manager LP increased its holdings in shares of Gentherm by 95.0% during the 2nd quarter. Engineers Gate Manager LP now owns 17,200 shares of the auto parts company’s stock worth $587,000 after buying an additional 8,380 shares during the last quarter. Corient Private Wealth LP raised its position in shares of Gentherm by 43.4% in the 2nd quarter. Corient Private Wealth LP now owns 11,780 shares of the auto parts company’s stock worth $402,000 after buying an additional 3,565 shares during the period. California State Teachers Retirement System raised its position in shares of Gentherm by 3,972.4% in the 2nd quarter. California State Teachers Retirement System now owns 1,167,074 shares of the auto parts company’s stock worth $39,809,000 after buying an additional 1,138,416 shares during the period. Finally, Odyssean LLC acquired a new position in Gentherm in the second quarter valued at $422,000. Hedge funds and other institutional investors own 97.13% of the company’s stock.

Gentherm Stock Up 0.8%

The stock has a fifty day moving average of $39.76 and a two-hundred day moving average of $34.44. The company has a quick ratio of 1.49, a current ratio of 2.06 and a debt-to-equity ratio of 0.38. The stock has a market cap of $1.18 billion, a price-to-earnings ratio of 44.35, a PEG ratio of 0.89 and a beta of 1.34.

Gentherm (NASDAQ:THRM) last announced its quarterly earnings results on Thursday, July 23rd. The auto parts company reported $0.75 EPS for the quarter, topping the consensus estimate of $0.56 by $0.19. The company had revenue of $416.17 million during the quarter, compared to analyst estimates of $382.90 million. Gentherm had a return on equity of 12.06% and a net margin of 1.68%.The firm’s revenue was up 11.0% on a year-over-year basis. During the same period in the prior year, the firm posted $0.54 earnings per share. As a group, analysts predict that Gentherm Inc will post 2.92 EPS for the current fiscal year.

Gentherm announced that its Board of Directors has initiated a share buyback program on Thursday, July 23rd that permits the company to buyback $400.00 million in shares. This buyback authorization permits the auto parts company to buy up to 36.2% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.

About Gentherm

Gentherm Inc (NASDAQ: THRM) develops and manufactures thermal management and pneumatic comfort technologies for the automotive and medical markets. The company’s products are designed to improve occupant comfort, regulate temperature and support specialized healthcare applications.

For automotive customers, Gentherm supplies heated and ventilated seating systems, climate-controlled seats, heated steering wheels, neck-conditioning systems and other interior comfort technologies. Its portfolio also includes battery thermal management and related solutions intended to help manage temperature in electrified vehicles.

In the medical market, Gentherm provides patient temperature-management systems used for warming and cooling during medical procedures and critical-care applications.