Lear Co. (NYSE:LEA) has been given a consensus recommendation of “Buy” by the seventeen brokerages that are presently covering the firm, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, five have assigned a hold rating and eleven have given a buy rating to the company. The average 1-year price target among analysts that have covered the stock in the last year is $177.58.
LEA has been the topic of a number of analyst reports. Zacks Investment Research lowered Lear from a “buy” rating to a “hold” rating in a report on Thursday, February 7th. Longbow Research reissued a “buy” rating and set a $190.00 price objective on shares of Lear in a report on Wednesday, May 1st. ValuEngine lowered Lear from a “hold” rating to a “sell” rating in a report on Thursday, February 28th. Goldman Sachs Group reissued a “buy” rating and set a $182.00 price objective (up previously from $163.00) on shares of Lear in a report on Monday, January 28th. Finally, Morgan Stanley set a $185.00 price objective on Lear and gave the company a “buy” rating in a report on Tuesday, January 29th.
Shares of LEA stock opened at $125.85 on Monday. The company has a current ratio of 1.34, a quick ratio of 1.10 and a debt-to-equity ratio of 0.44. Lear has a fifty-two week low of $114.45 and a fifty-two week high of $206.36. The stock has a market capitalization of $7.84 billion, a price-to-earnings ratio of 6.91, a PEG ratio of 2.98 and a beta of 1.32.
Lear (NYSE:LEA) last issued its earnings results on Friday, April 26th. The auto parts company reported $4.00 earnings per share for the quarter, missing the consensus estimate of $4.06 by ($0.06). The firm had revenue of $5.16 billion during the quarter, compared to analyst estimates of $5.25 billion. Lear had a return on equity of 25.28% and a net margin of 4.94%. The business’s revenue for the quarter was down 10.0% on a year-over-year basis. During the same period in the previous year, the company earned $5.10 earnings per share. Equities research analysts expect that Lear will post 17.66 earnings per share for the current fiscal year.
The firm also recently announced a quarterly dividend, which will be paid on Wednesday, June 26th. Shareholders of record on Friday, June 7th will be issued a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a yield of 2.38%. The ex-dividend date of this dividend is Thursday, June 6th. Lear’s dividend payout ratio (DPR) is currently 16.47%.
Lear announced that its board has initiated a share buyback plan on Thursday, February 7th that allows the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization allows the auto parts company to reacquire up to 15.6% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its stock is undervalued.
Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Advisory Services Network LLC grew its holdings in Lear by 25.1% in the 4th quarter. Advisory Services Network LLC now owns 877 shares of the auto parts company’s stock valued at $108,000 after buying an additional 176 shares during the last quarter. Citigroup Inc. grew its holdings in Lear by 17.3% in the 4th quarter. Citigroup Inc. now owns 177,365 shares of the auto parts company’s stock valued at $21,792,000 after buying an additional 26,155 shares during the last quarter. Actinver Wealth Management Inc. acquired a new stake in Lear in the 4th quarter valued at approximately $242,000. Foresters Investment Management Company Inc. grew its holdings in Lear by 1.6% in the 4th quarter. Foresters Investment Management Company Inc. now owns 46,250 shares of the auto parts company’s stock valued at $5,682,000 after buying an additional 750 shares during the last quarter. Finally, Boston Partners grew its holdings in Lear by 31.7% in the 4th quarter. Boston Partners now owns 2,063,594 shares of the auto parts company’s stock valued at $253,533,000 after buying an additional 496,194 shares during the last quarter. 89.56% of the stock is currently owned by hedge funds and other institutional investors.
Lear Company Profile
Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers worldwide. It operates in two segments, Seating and E-Systems. The Seating segment offers leather and fabric products, seat trim covers, recliner mechanisms, seat tracks and foams, seat structures and mechanisms, and headrests for automobiles and light trucks, compact cars, and sport utility vehicles; and heating and cooling systems.
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