Comparing PHINIA (NYSE:PHIN) & Gentex (NASDAQ:GNTX)

PHINIA (NYSE:PHIN) and Gentex (NASDAQ:GNTX) are both auto/tires/trucks companies, but which is the better business? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, risk, dividends and earnings.

Profitability

This table compares PHINIA and Gentex’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PHINIA	2.48%	8.04%	3.69%
Gentex	17.87%	17.78%	15.66%

Valuation and Earnings

This table compares PHINIA and Gentex’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PHINIA	$3.50 billion	0.53	$102.00 million	N/A	N/A
Gentex	$2.30 billion	3.00	$428.40 million	$1.89	15.79

Gentex has lower revenue, but higher earnings than PHINIA.

Insider and Institutional Ownership

90.9% of PHINIA shares are held by institutional investors. Comparatively, 86.8% of Gentex shares are held by institutional investors. 1.5% of PHINIA shares are held by insiders. Comparatively, 0.4% of Gentex shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Dividends

PHINIA pays an annual dividend of $1.00 per share and has a dividend yield of 2.4%. Gentex pays an annual dividend of $0.48 per share and has a dividend yield of 1.6%. Gentex pays out 25.4% of its earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings for PHINIA and Gentex, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PHINIA	0	0	2	0	3.00
Gentex	0	3	3	0	2.50

PHINIA presently has a consensus price target of $43.00, suggesting a potential upside of 1.44%. Gentex has a consensus price target of $37.33, suggesting a potential upside of 25.07%. Given Gentex’s higher possible upside, analysts plainly believe Gentex is more favorable than PHINIA.

Summary

Gentex beats PHINIA on 8 of the 14 factors compared between the two stocks.

About PHINIA

PHINIA Inc. engages in the development, design, and manufacture of integrated components and systems that optimize performance, increase efficiency, and reduce emissions in combustion and hybrid propulsion for commercial and light vehicles, and industrial applications. The company operates through Fuel Systems and Aftermarket segments. The Fuel Systems segment provides advanced fuel injection systems, including pumps, injectors, fuel rail assemblies, and engine control modules; fuel delivery modules; canisters; sensors; and electronic control modules. The segment also offers complete systems comprising associated software and calibration services, that reduce emissions and improve fuel economy for traditional and hybrid applications. The Aftermarket segment is involved in the sale of starters, alternators, and other new and remanufactured products, as well as maintenance, test equipment, and vehicle diagnostics solutions. It servs original equipment manufacturers of passenger cars, trucks, vans, sport-utility vehicles, medium-duty and heavy-duty trucks, and buses, as well as other off-highway construction, marine, and agricultural and industrial applications. PHINIA Inc. was incorporated in 2023 and is based in Auburn Hills, Michigan.

About Gentex

Gentex Corporation designs, develops, manufactures, markets, and supplies digital vision, connected car, dimmable glass, and fire protection products in the United States, Germany, Japan, Mexico, Republic of Korea, and internationally. It operates through Automotive Products and Other segments. The company offers automotive products, including interior and exterior electrochromic automatic-dimming rearview mirrors, automotive electronics, and non-automatic-dimming rearview mirrors for automotive passenger cars, light trucks, pick-up trucks, sport utility vehicles, and vans for original equipment manufacturers, automotive suppliers, and various aftermarket and accessory customers. It also provides variable dimmable windows to aircraft manufacturers and airline operators. In addition, the company offers photoelectric smoke detectors and alarms, electrochemical carbon monoxide alarms and detectors, audible and visual signaling alarms, and bells and speakers used in fire detection systems in office buildings, hotels, and other commercial and residential buildings, as well as researches and develops nanofiber chemical sensing products. It sells its fire protection products directly, as well as through sales managers and manufacturer representative organizations to fire protection and security product distributors, electrical wholesale houses, and original equipment manufacturers of fire protection systems. Gentex Corporation was incorporated in 1974 and is headquartered in Zeeland, Michigan.