Lear (NYSE:LEA) Reaches New 12-Month Low – Here’s Why

Lear Co. (NYSE:LEA)’s share price reached a new 52-week low on Tuesday . The stock traded as low as $95.59 and last traded at $96.07, with a volume of 10113 shares. The stock had previously closed at $96.29.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the company. Barclays downgraded Lear from an “overweight” rating to an “equal weight” rating and lowered their price target for the stock from $140.00 to $120.00 in a research report on Wednesday, October 30th. JPMorgan Chase & Co. lowered their price objective on shares of Lear from $162.00 to $160.00 and set an “overweight” rating for the company in a research report on Monday, October 21st. Bank of America reduced their target price on Lear from $180.00 to $170.00 and set a “buy” rating on the stock in a report on Monday, October 14th. Evercore ISI reduced their price objective on Lear from $155.00 to $145.00 and set an “in-line” rating on the stock in a research note on Monday, July 15th. Finally, The Goldman Sachs Group cut their price objective on Lear from $144.00 to $135.00 and set a “buy” rating on the stock in a report on Tuesday, October 1st. Eight equities research analysts have rated the stock with a hold rating and six have given a buy rating to the company’s stock. Based on data from MarketBeat, Lear has a consensus rating of “Hold” and a consensus target price of $141.08.

Lear Stock Down 1.1 %

The firm has a market capitalization of $5.18 billion, a P/E ratio of 9.95, a price-to-earnings-growth ratio of 0.54 and a beta of 1.46. The company has a debt-to-equity ratio of 0.57, a current ratio of 1.33 and a quick ratio of 1.03. The stock has a fifty day moving average of $106.92 and a 200 day moving average of $115.97.

Lear (NYSE:LEA) last released its earnings results on Thursday, October 24th. The auto parts company reported $2.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.57 by $0.32. Lear had a return on equity of 14.68% and a net margin of 2.33%. The business had revenue of $5.58 billion during the quarter, compared to the consensus estimate of $5.52 billion. During the same period last year, the business posted $2.87 earnings per share. The business’s revenue for the quarter was down 3.4% on a year-over-year basis. On average, research analysts anticipate that Lear Co. will post 12.15 EPS for the current fiscal year.

Lear Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, September 23rd. Investors of record on Wednesday, September 4th were paid a $0.77 dividend. This represents a $3.08 dividend on an annualized basis and a yield of 3.23%. The ex-dividend date of this dividend was Wednesday, September 4th. Lear’s dividend payout ratio is currently 32.39%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Altshuler Shaham Ltd bought a new position in shares of Lear in the second quarter worth approximately $26,000. Headlands Technologies LLC bought a new stake in shares of Lear during the 1st quarter valued at $29,000. EverSource Wealth Advisors LLC increased its stake in shares of Lear by 70.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 266 shares of the auto parts company’s stock worth $32,000 after acquiring an additional 110 shares in the last quarter. Blue Trust Inc. increased its holdings in shares of Lear by 240.4% during the third quarter. Blue Trust Inc. now owns 303 shares of the auto parts company’s stock valued at $35,000 after acquiring an additional 214 shares in the last quarter. Finally, Signaturefd LLC raised its position in shares of Lear by 71.6% in the 3rd quarter. Signaturefd LLC now owns 333 shares of the auto parts company’s stock worth $36,000 after purchasing an additional 139 shares during the last quarter. Institutional investors own 97.04% of the company’s stock.

About Lear

Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. Its Seating segment offers seat systems, seat subsystems, keyseat components, seat trim covers, seat mechanisms, seat foams, and headrests, as well as surface materials, such as leather and fabric for automobiles and light trucks, compact cars, pick-up trucks, and sport utility vehicles.