Lear Corporation

$ 139.75 1.33 %

Lear Corporation, established in 1917 and headquartered in Southfield, Michigan, stands as a premier global supplier to the automotive industry. The company specializes in the conceptualization, development, engineering, manufacturing, and assembly of complete automotive seating solutions and sophisticated electrical distribution systems, along with related components. These critical products are supplied to original equipment manufacturers (OEMs) across North America, Europe, Africa, Asia, and South America. Its Seating segment delivers a comprehensive range of products, including full seat systems, critical seat subsystems, various key components, trim covers, mechanisms, foam components, and headrests. They also provide surface materials, such as premium leather and fabric, for a diverse array of vehicles, from passenger cars and compact vehicles to light trucks, pick-up trucks, and sport utility vehicles. The E-Systems segment focuses on advanced electrical distribution and connection technologies. This includes systems designed to efficiently route electrical signals and networks, and to precisely manage electrical power for different powertrain configurations within a vehicle. Product offerings in this segment encompass wire harnesses, terminals, connectors, custom-engineered components, and junction boxes. Additionally, it supplies complex electronic system products like body domain control modules, smart and passive junction boxes, gateway and communication modules, integrated power modules, and high-voltage switching and power control systems. Beyond hardware, this segment provides cutting-edge software and connected services, featuring Xevo Market – an in-vehicle commerce and service platform – alongside various software solutions and services for cloud, vehicle, and mobile applications. It further extends to cybersecurity software, advanced vehicle positioning systems crucial for automated and autonomous driving, and protocols for both short-range communication and cellular vehicle connectivity. Lear Corporation markets its extensive product portfolio under well-known brands such as XEVO, GUILFORD, EAGLE OTTAWA, ConfigurE+, INTUTM, LEAR CONNEXUSTM, EXO, JOURNEYWARE, ProTec, SMART JUNCTION BOX, STRUCSURE, AVENTINO, and TeXstyle.

CEO: Raymond E. Scott Jr. - https://www.lear.com

Price objectif

$134.86 -3.50 %

Recommandation

Hold

DCF

$ 129.27

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LEA vs S&P500

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Quick ratio

1.05

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

13.96

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

10.01

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

10.41 %

reflects reasonable profitability, showing good use of equity.

ROIC

8.65 %

generates a return higher than the cost of its capital, thereby creating value for its investors.

WACC

7.52

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.69

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

14.35

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

31.04 %

indicates that the company is retaining a large portion of its profits to reinvest in growth

Earnings per share

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Financials

Piotroski score
7 indicates good financial health
Altman score
2.85 indicates an uncertain financial situation
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Cash / Debt

Cash Ratio
0.14 indicates liquidity risk, as the company may not have enough cash to meet its immediate obligations
Debt Ratio
0.23 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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