Dana (NYSE:DAN) Announces Quarterly Earnings Results

Dana (NYSE:DAN) released its quarterly earnings results on Wednesday. The auto parts company reported $0.41 EPS for the quarter, missing the consensus estimate of $0.69 by ($0.28), FiscalAI reports. Dana had a return on equity of 5.03% and a net margin of 13.45%. The company had revenue of $2.04 billion during the quarter, compared to the consensus estimate of $1.97 billion. During the same period in the previous year, the firm posted $0.07 earnings per share. The company’s revenue was up 6.4% on a year-over-year basis.

Here are the key takeaways from Dana’s conference call:

• Third-quarter performance improved materially: Sales rose $121 million year over year to $2.038 billion, while adjusted EBITDA increased $56 million to $218 million; the margin expanded 220 basis points to 10.7% and adjusted EPS reached $0.41.
• Dana raised its full-year sales outlook to approximately $7.8 billion, citing stronger commercial-vehicle demand and higher commodity recoveries. Adjusted EBITDA remains guided to $825 million, with adjusted free cash flow at approximately $325 million.
• The Eaton Mobility transaction remains on track to close around the end of the first quarter of 2027, with only one regulatory approval outstanding. Management remains confident in achieving $250 million of annual run-rate synergies within 24 months, including approximately $75 million in 2027.
• Shareholder returns remain a focus: Dana repurchased $200 million of stock in the third quarter and now targets $469 million of repurchases in 2026. However, the company has not yet finalized whether buybacks can resume after the Eaton transaction closes.
• Inflation remains a significant risk, particularly in energy and freight, where customer contracts generally do not provide automatic recovery mechanisms. Management described the gross inflation exposure as a nine-digit figure, while aftermarket demand is facing additional headwinds in Europe, the Middle East and Asia.

Dana Stock Performance

Dana stock traded down $1.68 during mid-day trading on Friday, hitting $23.17. The company had a trading volume of 2,638,978 shares, compared to its average volume of 1,607,084. The company’s fifty day moving average is $28.94 and its 200-day moving average is $31.10. Dana has a 12-month low of $18.95 and a 12-month high of $39.56. The company has a market capitalization of $2.31 billion, a price-to-earnings ratio of 2.43 and a beta of 2.14. The company has a current ratio of 1.13, a quick ratio of 0.78 and a debt-to-equity ratio of 0.47.

Dana Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Friday, November 6th will be given a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a yield of 2.1%. The ex-dividend date of this dividend is Friday, November 6th. Dana’s dividend payout ratio is currently 5.03%.

Analyst Ratings Changes

Several equities analysts have issued reports on DAN shares. Royal Bank Of Canada dropped their price objective on shares of Dana from $37.00 to $32.00 and set an “outperform” rating on the stock in a research note on Thursday. Weiss Ratings cut Dana from a “hold (c+)” rating to a “hold (c)” rating in a research report on Tuesday, August 11th. Barclays upped their target price on shares of Dana from $33.00 to $35.00 and gave the company an “equal weight” rating in a research report on Friday, August 14th. UBS Group cut their price objective on shares of Dana from $36.00 to $34.00 and set a “buy” rating for the company in a research report on Thursday. Finally, Wells Fargo & Company decreased their price target on shares of Dana from $33.00 to $28.00 and set an “equal weight” rating for the company in a research report on Friday, August 7th. Five research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $35.29.

Dana Company Profile

Dana Incorporated (NYSE: DAN) is a global supplier of drivetrain, motion, and thermal-management technologies for the automotive, commercial-vehicle, and off-highway industries. The company develops systems that help vehicles transmit power, manage heat, and operate efficiently across conventional, hybrid, and electric powertrains.

Dana’s products include axles, driveshafts, gearboxes, transmissions, sealing solutions, thermal-management systems, and components for electrified propulsion.