Gentherm (NASDAQ:THRM) Sees Unusually-High Trading Volume – Still a Buy?

Gentherm Inc (NASDAQ:THRM) shares saw unusually-high trading volume on Monday. Approximately 714,839 shares traded hands during trading, an increase of 50% from the previous session’s volume of 478,047 shares. The stock last traded at $30.9620 and had previously closed at $29.68.

Analyst Upgrades and Downgrades

Several research firms have commented on THRM. Stifel Nicolaus lifted their target price on shares of Gentherm from $44.00 to $59.00 and gave the stock a “buy” rating in a research note on Friday, July 24th. JPMorgan Chase & Co. upgraded Gentherm from a “neutral” rating to an “overweight” rating and set a $48.00 price target for the company in a report on Tuesday, September 15th. Zacks Research cut shares of Gentherm from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 28th. Freedom Capital downgraded Gentherm from a “strong-buy” rating to a “hold” rating in a research note on Friday, July 24th. Finally, Roth Capital restated a “buy” rating and set a $50.00 target price on shares of Gentherm in a research note on Wednesday, July 29th. Four research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $46.50.

Gentherm Stock Performance

The company has a market capitalization of $954.48 million, a PE ratio of 11.00, a PEG ratio of 0.71 and a beta of 1.37. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.49 and a current ratio of 2.06. The company has a 50 day moving average price of $37.66 and a 200 day moving average price of $35.05.

Gentherm (NASDAQ:THRM) last released its quarterly earnings results on Thursday, July 23rd. The auto parts company reported $0.75 earnings per share for the quarter, topping analysts’ consensus estimates of $0.56 by $0.19. The business had revenue of $416.17 million during the quarter, compared to the consensus estimate of $382.90 million. Gentherm had a net margin of 1.68% and a return on equity of 12.06%. The business’s quarterly revenue was up 11.0% compared to the same quarter last year. During the same quarter last year, the company earned $0.54 earnings per share. Equities analysts forecast that Gentherm Inc will post 2.92 EPS for the current year.

Gentherm Announces Dividend

The business also recently disclosed a special dividend, which was paid on Wednesday, October 7th. Shareholders of record on Monday, September 28th were issued a dividend of $1.90 per share.

Gentherm declared that its Board of Directors has authorized a stock buyback program on Thursday, July 23rd that authorizes the company to repurchase $400.00 million in shares. This buyback authorization authorizes the auto parts company to reacquire up to 36.2% of its stock through open market purchases. Share buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling at Gentherm

In other news, SVP Wayne Kauffman, III sold 4,700 shares of the business’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $43.21, for a total value of $203,087.00. Following the completion of the sale, the senior vice president owned 27,421 shares of the company’s stock, valued at approximately $1,184,861.41. The trade was a 14.63% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 2.10% of the company’s stock.

Hedge Funds Weigh In On Gentherm

Large investors have recently modified their holdings of the stock. Meeder Asset Management Inc. bought a new position in shares of Gentherm in the 2nd quarter worth about $30,000. Allworth Financial LP acquired a new position in shares of Gentherm in the 2nd quarter valued at about $37,000. Public Employees Retirement System of Ohio acquired a new position in shares of Gentherm in the 2nd quarter valued at about $39,000. Globeflex Capital L P bought a new stake in shares of Gentherm during the 2nd quarter valued at about $133,000. Finally, Leonteq Securities AG grew its position in shares of Gentherm by 13.3% during the 1st quarter. Leonteq Securities AG now owns 5,289 shares of the auto parts company’s stock valued at $147,000 after buying an additional 621 shares during the last quarter. Institutional investors own 97.13% of the company’s stock.

Gentherm Company Profile

Gentherm Incorporated (NASDAQ: THRM) develops and manufactures thermal management and comfort technologies for the automotive and medical industries. The company’s automotive products include heated and ventilated seats, climate-controlled seating systems, heated steering wheels, thermal management systems for electric vehicles, and other components designed to improve passenger comfort and energy efficiency.

In the medical market, Gentherm provides patient temperature-management products and systems used in hospitals and other healthcare settings.