Lear (NYSE:LEA) Hits New 52-Week High After Analyst Upgrade

Lear Corporation (NYSE:LEA)’s share price hit a new 52-week high during trading on Tuesday after Argus upgraded the stock to a strong-buy rating. The stock traded as high as $141.28 and last traded at $139.22, with a volume of 698757 shares traded. The stock had previously closed at $140.95.

Other analysts have also recently issued research reports about the company. Wells Fargo & Company lifted their price objective on Lear from $123.00 to $131.00 and gave the company an “equal weight” rating in a research report on Thursday, February 5th. TD Cowen raised their price target on Lear from $117.00 to $133.00 and gave the stock a “hold” rating in a research note on Thursday, February 5th. UBS Group lifted their price target on Lear from $135.00 to $145.00 and gave the company a “neutral” rating in a report on Thursday, February 5th. Citigroup increased their price objective on Lear from $146.00 to $177.00 and gave the stock a “buy” rating in a report on Thursday, February 5th. Finally, Barclays set a $140.00 price objective on shares of Lear in a research report on Thursday, February 5th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and nine have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $135.10.

Insiders Place Their Bets

In related news, CFO Jason M. Cardew sold 5,000 shares of the business’s stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $118.17, for a total value of $590,850.00. Following the completion of the sale, the chief financial officer directly owned 15,244 shares in the company, valued at approximately $1,801,383.48. The trade was a 24.70% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Company insiders own 0.91% of the company’s stock.

Trending Headlines about Lear

Here are the key news stories impacting Lear this week:

• Positive Sentiment: Lear’s Board declared a quarterly cash dividend of $0.77 per share — a direct shareholder return that signals management confidence in near-term cash flow. At the current quote (~$136.78) that works out to roughly a 2.3% annualized yield. Lear Declares Quarterly Cash Dividend
• Neutral Sentiment: Recent fundamentals remain supportive: Lear reported a February quarterly beat (EPS $3.41 vs. $2.67 est.; revenue $5.99B vs. $5.78B), which helps explain the board’s willingness to pay a cash dividend — but shareholders should watch upcoming guidance and free-cash-flow trends for sustainability. (No new guidance was announced in the dividend release.)
• Neutral Sentiment: Other items in the feed (theater listings, opinion pieces about options, unrelated company news) are not material to LEA’s near-term stock performance and unlikely to move the share price.

Institutional Trading of Lear

Several large investors have recently modified their holdings of LEA. Vest Financial LLC lifted its position in shares of Lear by 134.9% during the 3rd quarter. Vest Financial LLC now owns 25,951 shares of the auto parts company’s stock worth $2,611,000 after purchasing an additional 14,904 shares during the last quarter. Capital Management Corp VA acquired a new stake in Lear in the 3rd quarter valued at approximately $2,295,000. Prudential Financial Inc. increased its position in Lear by 2,060.5% in the 2nd quarter. Prudential Financial Inc. now owns 104,720 shares of the auto parts company’s stock worth $10,009,000 after buying an additional 99,873 shares during the period. Meritage Portfolio Management acquired a new position in shares of Lear during the third quarter worth approximately $3,268,000. Finally, RWC Asset Management LLP lifted its holdings in shares of Lear by 3.8% during the third quarter. RWC Asset Management LLP now owns 570,048 shares of the auto parts company’s stock worth $57,353,000 after buying an additional 20,900 shares during the last quarter. 97.04% of the stock is owned by institutional investors.

Lear Stock Down 1.5%

The firm has a 50-day moving average price of $120.91 and a two-hundred day moving average price of $109.69. The company has a market capitalization of $7.09 billion, a P/E ratio of 16.78, a PEG ratio of 1.09 and a beta of 1.30. The company has a quick ratio of 1.05, a current ratio of 1.35 and a debt-to-equity ratio of 0.52.

Lear (NYSE:LEA) last released its earnings results on Wednesday, February 4th. The auto parts company reported $3.41 EPS for the quarter, beating the consensus estimate of $2.67 by $0.74. The firm had revenue of $5.99 billion during the quarter, compared to analysts’ expectations of $5.78 billion. Lear had a net margin of 1.88% and a return on equity of 13.40%. The business’s quarterly revenue was up 4.8% compared to the same quarter last year. During the same period in the prior year, the company earned $2.94 EPS. Equities research analysts anticipate that Lear Corporation will post 12.89 EPS for the current fiscal year.

Lear Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, December 30th. Investors of record on Wednesday, December 10th were given a dividend of $0.77 per share. The ex-dividend date of this dividend was Wednesday, December 10th. This represents a $3.08 dividend on an annualized basis and a yield of 2.3%. Lear’s dividend payout ratio (DPR) is 37.79%.

About Lear

Lear Corporation (NYSE: LEA) is a global supplier of automotive seating and electrical distribution systems. The company designs, engineers and manufactures complete seat systems, seat components and power solutions for major vehicle manufacturers. Its electrical business delivers modules and components for battery management, infotainment, body and safety electronics, as well as advanced connectivity and electrification solutions.

The seating division develops lightweight, ergonomic seat structures, trim and mechanisms that address comfort, safety and environmental targets.