Garrett Motion (NYSE:GTX) Cut to Hold at Zacks Research

Zacks Research lowered shares of Garrett Motion (NYSE:GTX) from a strong-buy rating to a hold rating in a research note released on Monday morning,Zacks.com reports.

A number of other analysts also recently issued reports on GTX. Deutsche Bank Aktiengesellschaft initiated coverage on Garrett Motion in a research report on Monday, October 20th. They set a “hold” rating and a $14.00 price objective for the company. Stifel Nicolaus increased their target price on shares of Garrett Motion from $20.00 to $21.00 and gave the stock a “buy” rating in a research note on Tuesday, December 16th. BWS Financial boosted their price target on shares of Garrett Motion from $18.00 to $22.00 and gave the company a “buy” rating in a research note on Friday, December 12th. Finally, JPMorgan Chase & Co. initiated coverage on shares of Garrett Motion in a report on Wednesday, December 17th. They issued an “overweight” rating and a $23.00 price objective on the stock. Five analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $18.80.

Garrett Motion Stock Performance

GTX stock opened at $17.43 on Monday. The firm has a market cap of $3.39 billion, a PE ratio of 13.72 and a beta of 0.23. The firm’s 50 day moving average price is $16.91 and its 200-day moving average price is $13.98. Garrett Motion has a one year low of $7.01 and a one year high of $17.91.

Garrett Motion (NYSE:GTX) last issued its quarterly earnings data on Thursday, October 23rd. The company reported $0.38 earnings per share for the quarter, topping the consensus estimate of $0.34 by $0.04. Garrett Motion had a negative return on equity of 38.75% and a net margin of 8.12%.During the same period last year, the business earned $0.24 earnings per share. The firm’s revenue for the quarter was up 9.2% on a year-over-year basis. Equities research analysts predict that Garrett Motion will post 1.25 EPS for the current fiscal year.

Garrett Motion announced that its board has authorized a share repurchase program on Wednesday, December 3rd that authorizes the company to buyback $250.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 7.7% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s management believes its shares are undervalued.

Garrett Motion Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, December 15th. Shareholders of record on Monday, December 1st were paid a $0.08 dividend. This represents a $0.32 annualized dividend and a dividend yield of 1.8%. This is a positive change from Garrett Motion’s previous quarterly dividend of $0.06. The ex-dividend date was Monday, December 1st. Garrett Motion’s payout ratio is presently 20.38%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Jones Financial Companies Lllp purchased a new stake in Garrett Motion during the 1st quarter worth about $42,000. Tower Research Capital LLC TRC acquired a new position in shares of Garrett Motion during the second quarter worth about $45,000. Amalgamated Bank acquired a new position in shares of Garrett Motion during the second quarter worth about $46,000. Caitong International Asset Management Co. Ltd increased its stake in shares of Garrett Motion by 4,655.8% during the second quarter. Caitong International Asset Management Co. Ltd now owns 4,518 shares of the company’s stock worth $47,000 after buying an additional 4,423 shares during the period. Finally, Skandinaviska Enskilda Banken AB publ acquired a new stake in Garrett Motion in the second quarter valued at approximately $61,000. 86.27% of the stock is currently owned by hedge funds and other institutional investors.

Garrett Motion Company Profile

Garrett Motion Inc is a technology leader specializing in the design, development and manufacture of turbocharging systems and related technologies for the global automotive industry. Its product portfolio includes conventional exhaust gas turbochargers, variable-geometry turbochargers, electric and e-boost turbochargers, as well as electronic actuators, sensors and thermal management systems. The company’s solutions are engineered to improve engine efficiency, reduce emissions and support automakers’ efforts to meet evolving regulatory standards for fuel economy and air quality.

Garrett Motion traces its roots to the founding of AiResearch by Cliff Garrett in 1936, a pioneer in aircraft and automotive turbocharging technologies.