Gentex Corporation $GNTX Stake Raised by Burgundy Asset Management Ltd.

Key Points

• Burgundy Asset Management Ltd. increased its stake in Gentex Corporation by 40.1%, acquiring an additional 2,211,392 shares to hold a total of 7,728,209 shares, making this investment 1.9% of its portfolio.
• Gentex reported earnings of $0.47 per share for the last quarter, exceeding estimates by $0.08, alongside a 14.8% increase in revenue year-over-year at $657.86 million.
• The company has authorized a share repurchase program allowing for the buyback of up to 40 million shares, indicating management's confidence in the stock value.

Burgundy Asset Management Ltd. increased its position in Gentex Corporation (NASDAQ:GNTX - Free Report) by 40.1% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 7,728,209 shares of the auto parts company's stock after buying an additional 2,211,392 shares during the quarter. Gentex comprises about 1.9% of Burgundy Asset Management Ltd.'s investment portfolio, making the stock its 17th biggest position. Burgundy Asset Management Ltd. owned 3.44% of Gentex worth $180,067,000 at the end of the most recent reporting period.

Other large investors have also made changes to their positions in the company. Larson Financial Group LLC raised its position in shares of Gentex by 1,471.0% in the 1st quarter. Larson Financial Group LLC now owns 1,084 shares of the auto parts company's stock worth $25,000 after buying an additional 1,015 shares during the period. Whittier Trust Co. of Nevada Inc. raised its position in shares of Gentex by 85.4% in the 1st quarter. Whittier Trust Co. of Nevada Inc. now owns 1,222 shares of the auto parts company's stock worth $28,000 after buying an additional 563 shares during the period. Harbor Investment Advisory LLC raised its position in shares of Gentex by 208.2% in the 1st quarter. Harbor Investment Advisory LLC now owns 1,618 shares of the auto parts company's stock worth $38,000 after buying an additional 1,093 shares during the period. UMB Bank n.a. raised its position in shares of Gentex by 103.3% in the 1st quarter. UMB Bank n.a. now owns 2,124 shares of the auto parts company's stock worth $49,000 after buying an additional 1,079 shares during the period. Finally, NBC Securities Inc. raised its position in shares of Gentex by 268,600.0% in the 1st quarter. NBC Securities Inc. now owns 2,687 shares of the auto parts company's stock worth $62,000 after buying an additional 2,686 shares during the period. 86.76% of the stock is owned by hedge funds and other institutional investors.

Gentex Stock Up 2.5%

Shares of Gentex stock traded up $0.69 during trading hours on Friday, hitting $28.10. 648,428 shares of the company's stock traded hands, compared to its average volume of 2,302,434. Gentex Corporation has a twelve month low of $20.28 and a twelve month high of $31.75. The stock has a 50 day simple moving average of $24.36 and a 200-day simple moving average of $23.45. The company has a market cap of $6.17 billion, a PE ratio of 15.88 and a beta of 0.82.

Gentex (NASDAQ:GNTX - Get Free Report) last issued its quarterly earnings results on Friday, July 25th. The auto parts company reported $0.47 EPS for the quarter, topping the consensus estimate of $0.39 by $0.08. Gentex had a net margin of 16.82% and a return on equity of 16.86%. The business had revenue of $657.86 million for the quarter, compared to analysts' expectations of $591.94 million. During the same quarter last year, the company posted $0.37 earnings per share. The company's quarterly revenue was up 14.8% compared to the same quarter last year. Gentex has set its FY 2025 guidance at EPS. As a group, equities research analysts predict that Gentex Corporation will post 2.04 EPS for the current year.

Gentex declared that its Board of Directors has approved a stock repurchase program on Wednesday, July 16th that authorizes the company to buyback 40,000,000 outstanding shares. This buyback authorization authorizes the auto parts company to reacquire shares of its stock through open market purchases. Shares buyback programs are usually a sign that the company's board believes its stock is undervalued.

Gentex Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, October 22nd. Stockholders of record on Wednesday, October 8th will be given a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a dividend yield of 1.7%. Gentex's payout ratio is 27.12%.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on GNTX. UBS Group increased their price target on Gentex from $23.00 to $28.00 and gave the company a "neutral" rating in a report on Monday, July 28th. Robert W. Baird increased their price target on Gentex from $26.00 to $30.00 and gave the company a "neutral" rating in a report on Monday, July 28th. Zacks Research upgraded Gentex from a "hold" rating to a "strong-buy" rating in a report on Wednesday. B. Riley increased their price target on Gentex from $28.00 to $32.00 and gave the company a "buy" rating in a report on Monday, July 28th. Finally, Industrial Alliance Securities set a $25.00 price target on Gentex in a report on Friday, July 11th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $28.63.

Gentex Profile

Gentex Corporation designs, develops, manufactures, markets, and supplies digital vision, connected car, dimmable glass, and fire protection products in the United States, Germany, Japan, Mexico, Republic of Korea, and internationally. It operates through Automotive Products and Other segments. The company offers automotive products, including interior and exterior electrochromic automatic-dimming rearview mirrors, automotive electronics, and non-automatic-dimming rearview mirrors for automotive passenger cars, light trucks, pick-up trucks, sport utility vehicles, and vans for original equipment manufacturers, automotive suppliers, and various aftermarket and accessory customers.