Ethic Inc. Boosts Position in Lear Corporation $LEA

Key Points

• Ethic Inc. increased its stake in Lear Corporation by 158.6% in the fourth quarter, bringing its holdings to 12,049 shares valued at about $1.38 million.
• Lear recently posted a strong earnings report, with EPS of $3.87 beating estimates and revenue up 4.7% year over year, which supports a constructive view on the stock.
• Despite solid fundamentals, insiders sold shares recently, and Wall Street remains cautious overall with an average Hold rating and a consensus price target of $139.38.

Ethic Inc. boosted its holdings in shares of Lear Corporation (NYSE:LEA - Free Report) by 158.6% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 12,049 shares of the auto parts company's stock after buying an additional 7,390 shares during the quarter. Ethic Inc.'s holdings in Lear were worth $1,381,000 at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of LEA. WealthCollab LLC purchased a new position in Lear during the 2nd quarter worth approximately $28,000. Allworth Financial LP raised its position in Lear by 62.6% during the 3rd quarter. Allworth Financial LP now owns 309 shares of the auto parts company's stock worth $31,000 after buying an additional 119 shares during the last quarter. Advisory Services Network LLC purchased a new position in Lear during the 3rd quarter worth approximately $33,000. Quent Capital LLC purchased a new position in Lear during the 3rd quarter worth approximately $38,000. Finally, Quarry LP raised its position in Lear by 94.9% during the 3rd quarter. Quarry LP now owns 458 shares of the auto parts company's stock worth $46,000 after buying an additional 223 shares during the last quarter. 97.04% of the stock is owned by hedge funds and other institutional investors.

Lear News Summary

Here are the key news stories impacting Lear this week:

• Positive Sentiment: A recent article pointed to “Lear’s Hidden Strength” amid Russell 1000 index buzz, suggesting the stock may be benefiting from improved market attention and momentum. Lear’s Hidden Strength In Russell 1000 Index Buzz
• Neutral Sentiment: Several of the other items in the feed are unrelated “learn” or education-themed headlines, plus articles about other companies and broader market topics, so they are unlikely to directly affect Lear’s stock today.
• Neutral Sentiment: Lear’s recent earnings backdrop remains supportive: the company beat EPS estimates in its last report and revenue grew year over year, which may be helping investors stay constructive on the stock.

Insider Activity at Lear

In related news, CFO Jason M. Cardew sold 10,000 shares of Lear stock in a transaction on Thursday, February 19th. The shares were sold at an average price of $134.51, for a total value of $1,345,100.00. Following the sale, the chief financial officer owned 22,741 shares of the company's stock, valued at approximately $3,058,891.91. This trade represents a 30.54% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Alicia J. Davis sold 6,630 shares of Lear stock in a transaction on Thursday, February 19th. The shares were sold at an average price of $132.98, for a total transaction of $881,657.40. Following the completion of the sale, the senior vice president directly owned 9,972 shares in the company, valued at $1,326,076.56. This represents a 39.93% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 25,264 shares of company stock worth $3,400,687 over the last 90 days. 1.02% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on LEA. Weiss Ratings reissued a "hold (c+)" rating on shares of Lear in a research report on Monday, May 4th. Barclays raised their price target on shares of Lear from $140.00 to $150.00 and gave the stock an "equal weight" rating in a research report on Tuesday, May 5th. Benchmark assumed coverage on shares of Lear in a report on Thursday, February 19th. They set a "buy" rating and a $170.00 target price for the company. Wall Street Zen raised shares of Lear from a "buy" rating to a "strong-buy" rating in a report on Friday, January 23rd. Finally, Morgan Stanley set a $130.00 target price on shares of Lear in a report on Monday, May 4th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $139.38.

Lear Price Performance

NYSE:LEA opened at $137.72 on Thursday. The company has a debt-to-equity ratio of 0.51, a current ratio of 1.33 and a quick ratio of 1.05. The firm has a market cap of $6.90 billion, a price-to-earnings ratio of 13.77, a price-to-earnings-growth ratio of 0.69 and a beta of 1.21. The company has a 50 day moving average price of $123.46 and a 200-day moving average price of $119.80. Lear Corporation has a 1-year low of $86.14 and a 1-year high of $142.84.

Lear (NYSE:LEA - Get Free Report) last posted its earnings results on Friday, May 1st. The auto parts company reported $3.87 earnings per share for the quarter, beating the consensus estimate of $3.51 by $0.36. The firm had revenue of $5.82 billion during the quarter, compared to analyst estimates of $5.84 billion. Lear had a net margin of 2.25% and a return on equity of 13.69%. The business's quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the previous year, the firm earned $3.12 EPS. Equities research analysts forecast that Lear Corporation will post 14.59 EPS for the current year.

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.

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