Garrett Motion Inc. (NASDAQ:GTX) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• Analyst sentiment is positive on Garrett Motion, with eight brokerages assigning an average recommendation of “Moderate Buy.” Five analysts rate the stock a buy, and the average 1-year price target is $22.80.
• The company beat quarterly expectations, reporting EPS of $0.49 versus the $0.43 consensus and revenue of $985 million versus $917.23 million expected. Revenue also rose 12.2% year over year.
• Garrett Motion recently announced a quarterly dividend of $0.08 per share, payable June 15, implying an annualized yield of 1.2%. Insider selling and active institutional ownership were also noted, with hedge funds holding 86.27% of the stock.

Garrett Motion Inc. (NASDAQ:GTX - Get Free Report) has been given an average recommendation of "Moderate Buy" by the eight brokerages that are covering the firm, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a hold rating and five have issued a buy rating on the company. The average 1-year price target among brokers that have covered the stock in the last year is $22.80.

Several brokerages have recently commented on GTX. Deutsche Bank Aktiengesellschaft restated a "hold" rating and set a $24.00 price objective on shares of Garrett Motion in a research report on Friday, May 1st. BWS Financial upped their target price on shares of Garrett Motion from $22.00 to $32.00 and gave the stock a "buy" rating in a research report on Thursday, April 30th. Weiss Ratings initiated coverage on shares of Garrett Motion in a research report on Wednesday, April 29th. They set a "buy (b)" rating for the company. Finally, Freedom Capital lowered shares of Garrett Motion from a "strong-buy" rating to a "hold" rating in a research report on Monday.

Garrett Motion Price Performance

Shares of GTX stock opened at $27.03 on Friday. The company has a market capitalization of $5.06 billion, a price-to-earnings ratio of 15.81, a PEG ratio of 0.90 and a beta of 0.70. Garrett Motion has a one year low of $9.57 and a one year high of $27.79. The company's fifty day moving average price is $19.52 and its 200-day moving average price is $18.27.

Garrett Motion (NASDAQ:GTX - Get Free Report) last announced its quarterly earnings data on Friday, May 1st. The company reported $0.49 EPS for the quarter, beating the consensus estimate of $0.43 by $0.06. The firm had revenue of $985.00 million for the quarter, compared to the consensus estimate of $917.23 million. Garrett Motion had a net margin of 9.29% and a negative return on equity of 42.77%. Garrett Motion's revenue was up 12.2% compared to the same quarter last year. Equities research analysts expect that Garrett Motion will post 1.83 earnings per share for the current fiscal year.

Garrett Motion Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Monday, June 1st will be given a dividend of $0.08 per share. The ex-dividend date is Monday, June 1st. This represents a $0.32 dividend on an annualized basis and a dividend yield of 1.2%. Garrett Motion's dividend payout ratio is currently 18.71%.

Insider Buying and Selling

In related news, SVP Daniel Deiro sold 20,000 shares of the company's stock in a transaction on Thursday, February 26th. The shares were sold at an average price of $20.29, for a total transaction of $405,800.00. Following the completion of the transaction, the senior vice president owned 160,994 shares in the company, valued at approximately $3,266,568.26. This represents a 11.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Julia Steyn sold 17,000 shares of the company's stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $19.86, for a total transaction of $337,620.00. Following the transaction, the director owned 50,233 shares of the company's stock, valued at approximately $997,627.38. This represents a 25.29% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 337,000 shares of company stock worth $6,839,290. 1.10% of the stock is owned by insiders.

Hedge Funds Weigh In On Garrett Motion

Institutional investors and hedge funds have recently made changes to their positions in the business. Robeco Institutional Asset Management B.V. bought a new position in shares of Garrett Motion during the third quarter valued at approximately $5,925,000. JPMorgan Chase & Co. grew its stake in shares of Garrett Motion by 45.1% during the third quarter. JPMorgan Chase & Co. now owns 1,705,484 shares of the company's stock valued at $23,229,000 after buying an additional 529,949 shares during the last quarter. Convergence Investment Partners LLC bought a new position in shares of Garrett Motion during the third quarter valued at approximately $1,573,000. Federated Hermes Inc. bought a new position in shares of Garrett Motion during the third quarter valued at approximately $1,646,000. Finally, Renaissance Group LLC bought a new position in shares of Garrett Motion during the third quarter valued at approximately $1,156,000. 86.27% of the stock is 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.