Zacks Research Downgrades Garrett Motion (NYSE:GTX) to Hold

Key Points

• Garrett Motion has been downgraded from a "strong-buy" to a "hold" rating by Zacks Research, indicating a cautious outlook on the stock's performance.
• Current analysts' consensus remains a "Moderate Buy" with a target price of $14.00, despite the recent downgrade.
• Insider selling activity increased significantly, with over 15 million shares sold in recent months, suggesting potential caution among company insiders.

Garrett Motion (NYSE:GTX - Get Free Report) was downgraded by stock analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report released on Monday, August 25th,Zacks.com reports.

A number of other research analysts have also recently weighed in on GTX. BNP Paribas started coverage on Garrett Motion in a report on Wednesday, July 16th. They issued an "outperform" rating on the stock. BNP Paribas Exane started coverage on Garrett Motion in a report on Wednesday, July 16th. They issued an "outperform" rating and a $14.00 target price on the stock. Finally, BWS Financial reiterated a "buy" rating and issued a $14.00 target price on shares of Garrett Motion in a report on Wednesday, June 25th. Three research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat.com, Garrett Motion has an average rating of "Moderate Buy" and an average target price of $14.00.

Garrett Motion Stock Performance

Garrett Motion stock traded down $0.06 during midday trading on Monday, reaching $12.99. The stock had a trading volume of 2,038,665 shares, compared to its average volume of 2,106,279. Garrett Motion has a twelve month low of $7.01 and a twelve month high of $13.52. The stock has a market capitalization of $2.62 billion, a PE ratio of 10.23 and a beta of 0.01. The stock's 50-day simple moving average is $12.11 and its 200 day simple moving average is $10.56.

Insider Transactions at Garrett Motion

In other news, insider Centerbridge Credit Partners M sold 9,000,000 shares of Garrett Motion stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $12.27, for a total transaction of $110,430,000.00. Following the sale, the insider directly owned 4,740,569 shares of the company's stock, valued at approximately $58,166,781.63. The trade was a 65.50% 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, major shareholder Cyrus Capital Partners, L.P. sold 500,000 shares of Garrett Motion stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $13.28, for a total value of $6,640,000.00. Following the sale, the insider directly owned 20,623,348 shares in the company, valued at approximately $273,878,061.44. The trade was a 2.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 12,907,224 shares of company stock worth $157,275,679. Corporate insiders own 0.83% of the company's stock.

Institutional Trading of Garrett Motion

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Deutsche Bank AG increased its holdings in Garrett Motion by 14.4% in the first quarter. Deutsche Bank AG now owns 9,383 shares of the company's stock valued at $79,000 after buying an additional 1,181 shares during the last quarter. Raymond James Financial Inc. boosted its stake in Garrett Motion by 2.3% in the second quarter. Raymond James Financial Inc. now owns 77,365 shares of the company's stock valued at $813,000 after acquiring an additional 1,759 shares during the period. Garden State Investment Advisory Services LLC boosted its stake in Garrett Motion by 16.4% in the second quarter. Garden State Investment Advisory Services LLC now owns 13,667 shares of the company's stock valued at $144,000 after acquiring an additional 1,922 shares during the period. Bank of Montreal Can boosted its stake in Garrett Motion by 5.7% in the second quarter. Bank of Montreal Can now owns 58,021 shares of the company's stock valued at $610,000 after acquiring an additional 3,106 shares during the period. Finally, Tower Research Capital LLC TRC acquired a new position in Garrett Motion in the second quarter valued at approximately $45,000. 86.27% of the stock is owned by institutional investors.

About Garrett Motion

Garrett Motion Inc, together with its subsidiaries, designs, manufactures, and sells turbocharging, air and fluid compression, and high-speed electric motor technologies for original equipment manufacturers and distributors worldwide. The company offers cutting-edge technology for the mobility and industrial space, including light vehicles, commercial vehicles, and industrial applications.