Lear (NYSE:LEA) CFO Jason Cardew Sells 4,500 Shares

Key Points

• Lear CFO Jason Cardew sold 4,500 shares on June 1 at an average price of $141.14, for proceeds of about $635,130. After the sale, he still held 18,241 shares, and the trade cut his position by nearly 20%.
• Learning stock was up 2.1% as the shares traded around $147, near the company’s 52-week high of $150.33. Lear’s market cap is about $7.36 billion, with a P/E ratio of 14.70.
• The company recently reported stronger-than-expected quarterly earnings, posting EPS of $3.87 versus estimates of $3.51, while revenue rose 4.7% year over year. Lear also announced a quarterly dividend of $0.77 per share, yielding about 2.1% annually.

Lear Corporation (NYSE:LEA - Get Free Report) CFO Jason Cardew sold 4,500 shares of the stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $141.14, for a total transaction of $635,130.00. Following the sale, the chief financial officer directly owned 18,241 shares of the company's stock, valued at approximately $2,574,534.74. This trade represents a 19.79% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink.

Lear Stock Up 2.1%

LEA opened at $147.00 on Wednesday. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.05 and a current ratio of 1.33. Lear Corporation has a 1 year low of $86.14 and a 1 year high of $150.33. The firm has a 50 day moving average price of $128.71 and a 200 day moving average price of $122.79. The company has a market cap of $7.36 billion, a PE ratio of 14.70, a price-to-earnings-growth ratio of 0.73 and a beta of 1.23.

Lear (NYSE:LEA - Get Free Report) last issued its quarterly earnings data on Friday, May 1st. The auto parts company reported $3.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.51 by $0.36. Lear had a net margin of 2.25% and a return on equity of 13.69%. The company had revenue of $5.82 billion during the quarter, compared to the consensus estimate of $5.84 billion. During the same quarter last year, the company earned $3.12 earnings per share. Lear's revenue for the quarter was up 4.7% on a year-over-year basis. Sell-side analysts expect that Lear Corporation will post 14.61 earnings per share for the current year.

Lear Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 23rd. Shareholders of record on Wednesday, June 3rd will be given a $0.77 dividend. The ex-dividend date of this dividend is Wednesday, June 3rd. This represents a $3.08 annualized dividend and a yield of 2.1%. Lear's dividend payout ratio (DPR) is 30.80%.

Analyst Ratings Changes

LEA has been the subject of several recent research reports. Benchmark initiated coverage on shares of Lear in a research report on Thursday, February 19th. They issued a "buy" rating and a $170.00 price objective for the company. Royal Bank Of Canada raised their price target on shares of Lear from $134.00 to $138.00 and gave the stock a "sector perform" rating in a research report on Tuesday, May 5th. Citigroup raised their price target on shares of Lear from $177.00 to $179.00 and gave the stock a "buy" rating in a research report on Monday, May 4th. Deutsche Bank Aktiengesellschaft set a $133.00 price target on shares of Lear in a research report on Monday, May 4th. Finally, 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. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and ten have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $143.08.

Hedge Funds Weigh In On Lear

A number of hedge funds have recently added to or reduced their stakes in LEA. Dimensional Fund Advisors LP lifted its stake in Lear by 3.8% in the first quarter. Dimensional Fund Advisors LP now owns 2,943,480 shares of the auto parts company's stock valued at $356,380,000 after buying an additional 107,678 shares during the last quarter. Schroder Investment Management Group raised its position in Lear by 0.3% in the fourth quarter. Schroder Investment Management Group now owns 1,830,466 shares of the auto parts company's stock worth $212,938,000 after acquiring an additional 5,409 shares in the last quarter. American Century Companies Inc. raised its position in Lear by 23.6% in the third quarter. American Century Companies Inc. now owns 1,569,341 shares of the auto parts company's stock worth $157,891,000 after acquiring an additional 299,841 shares in the last quarter. M&T Bank Corp raised its position in Lear by 46,707.8% in the fourth quarter. M&T Bank Corp now owns 951,602 shares of the auto parts company's stock worth $109,054,000 after acquiring an additional 949,569 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. increased its stake in Lear by 7.8% in the 4th quarter. Jacobs Levy Equity Management Inc. now owns 791,293 shares of the auto parts company's stock worth $90,682,000 after purchasing an additional 57,206 shares in the last quarter. Institutional investors and hedge funds own 97.04% of the company's stock.

Lear News Summary

Here are the key news stories impacting Lear this week:

• Positive Sentiment: A recent Yahoo Finance article examined Lear’s valuation after the stock’s pullback, which can attract value-oriented buyers if they see the shares as inexpensive relative to earnings and cash flow. A Look At Lear (LEA) Valuation After Recent Share Price Pullback
• Positive Sentiment: Lear’s latest quarterly results were solid, with EPS of $3.87 beating estimates and revenue rising 4.7% year over year, reinforcing the view that the auto parts company remains fundamentally healthy. Lear stock and earnings background
• Neutral Sentiment: Most of the other items in the feed were unrelated education, technology, or general market stories and do not appear to have a direct impact on Lear’s stock.

Lear Company Profile

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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