Visteon (NASDAQ:VC) Hits New 1-Year Low - Here's What Happened

Key Points

• Visteon shares hit a new 52-week low, trading as low as $71.51 and last changing hands near $70.33, well below the 50-day and 200-day moving averages.
• The company’s latest quarterly earnings fell sharply short of expectations, with EPS of $0.19 versus the $2.28 consensus estimate, although revenue rose 5.8% year over year to $970 million.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $119.64, despite several recent target-price cuts and rating downgrades.

Visteon Corporation (NASDAQ:VC - Get Free Report)'s stock price reached a new 52-week low on Wednesday. The company traded as low as $71.51 and last traded at $70.3330, with a volume of 4,344 shares traded. The stock had previously closed at $73.76.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the company. Wall Street Zen cut Visteon from a "buy" rating to a "hold" rating in a report on Sunday, July 12th. Robert W. Baird set a $95.00 price target on Visteon in a research report on Friday. Weiss Ratings lowered shares of Visteon from a "hold (c)" rating to a "hold (c-)" rating in a research note on Monday. TD Cowen decreased their price target on Visteon from $135.00 to $131.00 and set a "buy" rating on the stock in a research report on Friday. Finally, Barclays dropped their target price on shares of Visteon from $145.00 to $125.00 and set an "overweight" rating for the company in a report on Friday, October 9th. Eight investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $119.64.

Visteon Stock Performance

The company has a 50-day moving average of $93.33 and a 200 day moving average of $100.26. The firm has a market cap of $1.76 billion, a P/E ratio of 12.15 and a beta of 1.30.

Visteon (NASDAQ:VC - Get Free Report) last posted its quarterly earnings results on Thursday, October 22nd. The company reported $0.19 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.28 by ($2.09). The company had revenue of $970.00 million for the quarter, compared to analyst estimates of $936.38 million. During the same quarter last year, the company earned $2.15 EPS. The company's quarterly revenue was up 5.8% compared to the same quarter last year. Sell-side analysts anticipate that Visteon Corporation will post 7.71 EPS for the current fiscal year.

Visteon Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st were issued a $0.3750 dividend. This represents a $1.50 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend was Tuesday, September 1st. Visteon's payout ratio is presently 25.86%.

Institutional Investors Weigh In On Visteon

Several institutional investors and hedge funds have recently made changes to their positions in the company. Bank of New York Mellon Corp purchased a new position in shares of Visteon in the 2nd quarter valued at about $31,654,000. First Trust Advisors LP boosted its stake in Visteon by 124.0% during the first quarter. First Trust Advisors LP now owns 519,041 shares of the company's stock worth $47,290,000 after acquiring an additional 287,359 shares in the last quarter. Bank of America Corp DE lifted its stake in Visteon by 130.1% during the first quarter. Bank of America Corp DE now owns 396,310 shares of the company's stock worth $36,108,000 after purchasing an additional 224,097 shares during the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of Visteon by 14.3% in the first quarter. Dimensional Fund Advisors LP now owns 1,403,695 shares of the company's stock worth $127,879,000 after purchasing an additional 175,679 shares during the last quarter. Finally, Renaissance Technologies LLC lifted its holdings in Visteon by 47.2% during the 1st quarter. Renaissance Technologies LLC now owns 317,600 shares of the company's stock worth $28,937,000 after buying an additional 101,900 shares in the last quarter. Institutional investors own 99.71% of the company's stock.

About Visteon

Visteon Corporation NASDAQ: VC is a global automotive technology company that develops and supplies electronic systems for vehicle manufacturers. Its products are designed to support the digital, connected and increasingly electrified vehicle, with a focus on improving the driving experience, vehicle functionality and energy efficiency.

The company's product portfolio includes digital instrument clusters, displays, infotainment systems, connected-car technologies, cockpit domain controllers, climate-control electronics and other vehicle control systems.

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.