Lear (NYSE:LEA) Sets New 52-Week Low – Time to Sell?

Lear Co. (NYSE:LEA) shares reached a new 52-week low during mid-day trading on Friday . The stock traded as low as $91.14 and last traded at $91.62, with a volume of 16600 shares trading hands. The stock had previously closed at $92.81.

Analyst Ratings Changes

Several research analysts have weighed in on the stock. The Goldman Sachs Group decreased their price objective on shares of Lear from $144.00 to $135.00 and set a “buy” rating for the company in a report on Tuesday, October 1st. JPMorgan Chase & Co. cut their price objective on Lear from $162.00 to $160.00 and set an “overweight” rating on the stock in a research note on Monday, October 21st. Barclays downgraded Lear from an “overweight” rating to an “equal weight” rating and lowered their price target for the company from $140.00 to $120.00 in a report on Wednesday, October 30th. Wells Fargo & Company reduced their price objective on Lear from $106.00 to $99.00 and set an “equal weight” rating on the stock in a research note on Monday, December 16th. Finally, Morgan Stanley lowered their target price on shares of Lear from $145.00 to $135.00 and set an “overweight” rating for the company in a research note on Thursday, November 14th. Seven investment analysts have rated the stock with a hold rating and six have issued a buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $134.18.

Lear Stock Down 2.1 %

The company has a quick ratio of 1.03, a current ratio of 1.33 and a debt-to-equity ratio of 0.57. The firm’s 50-day moving average price is $96.51 and its 200 day moving average price is $106.27. The firm has a market cap of $4.94 billion, a P/E ratio of 9.56, a price-to-earnings-growth ratio of 0.58 and a beta of 1.43.

Lear (NYSE:LEA) last issued its quarterly earnings data on Thursday, October 24th. The auto parts company reported $2.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.57 by $0.32. The business had revenue of $5.58 billion during the quarter, compared to analyst estimates of $5.52 billion. Lear had a return on equity of 14.68% and a net margin of 2.33%. The business’s revenue for the quarter was down 3.4% compared to the same quarter last year. During the same period in the prior year, the company posted $2.87 EPS. As a group, research analysts expect that Lear Co. will post 12.01 earnings per share for the current year.

Lear Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, December 30th. Investors of record on Wednesday, December 11th were paid a dividend of $0.77 per share. The ex-dividend date was Wednesday, December 11th. This represents a $3.08 dividend on an annualized basis and a dividend yield of 3.39%. Lear’s dividend payout ratio is presently 32.39%.

Institutional Investors Weigh In On Lear

Several hedge funds and other institutional investors have recently added to or reduced their stakes in LEA. Nordea Investment Management AB increased its position in shares of Lear by 16.9% during the 4th quarter. Nordea Investment Management AB now owns 39,465 shares of the auto parts company’s stock valued at $3,759,000 after purchasing an additional 5,711 shares during the period. Everence Capital Management Inc. acquired a new position in Lear during the fourth quarter worth about $277,000. Retirement Systems of Alabama lifted its holdings in Lear by 7.3% in the 3rd quarter. Retirement Systems of Alabama now owns 144,282 shares of the auto parts company’s stock valued at $15,748,000 after acquiring an additional 9,774 shares during the last quarter. Franklin Resources Inc. boosted its position in shares of Lear by 18.4% during the 3rd quarter. Franklin Resources Inc. now owns 196,829 shares of the auto parts company’s stock valued at $21,015,000 after purchasing an additional 30,529 shares in the last quarter. Finally, Wilmington Savings Fund Society FSB acquired a new position in shares of Lear in the 3rd quarter worth approximately $50,000. Institutional investors own 97.04% of the company’s stock.

About Lear

Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. Its Seating segment offers seat systems, seat subsystems, keyseat components, seat trim covers, seat mechanisms, seat foams, and headrests, as well as surface materials, such as leather and fabric for automobiles and light trucks, compact cars, pick-up trucks, and sport utility vehicles.