Garrett Motion (NYSE:GTX) Lowered to “Hold” Rating by Zacks Research

Zacks Research lowered shares of Garrett Motion (NYSE:GTX) from a strong-buy rating to a hold rating in a research note published on Monday,Zacks.com reports.

A number of other brokerages also recently commented on GTX. JPMorgan Chase & Co. began coverage on Garrett Motion in a report on Wednesday, December 17th. They issued an “overweight” rating and a $23.00 price target for the company. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Garrett Motion in a report on Monday, October 20th. They set a “hold” rating and a $14.00 price objective for the company. BWS Financial upped their target price on shares of Garrett Motion from $18.00 to $22.00 and gave the company a “buy” rating in a research note on Friday, December 12th. Finally, Stifel Nicolaus increased their price target on shares of Garrett Motion from $20.00 to $21.00 and gave the stock a “buy” rating in a research report on Tuesday, December 16th. Five analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $18.80.

Garrett Motion Trading Down 0.3%

NYSE GTX opened at $17.59 on Monday. The stock has a market cap of $3.42 billion, a P/E ratio of 13.85 and a beta of 0.23. The company’s fifty day simple moving average is $16.82 and its 200-day simple moving average is $13.96. Garrett Motion has a 52 week low of $7.01 and a 52 week high of $17.91.

Garrett Motion (NYSE:GTX) last released its quarterly earnings results on Thursday, October 23rd. The company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.04. Garrett Motion had a net margin of 8.12% and a negative return on equity of 38.75%. Garrett Motion’s revenue was up 9.2% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.24 EPS. On average, research analysts expect that Garrett Motion will post 1.25 EPS for the current fiscal year.

Garrett Motion announced that its Board of Directors has authorized a stock buyback program on Wednesday, December 3rd that authorizes the company to repurchase $250.00 million in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 7.7% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Garrett Motion Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, December 15th. Stockholders of record on Monday, December 1st were issued a dividend of $0.08 per share. This represents a $0.32 annualized dividend and a dividend yield of 1.8%. This is a boost from Garrett Motion’s previous quarterly dividend of $0.06. The ex-dividend date of this dividend was Monday, December 1st. Garrett Motion’s dividend payout ratio is currently 20.38%.

Institutional Trading of Garrett Motion

Several hedge funds have recently bought and sold shares of the company. D Orazio & Associates Inc. grew its position in Garrett Motion by 7.2% in the 3rd quarter. D Orazio & Associates Inc. now owns 15,101 shares of the company’s stock worth $206,000 after purchasing an additional 1,015 shares during the last quarter. Raymond James Financial Inc. increased its position in Garrett Motion by 2.3% in the 2nd 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 raised its stake in Garrett Motion by 16.4% during the 2nd 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 in the last quarter. Baron Wealth Management LLC boosted its position in Garrett Motion by 13.0% during the 3rd quarter. Baron Wealth Management LLC now owns 24,876 shares of the company’s stock worth $339,000 after acquiring an additional 2,857 shares during the period. Finally, Bank of Montreal Can grew its stake in shares of Garrett Motion by 5.7% in the second quarter. Bank of Montreal Can now owns 58,021 shares of the company’s stock worth $610,000 after purchasing an additional 3,106 shares in the last quarter. 86.27% of the stock is currently owned by institutional investors.

About Garrett Motion

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.