CTS (NYSE:CTS) Shares Gap Up Following Strong Earnings

CTS Corporation (NYSE:CTS)’s share price gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $55.58, but opened at $58.85. CTS shares last traded at $58.4050, with a volume of 19,418 shares traded.

The electronics maker reported $0.62 EPS for the quarter, topping the consensus estimate of $0.60 by $0.02. CTS had a return on equity of 11.92% and a net margin of 11.14%.The business had revenue of $137.27 million during the quarter, compared to analysts’ expectations of $135.86 million. CTS has set its FY 2026 guidance at 2.300-2.450 EPS.

CTS announced that its board has approved a stock buyback program on Friday, November 7th that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the electronics maker to buy up to 8.5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board believes its shares are undervalued.

Key Headlines Impacting CTS

Here are the key news stories impacting CTS this week:

• Positive Sentiment: Q4 2025 results beat street estimates: CTS reported $0.62 EPS and $137.27M revenue, topping consensus by a small amount; the beat supports near-term upside and validates the company’s recovery momentum. CTS ($CTS) Releases Q4 2025 Earnings
• Neutral Sentiment: Company issued FY2026 guidance of $2.300–$2.450 EPS and $550M–$580M revenue — the midpoint sits near analyst estimates, so guidance neither meaningfully upgrades nor downgrades consensus but reduces surprise risk. CTS Announces Fourth Quarter and Full Year 2025 Results
• Neutral Sentiment: Profitability and balance-sheet metrics are supportive: net margin (~11.1%), ROE (~11.9%), strong liquidity and low leverage provide confidence in execution but limit near-term upside surprises. CTS Stock Profile
• Neutral Sentiment: Institutional activity is mixed — some large funds added shares while others reduced positions; this reflects divergent views among investors rather than a clear directional catalyst. Institutional/Hedge Fund Activity
• Negative Sentiment: Guidance range uncertainty: the lower EPS bound (2.30) is below consensus (2.40), and the revenue range is wide — investors may view the guidance band as leaving downside risk if end markets soften. Guidance Details

Analyst Ratings Changes

Separately, Weiss Ratings reiterated a “hold (c)” rating on shares of CTS in a research report on Wednesday, January 21st. One research analyst has rated the stock with a Hold rating, Based on data from MarketBeat, the company presently has a consensus rating of “Hold”.

Hedge Funds Weigh In On CTS

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Seizert Capital Partners LLC purchased a new position in shares of CTS during the 4th quarter worth approximately $2,202,000. Tudor Investment Corp ET AL lifted its holdings in CTS by 103.4% in the 3rd quarter. Tudor Investment Corp ET AL now owns 85,266 shares of the electronics maker’s stock valued at $3,406,000 after purchasing an additional 43,341 shares in the last quarter. SG Americas Securities LLC raised its position in shares of CTS by 357.2% in the third quarter. SG Americas Securities LLC now owns 31,571 shares of the electronics maker’s stock valued at $1,261,000 after buying an additional 24,666 shares during the last quarter. Jane Street Group LLC boosted its position in CTS by 19.0% during the first quarter. Jane Street Group LLC now owns 59,694 shares of the electronics maker’s stock worth $2,480,000 after acquiring an additional 9,530 shares during the last quarter. Finally, Entropy Technologies LP purchased a new position in shares of CTS during the 3rd quarter worth $341,000. Institutional investors and hedge funds own 96.87% of the company’s stock.

CTS Stock Performance

The stock has a 50-day moving average price of $46.98 and a 200 day moving average price of $43.14. The firm has a market cap of $1.70 billion, a PE ratio of 29.65, a P/E/G ratio of 1.45 and a beta of 0.89. The company has a debt-to-equity ratio of 0.17, a current ratio of 2.64 and a quick ratio of 2.12.

About CTS

CTS Corporation (NYSE:CTS) is a global manufacturer and supplier of electronic components and sensors, headquartered in Lisle, Illinois. Established in 1896 as the Chicago Telephone Supply Company, the firm has evolved over more than a century to become a diversified provider of high-precision products for a wide range of end markets.

The company’s core business encompasses the design, development and production of sensors and actuators, frequency control devices such as quartz crystals and filters, multilayer ceramic capacitors, and inductive components.