Gentherm (NASDAQ:THRM) Shares Gap Down on Disappointing Earnings

Gentherm Incorporated (NASDAQ:THRM)’s share price gapped down prior to trading on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $36.15, but opened at $32.50. Gentherm shares last traded at $31.55, with a volume of 191,592 shares trading hands.

The auto parts company reported $0.29 earnings per share for the quarter, missing the consensus estimate of $0.67 by ($0.38). Gentherm had a net margin of 4.61% and a return on equity of 14.36%.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the stock. Craig Hallum lowered their price target on shares of Gentherm from $85.00 to $65.00 and set a “buy” rating on the stock in a report on Thursday, October 31st. JPMorgan Chase & Co. dropped their price objective on Gentherm from $56.00 to $51.00 and set a “neutral” rating on the stock in a report on Monday, January 27th. Robert W. Baird lowered their target price on shares of Gentherm from $54.00 to $50.00 and set a “neutral” rating on the stock in a research report on Thursday, October 31st. Finally, StockNews.com raised Gentherm from a “buy” rating to a “strong-buy” rating in a report on Tuesday.

Insider Activity

In related news, SVP Thomas Stocker sold 1,295 shares of the company’s stock in a transaction on Wednesday, December 11th. The stock was sold at an average price of $42.98, for a total value of $55,659.10. Following the completion of the transaction, the senior vice president now directly owns 13,413 shares in the company, valued at approximately $576,490.74. This represents a 8.80 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, SVP Hui (Helen) Xu sold 2,500 shares of Gentherm stock in a transaction on Thursday, December 5th. The stock was sold at an average price of $42.00, for a total transaction of $105,000.00. Following the sale, the senior vice president now owns 18,947 shares in the company, valued at $795,774. This represents a 11.66 % decrease in their position. The disclosure for this sale can be found here. 1.91% of the stock is owned by company insiders.

Institutional Investors Weigh In On Gentherm

A number of hedge funds and other institutional investors have recently bought and sold shares of THRM. Vanguard Group Inc. increased its position in Gentherm by 2.1% in the 4th quarter. Vanguard Group Inc. now owns 3,667,551 shares of the auto parts company’s stock valued at $146,427,000 after acquiring an additional 74,758 shares in the last quarter. Trigran Investments Inc. boosted its stake in Gentherm by 7.3% during the 4th quarter. Trigran Investments Inc. now owns 1,990,938 shares of the auto parts company’s stock worth $79,488,000 after acquiring an additional 135,458 shares during the last quarter. Dimensional Fund Advisors LP grew its holdings in Gentherm by 5.4% during the fourth quarter. Dimensional Fund Advisors LP now owns 1,217,681 shares of the auto parts company’s stock valued at $48,616,000 after purchasing an additional 62,562 shares during the period. Disciplined Growth Investors Inc. MN increased its stake in Gentherm by 2.0% in the third quarter. Disciplined Growth Investors Inc. MN now owns 1,169,671 shares of the auto parts company’s stock valued at $54,448,000 after purchasing an additional 23,051 shares in the last quarter. Finally, Global Alpha Capital Management Ltd. raised its holdings in Gentherm by 23.8% in the fourth quarter. Global Alpha Capital Management Ltd. now owns 782,983 shares of the auto parts company’s stock worth $31,261,000 after purchasing an additional 150,310 shares during the period. 97.13% of the stock is owned by institutional investors and hedge funds.

Gentherm Trading Down 10.8 %

The company has a debt-to-equity ratio of 0.34, a current ratio of 2.02 and a quick ratio of 1.38. The business’s 50-day moving average price is $39.02 and its two-hundred day moving average price is $43.19. The company has a market capitalization of $999.29 million, a P/E ratio of 14.98 and a beta of 1.42.

About Gentherm

Gentherm Incorporated designs, develops, manufactures, and sells thermal management and pneumatic comfort technologies in the United States and internationally. The company operates in two segments, Automotive and Medical. The Automotive segment offers climate comfort systems, which include seat heaters, blowers, and thermoelectric devices for variable temperature climate control seats and steering wheel heaters that are designed to provide thermal comfort to automobile passengers; integrated electronic components, such as electronic control units; and other climate comfort systems, including neck and shoulder conditioners and climate control system products for door panels, armrests, cupholders, and storage bins.