Insider Selling: Lear (NYSE:LEA) CFO Sells 5,000 Shares of Stock

Lear Corporation (NYSE:LEA) CFO Jason Cardew sold 5,000 shares of the stock in a transaction dated Tuesday, November 3rd. The stock was sold at an average price of $117.75, for a total value of $588,750.00. Following the completion of the sale, the chief financial officer owned 8,241 shares of the company’s stock, valued at $970,377.75. This trade represents a 37.76% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website.

Lear Stock Up 1.6%

Shares of NYSE LEA traded up $1.85 during mid-day trading on Wednesday, reaching $118.62. 191,582 shares of the company’s stock were exchanged, compared to its average volume of 601,475. Lear Corporation has a twelve month low of $99.00 and a twelve month high of $150.33. The company has a current ratio of 1.18, a quick ratio of 0.92 and a debt-to-equity ratio of 0.40. The firm has a market capitalization of $5.72 billion, a price-to-earnings ratio of 10.37, a PEG ratio of 0.69 and a beta of 1.28. The business has a fifty day simple moving average of $121.93 and a 200 day simple moving average of $128.32.

Lear (NYSE:LEA) last issued its quarterly earnings data on Friday, October 30th. The auto parts company reported $3.71 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.32 by $0.39. Lear had a return on equity of 14.92% and a net margin of 2.46%. The business had revenue of $5.77 billion during the quarter, compared to analyst estimates of $5.81 billion. During the same period in the previous year, the firm earned $2.79 EPS. Lear’s quarterly revenue was up 1.6% compared to the same quarter last year. As a group, equities analysts expect that Lear Corporation will post 14.93 EPS for the current fiscal year.

Lear Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 22nd. Shareholders of record on Wednesday, September 2nd were paid a $0.77 dividend. The ex-dividend date of this dividend was Wednesday, September 2nd. This represents a $3.08 dividend on an annualized basis and a yield of 2.6%. Lear’s payout ratio is presently 26.90%.

Lear declared that its Board of Directors has authorized a share buyback plan on Thursday, September 24th that authorizes the company to buy back $1.50 billion in outstanding shares. This repurchase authorization authorizes the auto parts company to reacquire up to 25.7% of its shares through open market purchases. Share repurchase plans are generally an indication that the company’s board believes its shares are undervalued.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. JPMorgan Chase & Co. downgraded shares of Lear from an “overweight” rating to a “neutral” rating and lowered their price objective for the stock from $175.00 to $150.00 in a research report on Tuesday, September 15th. Royal Bank Of Canada reduced their target price on shares of Lear from $139.00 to $135.00 and set a “sector perform” rating for the company in a research note on Monday. Weiss Ratings cut Lear from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, September 9th. Wall Street Zen downgraded Lear from a “buy” rating to a “hold” rating in a research note on Sunday, October 25th. Finally, Deutsche Bank Aktiengesellschaft set a $131.00 price target on Lear in a report on Monday, August 3rd. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $143.25.

Key Headlines Impacting Lear

Here are the key news stories impacting Lear this week:

• Positive Sentiment: Lear beat third-quarter EPS estimates, and a report said its shares rose after the results. The earnings call was characterized as showing resilient growth. Lear analyst forecasts after Q3 results Lear earnings call highlights
• Positive Sentiment: Shares crossed above the 50-day moving average, a potentially supportive technical signal, even as an analyst downgrade was reported. Lear shares break above 50-day moving average
• Negative Sentiment: Third-quarter revenue came in below expectations, and Lear cut its 2026 revenue guidance. Analysts lowered forecasts and price targets, while RBC cited a near-term China overhang. These concerns could limit upside despite the earnings-per-share beat. RBC cites near-term China overhang

Hedge Funds Weigh In On Lear

Several hedge funds have recently made changes to their positions in the business. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in shares of Lear in the 2nd quarter valued at about $4,029,000. Engineers Gate Manager LP grew its holdings in Lear by 145.6% during the second quarter. Engineers Gate Manager LP now owns 126,588 shares of the auto parts company’s stock worth $16,970,000 after purchasing an additional 75,043 shares during the period. Great Lakes Advisors LLC bought a new position in Lear during the second quarter worth about $2,997,000. Fifth Third Bancorp grew its holdings in Lear by 5,987.3% during the first quarter. Fifth Third Bancorp now owns 23,436 shares of the auto parts company’s stock worth $2,838,000 after purchasing an additional 23,051 shares during the period. Finally, Public Employees Retirement System of Ohio acquired a new position in Lear during the second quarter worth approximately $3,988,000. 97.04% of the stock is owned by institutional investors.

Lear Company Profile

Lear Corporation is a global automotive technology company that designs and manufactures products used in passenger vehicles and commercial vehicles. Its operations are organized primarily around two areas: seating and e-systems. Lear supplies complete vehicle seating systems, including seats, structures, mechanisms, foam, covers and related components, as well as electrical distribution systems and other technologies that support vehicle power management and connectivity.

The company serves automotive manufacturers and their vehicle programs in major markets across North America, Europe, Asia and other regions.