Adient (ADNT) Rating Increased to Hold at Zacks Investment Research
Zacks Investment Research upgraded shares of Adient (NYSE:ADNT) from a strong sell rating to a hold rating in a research report report published on Tuesday.
According to Zacks, “In third-quarter fiscal 2018, though Adient reported an earnings miss, revenues beat estimate. Revenues also improved year over year. Gains generated from Futuris acquisition, China JV consolidation and favorable foreign exchange aided revenue growth. In order to enhance cost efficiencies, Adient has committed to a restructuring plan in fiscal 2018, particularly for the Seating and SS&M segments. Adient’s focus to stabilize the SS&M segment is gaining traction. Performance of this segment improved sequentially for the second consecutive quarter. This trend is likely to continue in fourth-quarter 2018 and 2019. However, over the past three months, its shares underperformed the industry it belongs to.”
ADNT has been the subject of several other reports. Longbow Research reaffirmed a buy rating and set a $58.00 target price on shares of Adient in a report on Friday, July 27th. Robert W. Baird downgraded Adient from a neutral rating to an underperform rating in a report on Monday, June 11th. Guggenheim set a $46.00 target price on Adient and gave the company a hold rating in a report on Friday, July 27th. Morgan Stanley downgraded Adient from an overweight rating to an equal weight rating and set a $61.00 target price for the company. in a report on Wednesday, May 9th. Finally, ValuEngine downgraded Adient from a buy rating to a hold rating in a report on Friday, April 27th. Three equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and two have assigned a buy rating to the company. The company presently has a consensus rating of Hold and an average price target of $64.08.
Adient (NYSE:ADNT) last announced its earnings results on Thursday, July 26th. The company reported $1.45 EPS for the quarter, missing the consensus estimate of $1.56 by ($0.11). Adient had a net margin of 0.08% and a return on equity of 14.27%. The company had revenue of $4.49 billion for the quarter, compared to analysts’ expectations of $4.34 billion. During the same period in the prior year, the company earned $2.52 earnings per share. The company’s revenue for the quarter was up 12.2% on a year-over-year basis. research analysts anticipate that Adient will post 5.87 earnings per share for the current fiscal year.
The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 15th. Investors of record on Wednesday, July 18th were given a dividend of $0.275 per share. This represents a $1.10 annualized dividend and a yield of 2.41%. The ex-dividend date was Tuesday, July 17th. Adient’s payout ratio is 11.76%.
A number of large investors have recently bought and sold shares of the stock. Barrow Hanley Mewhinney & Strauss LLC raised its position in Adient by 57.1% during the first quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 9,341,552 shares of the company’s stock valued at $558,251,000 after buying an additional 3,394,306 shares during the period. BlackRock Inc. raised its position in Adient by 1.0% during the second quarter. BlackRock Inc. now owns 4,186,894 shares of the company’s stock valued at $205,956,000 after buying an additional 42,091 shares during the period. Iridian Asset Management LLC CT raised its position in Adient by 1.7% during the first quarter. Iridian Asset Management LLC CT now owns 3,268,834 shares of the company’s stock valued at $195,346,000 after buying an additional 55,653 shares during the period. Principal Financial Group Inc. raised its position in Adient by 9.6% during the first quarter. Principal Financial Group Inc. now owns 1,962,321 shares of the company’s stock valued at $117,268,000 after buying an additional 172,385 shares during the period. Finally, Greenhaven Associates Inc. raised its position in Adient by 1.0% during the first quarter. Greenhaven Associates Inc. now owns 1,901,848 shares of the company’s stock valued at $113,654,000 after buying an additional 19,033 shares during the period. 97.11% of the stock is currently owned by hedge funds and other institutional investors.
Adient plc designs, manufactures, and markets a range of seating systems and components for passenger cars, commercial vehicles, and light trucks. The company operates through two segments, Seating and Interiors. The Seating segment produces automotive seat metal structures and mechanisms, foams, trims, fabrics, and seat systems.
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