Recent News
On September 4, 2025, Lear announced a five-year expansion of its partnership with Palantir to broaden deployment of Foundry, Warp Speed manufacturing OS, and Palantir’s AI Platform across Lear’s global manufacturing footprint.
On November 20, 2025, Lear’s Board declared a quarterly cash dividend of $0.77 per share payable December 30, 2025, to shareholders of record on December 10, 2025.
Technical Analysis
ADX at 26.87 indicates a strong trend environment, implying technical signals carry meaningful directional weight for near-term price movement.
DI+ sits at 19.91 with a decreasing trend while DI- shows 16.78 with a dip & reversal; both directional indicators skew toward bearish pressure and suggest downside bias relative to the current valuation.
MACD currently reads 0.15 and declines beneath its signal line at 0.88; that configuration signals weakening upward momentum and favors short-term bearish momentum.
MRO registers 21.95 with a peak & reversal; the positive value indicates price sits above the oscillator’s target and implies a potential for downward adjustment from present levels.
RSI at 51.2 with a decreasing trend sits near neutral but tilting lower, consistent with reduced upside conviction while the price consolidates below short-term averages.
Short-term averages show price below the 20-day average ($106.42) and below the 12-day EMA’s peak-and-reverse, while remaining above the 200-day average ($96.32); that arrangement implies short-term pressure inside a longer-term base.
Ichimoku components cluster near $102–$104; the close at $99.28 sits beneath the cloud boundary, reinforcing near-term resistance levels around the cloud and the upper Bollinger band region.
Fundamental Analysis
Total revenue for the period reached $5,679,800,000 with operating cash flow of $444,400,000 and free cash flow of $307,000,000; the free cash flow yield measures 5.78%, which places free cash generation among the company’s stronger fundamental features.
EBIT registered $184,000,000, producing an EBIT margin of 3.24%, down 19.56% QoQ and down 16.67% YoY; the EBIT margin falls below the industry peer low of 4.13% and well under the industry peer mean of 11.25%, indicating margin compression versus the peer distribution.
Operating margin at 3.39% declined 17.62% QoQ and 12.83% YoY, while gross margin slid to 6.40% (down 12.06% QoQ). Those margin moves helped push adjusted earnings per share to $2.79, matching WMDST’s estimate with an EPS surprise of roughly -0.09%.
Revenue growth shows mixed signals: sequential metrics show a sizeable QoQ decline (reported as -168.76% QoQ) and a year-over-year decline of -18.33% YoY; the combination reflects lower top-line momentum versus the recent comparable period.
Balance-sheet and liquidity metrics present a conservative short-term picture: cash and short-term investments total $1,009,600,000 while the current ratio stands at 1.35 and quick ratio at 1.05. Net debt equals $1,781,100,000 and debt to EBITDA measures 8.30, indicating elevated leverage relative to operating cash generation.
Returns sit low: return on equity at 2.12% and return on assets at 0.71%, both down markedly QoQ. Capital efficiency shows asset turnover of 0.373, slightly above the industry peer mean of 0.268 but below the peer high. Free cash flow conversion to net income runs 2.84x, underscoring meaningful cash conversion despite compressed margins.
Valuation metrics present a mixed picture: P/E at 36.40 and forward P/E near 29.98, with price-to-book around 1.04 and enterprise multiple at 21.08. WMDST values the stock as under-valued given the company’s cash generation and the gap between operating performance and valuation.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-10-31 |
| NEXT REPORT DATE: | 2026-01-30 |
| CASH FLOW | Begin Period Cash Flow | $ 893.3 M |
| Operating Cash Flow | $ 444.4 M | |
| Capital Expenditures | $ -137.40 M | |
| Change In Working Capital | $ 158.1 M | |
| Dividends Paid | $ -40.90 M | |
| Cash Flow Delta | $ 121.1 M | |
| End Period Cash Flow | $ 1.0 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 5.7 B | |
| Forward Revenue | $ 2.3 B | |
| COSTS | ||
| Cost Of Revenue | $ 5.3 B | |
| Depreciation | $ 147.5 M | |
| Depreciation and Amortization | $ 152.3 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 5.5 B | |
| PROFITABILITY | ||
| Gross Profit | $ 363.7 M | |
| EBITDA | $ 336.3 M | |
| EBIT | $ 184.0 M | |
| Operating Income | $ 192.5 M | |
| Interest Income | — | |
| Interest Expense | $ 24.6 M | |
| Net Interest Income | $ -24.60 M | |
| Income Before Tax | $ 159.4 M | |
| Tax Provision | $ 45.1 M | |
| Tax Rate | 28.3 % | |
| Net Income | $ 108.2 M | |
| Net Income From Continuing Operations | $ 126.4 M | |
| EARNINGS | ||
| EPS Estimate | $ 2.79 | |
| EPS Actual | $ 2.79 | |
| EPS Difference | $ 0.00 | |
| EPS Surprise | -0.09 % | |
| Forward EPS | $ 3.41 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 15.2 B | |
| Intangible Assets | $ 1.8 B | |
| Net Tangible Assets | $ 3.3 B | |
| Total Current Assets | $ 8.0 B | |
| Cash and Short-Term Investments | $ 1.0 B | |
| Cash | $ 1.0 B | |
| Net Receivables | $ 4.2 B | |
| Inventory | $ 1.8 B | |
| Long-Term Investments | $ 2.5 B | |
| LIABILITIES | ||
| Accounts Payable | $ 3.6 B | |
| Short-Term Debt | $ 31.0 M | |
| Total Current Liabilities | $ 5.9 B | |
| Net Debt | $ 1.8 B | |
| Total Debt | $ 2.8 B | |
| Total Liabilities | $ 9.9 B | |
| EQUITY | ||
| Total Equity | $ 5.1 B | |
| Retained Earnings | $ 6.1 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 97.68 | |
| Shares Outstanding | 52.271 M | |
| Revenue Per-Share | $ 108.66 | |
| VALUATION | Market Capitalization | $ 5.3 B |
| Enterprise Value | $ 7.1 B | |
| Enterprise Multiple | 21.082 | |
| Enterprise Multiple QoQ | 13.62 % | |
| Enterprise Multiple YoY | 50.151 % | |
| Enterprise Multiple IPRWA | high: 46.398 mean: 30.484 median: 26.218 LEA: 21.082 low: -5.511 |
|
| EV/R | 1.248 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.969 | |
| Asset To Liability | 1.529 | |
| Debt To Capital | 0.353 | |
| Debt To Assets | 0.184 | |
| Debt To Assets QoQ | 1.059 % | |
| Debt To Assets YoY | 8969.458 % | |
| Debt To Assets IPRWA | high: 0.487 median: 0.227 mean: 0.202 LEA: 0.184 low: 0.001 |
|
| Debt To Equity | 0.547 | |
| Debt To Equity QoQ | -0.492 % | |
| Debt To Equity YoY | 8548.259 % | |
| Debt To Equity IPRWA | high: 1.311 median: 0.594 LEA: 0.547 mean: 0.494 low: 0.002 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.04 | |
| Price To Book QoQ | -1.294 % | |
| Price To Book YoY | -16.333 % | |
| Price To Book IPRWA | high: 3.589 mean: 1.806 median: 1.669 LEA: 1.04 low: 0.83 |
|
| Price To Earnings (P/E) | 36.401 | |
| Price To Earnings QoQ | 30.577 % | |
| Price To Earnings YoY | -3.04 % | |
| Price To Earnings IPRWA | high: 108.851 median: 54.023 mean: 51.71 LEA: 36.401 low: -4.3 |
|
| PE/G Ratio | -1.857 | |
| Price To Sales (P/S) | 0.935 | |
| Price To Sales QoQ | 5.29 % | |
| Price To Sales YoY | -11.858 % | |
| Price To Sales IPRWA | high: 8.895 mean: 4.02 median: 3.418 low: 1.206 LEA: 0.935 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 29.983 | |
| Forward PE/G | -1.53 | |
| Forward P/S | 2.271 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 4.171 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.373 | |
| Asset Turnover Ratio QoQ | -7.466 % | |
| Asset Turnover Ratio YoY | -1.561 % | |
| Asset Turnover Ratio IPRWA | high: 0.39 LEA: 0.373 median: 0.313 mean: 0.268 low: 0.075 |
|
| Receivables Turnover | 1.297 | |
| Receivables Turnover Ratio QoQ | -5.795 % | |
| Receivables Turnover Ratio YoY | -1.858 % | |
| Receivables Turnover Ratio IPRWA | high: 3.729 mean: 1.659 median: 1.32 LEA: 1.297 low: 0.281 |
|
| Inventory Turnover | 3.085 | |
| Inventory Turnover Ratio QoQ | -7.165 % | |
| Inventory Turnover Ratio YoY | 3.351 % | |
| Inventory Turnover Ratio IPRWA | LEA: 3.085 high: 2.581 mean: 1.43 median: 1.308 low: 0.356 |
|
| Days Sales Outstanding (DSO) | 70.329 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 38.332 | |
| Cash Conversion Cycle Days QoQ | 23.518 % | |
| Cash Conversion Cycle Days YoY | -3.45 % | |
| Cash Conversion Cycle Days IPRWA | high: 324.595 mean: 109.79 median: 66.537 LEA: 38.332 low: 32.952 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 2.726 | |
| CapEx To Revenue | -0.024 | |
| CapEx To Depreciation | -0.932 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 7.9 B | |
| Net Invested Capital | $ 7.9 B | |
| Invested Capital | $ 7.9 B | |
| Net Tangible Assets | $ 3.3 B | |
| Net Working Capital | $ 2.1 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.17 | |
| Current Ratio | 1.35 | |
| Current Ratio QoQ | 0.618 % | |
| Current Ratio YoY | 1.893 % | |
| Current Ratio IPRWA | high: 2.981 median: 2.335 mean: 2.092 LEA: 1.35 low: 0.601 |
|
| Quick Ratio | 1.054 | |
| Quick Ratio QoQ | -1.213 % | |
| Quick Ratio YoY | 2.813 % | |
| Quick Ratio IPRWA | high: 1.962 median: 1.194 mean: 1.153 LEA: 1.054 low: 0.465 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 8.298 | |
| Cost Of Debt | 0.632 % | |
| Interest Coverage Ratio | 7.48 | |
| Interest Coverage Ratio QoQ | -21.785 % | |
| Interest Coverage Ratio YoY | -8.7 % | |
| Interest Coverage Ratio IPRWA | high: 70.827 mean: 17.75 median: 8.277 LEA: 7.48 low: -34.487 |
|
| Operating Cash Flow Ratio | 0.061 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 60.123 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 2.645 | |
| Dividend Payout Ratio | 0.378 | |
| Dividend Rate | $ 0.78 | |
| Dividend Yield | 0.008 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -1.073 % | |
| Revenue Growth | -5.814 % | |
| Revenue Growth QoQ | -168.764 % | |
| Revenue Growth YoY | -18.331 % | |
| Revenue Growth IPRWA | high: 17.576 % median: -1.59 % mean: -2.399 % LEA: -5.814 % low: -19.959 % |
|
| Earnings Growth | -19.597 % | |
| Earnings Growth QoQ | -274.692 % | |
| Earnings Growth YoY | -0.634 % | |
| Earnings Growth IPRWA | high: 30.769 % median: -7.639 % mean: -8.393 % LEA: -19.597 % low: -66.667 % |
|
| MARGINS | ||
| Gross Margin | 6.403 % | |
| Gross Margin QoQ | -12.059 % | |
| Gross Margin YoY | -11.78 % | |
| Gross Margin IPRWA | high: 44.402 % mean: 24.821 % median: 22.648 % low: 14.232 % LEA: 6.403 % |
|
| EBIT Margin | 3.24 % | |
| EBIT Margin QoQ | -19.563 % | |
| EBIT Margin YoY | -16.667 % | |
| EBIT Margin IPRWA | high: 30.389 % mean: 11.249 % median: 9.103 % low: 4.128 % LEA: 3.24 % |
|
| Return On Sales (ROS) | 3.389 % | |
| Return On Sales QoQ | -17.623 % | |
| Return On Sales YoY | -12.834 % | |
| Return On Sales IPRWA | high: 19.449 % mean: 10.098 % median: 7.197 % low: 4.012 % LEA: 3.389 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 307.0 M | |
| Free Cash Flow Yield | 5.783 % | |
| Free Cash Flow Yield QoQ | 81.228 % | |
| Free Cash Flow Yield YoY | 577.96 % | |
| Free Cash Flow Yield IPRWA | high: 12.691 % LEA: 5.783 % mean: 3.581 % median: 3.311 % low: -0.505 % |
|
| Free Cash Growth | 79.742 % | |
| Free Cash Growth QoQ | -145.904 % | |
| Free Cash Growth YoY | -213.328 % | |
| Free Cash Growth IPRWA | high: 125.995 % LEA: 79.742 % median: 35.347 % mean: 17.321 % low: -113.114 % |
|
| Free Cash To Net Income | 2.837 | |
| Cash Flow Margin | 6.379 % | |
| Cash Flow To Earnings | 3.348 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 0.71 % | |
| Return On Assets QoQ | -35.63 % | |
| Return On Assets YoY | -22.91 % | |
| Return On Assets IPRWA | high: 7.492 % mean: 1.744 % median: 1.134 % LEA: 0.71 % low: -0.219 % |
|
| Return On Capital Employed (ROCE) | 1.998 % | |
| Return On Equity (ROE) | 0.021 | |
| Return On Equity QoQ | -34.82 % | |
| Return On Equity YoY | -25.649 % | |
| Return On Equity IPRWA | high: 0.08 mean: 0.033 median: 0.03 LEA: 0.021 low: -0.008 |
|
| DuPont ROE | 2.124 % | |
| Return On Invested Capital (ROIC) | 1.671 % | |
| Return On Invested Capital QoQ | -33.026 % | |
| Return On Invested Capital YoY | -107.501 % | |
| Return On Invested Capital IPRWA | high: 7.89 % mean: 3.101 % median: 2.786 % LEA: 1.671 % low: -0.036 % |
|