Garrett Motion (NYSE:GTX) Shares Gap Up – Here’s What Happened

Garrett Motion Inc. (NYSE:GTX)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $16.46, but opened at $17.22. Garrett Motion shares last traded at $16.9120, with a volume of 583,837 shares.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on the stock. Stifel Nicolaus set a $20.00 target price on shares of Garrett Motion in a research note on Friday, October 24th. Deutsche Bank Aktiengesellschaft started coverage on shares of Garrett Motion in a report on Monday, October 20th. They issued a “hold” rating and a $14.00 price objective for the company. Zacks Research upgraded Garrett Motion from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, October 1st. Finally, BWS Financial reissued a “buy” rating and issued a $18.00 target price on shares of Garrett Motion in a report on Friday, October 24th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, Garrett Motion presently has an average rating of “Buy” and a consensus price target of $16.50.

Garrett Motion Price Performance

The business’s 50 day moving average price is $15.24 and its 200 day moving average price is $13.05. The stock has a market capitalization of $3.23 billion, a P/E ratio of 13.08 and a beta of 0.41.

Garrett Motion (NYSE:GTX) last issued its earnings results on Thursday, October 23rd. The company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.04. Garrett Motion had a net margin of 8.12% and a negative return on equity of 38.75%. The firm’s quarterly revenue was up 9.2% on a year-over-year basis. During the same period in the previous year, the company earned $0.24 EPS. As a group, analysts forecast that Garrett Motion Inc. will post 1.25 earnings per share for the current fiscal year.

Garrett Motion Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, December 15th. Investors of record on Monday, December 1st will be given a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a yield of 1.9%. This is a boost from Garrett Motion’s previous quarterly dividend of $0.06. The ex-dividend date is Monday, December 1st. Garrett Motion’s dividend payout ratio (DPR) is currently 20.38%.

Insiders Place Their Bets

In other Garrett Motion news, major shareholder Cyrus Capital Partners, L.P. sold 350,566 shares of the firm’s stock in a transaction dated Thursday, September 11th. The stock was sold at an average price of $13.28, for a total value of $4,655,516.48. Following the transaction, the insider directly owned 20,009,945 shares of the company’s stock, valued at approximately $265,732,069.60. This trade represents a 1.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders sold a total of 613,403 shares of company stock valued at $8,133,314 over the last 90 days. 0.83% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Garrett Motion

Hedge funds and other institutional investors have recently made changes to their positions in the business. Cambria Investment Management L.P. lifted its stake in shares of Garrett Motion by 1,502.7% in the 3rd quarter. Cambria Investment Management L.P. now owns 739,593 shares of the company’s stock worth $10,073,000 after purchasing an additional 693,445 shares during the period. CIBC Bancorp USA Inc. purchased a new stake in Garrett Motion during the third quarter valued at approximately $195,000. Yorkville Advisors Global LP purchased a new stake in Garrett Motion during the third quarter valued at approximately $11,168,000. Caxton Associates LLP raised its position in Garrett Motion by 630.9% in the third quarter. Caxton Associates LLP now owns 236,572 shares of the company’s stock worth $3,222,000 after acquiring an additional 204,206 shares during the period. Finally, XTX Topco Ltd boosted its stake in shares of Garrett Motion by 85.7% during the 3rd quarter. XTX Topco Ltd now owns 94,500 shares of the company’s stock worth $1,287,000 after acquiring an additional 43,607 shares during the last quarter. Hedge funds and other institutional investors own 86.27% of the company’s stock.

About Garrett Motion

Garrett Motion Inc, together with its subsidiaries, designs, manufactures, and sells turbocharging, air and fluid compression, and high-speed electric motor technologies for original equipment manufacturers and distributors worldwide. The company offers cutting-edge technology for the mobility and industrial space, including light vehicles, commercial vehicles, and industrial applications.