Insider Buying: Gentherm (NASDAQ:THRM) CEO Purchases 5,000 Shares of Stock

Gentherm Inc (NASDAQ:THRM) CEO William Presley bought 5,000 shares of the stock in a transaction dated Friday, October 23rd. The shares were acquired at an average price of $26.00 per share, with a total value of $130,000.00. Following the completion of the purchase, the chief executive officer directly owned 183,314 shares of the company’s stock, valued at approximately $4,766,164. This represents a 2.80% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.

Gentherm Stock Down 0.0%

Shares of NASDAQ THRM traded down $0.01 during midday trading on Monday, reaching $28.59. 2,439,104 shares of the company’s stock were exchanged, compared to its average volume of 2,663,726. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.47 and a current ratio of 2.05. Gentherm Inc has a 52-week low of $25.31 and a 52-week high of $48.35. The business’s fifty day moving average price is $35.33 and its two-hundred day moving average price is $34.16. The stock has a market capitalization of $878.86 million, a PE ratio of 95.30, a price-to-earnings-growth ratio of 0.66 and a beta of 1.37.

Gentherm (NASDAQ:THRM) last issued its quarterly earnings results on Thursday, October 22nd. The auto parts company reported $0.33 EPS for the quarter, missing analysts’ consensus estimates of $0.64 by ($0.31). Gentherm had a net margin of 0.57% and a return on equity of 10.30%. The business had revenue of $405.10 million during the quarter, compared to analysts’ expectations of $404.16 million. During the same period in the prior year, the company posted $0.73 EPS. The company’s revenue for the quarter was up 4.7% on a year-over-year basis. Analysts forecast that Gentherm Inc will post 2.89 EPS for the current year.

Gentherm Announces Dividend

The firm also recently announced a special dividend, which was paid on Wednesday, October 7th. Stockholders of record on Monday, September 28th were paid a dividend of $1.90 per share.

Gentherm announced that its board has authorized a share repurchase program on Thursday, July 23rd that authorizes the company to repurchase $400 million in outstanding shares. This buyback authorization authorizes the auto parts company to repurchase up to 36.2% of its shares through open market purchases. Share buyback programs are often a sign that the company’s board believes its shares are undervalued.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on THRM. Wall Street Zen downgraded Gentherm from a “buy” rating to a “hold” rating in a report on Saturday. Freedom Capital lowered shares of Gentherm from a “strong-buy” rating to a “hold” rating in a research note on Friday, July 24th. JPMorgan Chase & Co. decreased their target price on Gentherm from $48.00 to $47.00 and set an “overweight” rating on the stock in a report on Friday. Stifel Nicolaus dropped their price target on Gentherm from $48.00 to $46.00 and set a “buy” rating on the stock in a research note on Friday. Finally, Zacks Research downgraded Gentherm from a “strong-buy” rating to a “hold” rating in a report on Monday, September 28th. Four research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, Gentherm currently has an average rating of “Hold” and an average target price of $44.17.

Institutional Trading of Gentherm

Hedge funds and other institutional investors have recently modified their holdings of the business. Bank of America Corp DE purchased a new position in shares of Gentherm during the second quarter valued at $9,986,000. BlackRock Inc. acquired a new stake in Gentherm during the 2nd quarter worth about $165,005,000. Deutsche Bank AG acquired a new stake in Gentherm during the 2nd quarter worth about $1,296,000. Walleye Capital LLC purchased a new position in Gentherm during the 2nd quarter valued at about $802,000. Finally, Renaissance Technologies LLC grew its stake in Gentherm by 24.5% during the 1st quarter. Renaissance Technologies LLC now owns 271,464 shares of the auto parts company’s stock valued at $7,541,000 after acquiring an additional 53,400 shares in the last quarter. Institutional investors and hedge funds own 97.13% of the company’s stock.

About Gentherm

Gentherm Incorporated (NASDAQ: THRM) develops and manufactures thermal management and comfort technologies for the automotive and medical industries. The company’s automotive products include heated and cooled seating systems, climate-controlled seats, heated steering wheels, seat ventilation, and other technologies designed to improve passenger comfort and manage temperature.

Gentherm also provides battery thermal management systems and related technologies that support the performance, efficiency, and safety of electrified vehicles.