Nomura Asset Management Co. Ltd. Lowers Stock Position in Lear Corporation $LEA

Nomura Asset Management Co. Ltd. reduced its stake in shares of Lear Corporation (NYSE:LEA) by 20.3% during the fourth quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 48,364 shares of the auto parts company’s stock after selling 12,300 shares during the period. Nomura Asset Management Co. Ltd. owned 0.09% of Lear worth $5,543,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Dimensional Fund Advisors LP raised its stake in Lear by 2.1% during the 3rd quarter. Dimensional Fund Advisors LP now owns 2,784,110 shares of the auto parts company’s stock valued at $280,106,000 after purchasing an additional 57,443 shares during the period. Schroder Investment Management Group boosted its holdings in shares of Lear by 1.3% in the 3rd quarter. Schroder Investment Management Group now owns 1,825,057 shares of the auto parts company’s stock worth $182,688,000 after purchasing an additional 23,773 shares during the period. American Century Companies Inc. boosted its holdings in shares of Lear by 23.6% in the 3rd quarter. American Century Companies Inc. now owns 1,569,341 shares of the auto parts company’s stock worth $157,891,000 after purchasing an additional 299,841 shares during the period. M&T Bank Corp boosted its holdings in Lear by 46,707.8% during the 4th quarter. M&T Bank Corp now owns 951,602 shares of the auto parts company’s stock valued at $109,054,000 after acquiring an additional 949,569 shares during the period. Finally, Jacobs Levy Equity Management Inc. boosted its holdings in Lear by 20.6% during the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 734,087 shares of the auto parts company’s stock valued at $73,856,000 after acquiring an additional 125,422 shares during the period. Institutional investors own 97.04% of the company’s stock.

Insider Transactions at Lear

In other Lear news, CFO Jason M. Cardew sold 5,000 shares of the stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $147.50, for a total transaction of $737,500.00. Following the completion of the transaction, the chief financial officer owned 13,241 shares of the company’s stock, valued at $1,953,047.50. This represents a 27.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP Nicholas Jon Roelli sold 2,336 shares of the stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $141.38, for a total value of $330,263.68. Following the transaction, the senior vice president directly owned 2,339 shares of the company’s stock, valued at $330,687.82. The trade was a 49.97% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 11,880 shares of company stock worth $1,708,003 in the last 90 days. Company insiders own 1.02% of the company’s stock.

Lear Stock Down 0.5%

Shares of LEA opened at $144.17 on Friday. Lear Corporation has a 52 week low of $86.14 and a 52 week high of $150.33. The company has a quick ratio of 1.05, a current ratio of 1.33 and a debt-to-equity ratio of 0.51. The company has a market capitalization of $7.22 billion, a price-to-earnings ratio of 14.42, a PEG ratio of 0.74 and a beta of 1.23. The stock’s 50-day moving average price is $130.39 and its 200-day moving average price is $123.59.

Lear (NYSE:LEA) last issued its earnings results on Friday, May 1st. The auto parts company reported $3.87 EPS for the quarter, topping analysts’ consensus estimates of $3.51 by $0.36. Lear had a return on equity of 13.69% and a net margin of 2.25%.The firm had revenue of $5.82 billion for the quarter, compared to the consensus estimate of $5.84 billion. During the same quarter in the prior year, the business earned $3.12 earnings per share. The company’s revenue was up 4.7% compared to the same quarter last year. On average, sell-side analysts predict that Lear Corporation will post 14.61 EPS for the current year.

Lear Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 23rd. Stockholders of record on Wednesday, June 3rd will be paid a $0.77 dividend. The ex-dividend date is Wednesday, June 3rd. This represents a $3.08 dividend on an annualized basis and a dividend yield of 2.1%. Lear’s dividend payout ratio is presently 30.80%.

Analysts Set New Price Targets

A number of research firms recently issued reports on LEA. Benchmark assumed coverage on Lear in a report on Thursday, February 19th. They set a “buy” rating and a $170.00 price objective for the company. Morgan Stanley set a $130.00 price target on Lear in a research report on Monday, May 4th. Wells Fargo & Company upped their target price on Lear from $126.00 to $133.00 and gave the company an “equal weight” rating in a research report on Monday, May 4th. UBS Group reduced their target price on Lear from $145.00 to $135.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 14th. Finally, Barclays upped their target price on Lear from $140.00 to $150.00 and gave the company an “equal weight” rating in a research report on Tuesday, May 5th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and ten have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $143.08.

Key Stories Impacting Lear

Here are the key news stories impacting Lear this week:

• Positive Sentiment: Lear’s prior quarterly results were strong, with EPS of $3.87 beating estimates and revenue rising 4.7% year over year, reinforcing confidence in the auto supplier’s operating performance and helping support the stock. Article: Lear earnings and stock performance
• Positive Sentiment: The company also announced a quarterly dividend of $0.77 per share, signaling continued shareholder returns and a healthy payout ratio near 31%. Article: Lear dividend announcement
• Neutral Sentiment: Analyst sentiment remains mixed, with a consensus rating of Hold, though some firms still have bullish targets above current levels. Article: Lear analyst ratings
• Negative Sentiment: CFO Jason M. Cardew sold shares in two recent transactions, including 4,500 shares and 5,000 shares, which can pressure sentiment because investors often view insider selling as a sign of caution. Article: Lear CFO stock sales

About Lear

Lear Corporation (NYSE: LEA) is a global supplier of automotive seating and electrical distribution systems. The company designs, engineers and manufactures complete seat systems, seat components and power solutions for major vehicle manufacturers. Its electrical business delivers modules and components for battery management, infotainment, body and safety electronics, as well as advanced connectivity and electrification solutions.

The seating division develops lightweight, ergonomic seat structures, trim and mechanisms that address comfort, safety and environmental targets.