Garrett Motion (NASDAQ:GTX) Reaches New 1-Year High – Still a Buy?

Garrett Motion Inc. (NASDAQ:GTX)’s share price reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $35.18 and last traded at $34.85, with a volume of 71858 shares. The stock had previously closed at $34.32.

Analysts Set New Price Targets

GTX has been the subject of a number of analyst reports. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $24.00 price objective on shares of Garrett Motion in a research report on Friday, May 1st. BWS Financial lifted their target price on Garrett Motion from $32.00 to $42.00 and gave the stock a “buy” rating in a research report on Thursday, May 21st. JPMorgan Chase & Co. boosted their price target on Garrett Motion from $30.00 to $33.00 and gave the stock an “overweight” rating in a research note on Thursday, May 14th. Weiss Ratings began coverage on Garrett Motion in a report on Wednesday, April 29th. They issued a “buy (b)” rating for the company. Finally, Freedom Capital lowered Garrett Motion from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 4th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $31.83.

Garrett Motion Trading Down 2.1%

The company has a market cap of $6.32 billion, a P/E ratio of 19.74, a P/E/G ratio of 1.08 and a beta of 0.79. The company’s 50-day moving average price is $28.71 and its two-hundred day moving average price is $21.99.

Garrett Motion (NASDAQ:GTX) last issued its quarterly earnings results on Friday, May 1st. The company reported $0.49 EPS for the quarter, topping the consensus estimate of $0.43 by $0.06. The business had revenue of $985.00 million for the quarter, compared to analysts’ expectations of $917.23 million. Garrett Motion had a net margin of 9.29% and a negative return on equity of 42.77%. The business’s revenue was up 12.2% compared to the same quarter last year. As a group, analysts anticipate that Garrett Motion Inc. will post 1.83 earnings per share for the current year.

Garrett Motion Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, June 15th. Shareholders of record on Monday, June 1st were issued a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date of this dividend was Monday, June 1st. Garrett Motion’s dividend payout ratio (DPR) is currently 18.71%.

Insider Transactions at Garrett Motion

In other news, Director Daniel A. Ninivaggi sold 17,178 shares of the stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $31.22, for a total value of $536,297.16. Following the completion of the transaction, the director directly owned 124,885 shares in the company, valued at $3,898,909.70. This trade represents a 12.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Mark Albert Rodrigues sold 10,516 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $33.82, for a total transaction of $355,651.12. Following the transaction, the senior vice president owned 83,178 shares in the company, valued at $2,813,079.96. This represents a 11.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 207,694 shares of company stock worth $6,714,248 in the last quarter. Insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Garrett Motion

A number of institutional investors have recently added to or reduced their stakes in the company. Convergence Investment Partners LLC increased its stake in shares of Garrett Motion by 0.9% in the first quarter. Convergence Investment Partners LLC now owns 45,952 shares of the company’s stock worth $835,000 after acquiring an additional 423 shares during the last quarter. PNC Financial Services Group Inc. boosted its position in Garrett Motion by 22.3% during the first quarter. PNC Financial Services Group Inc. now owns 3,450 shares of the company’s stock valued at $63,000 after purchasing an additional 629 shares during the last quarter. Baron Wealth Management LLC grew its stake in Garrett Motion by 3.3% in the first quarter. Baron Wealth Management LLC now owns 27,324 shares of the company’s stock valued at $496,000 after purchasing an additional 878 shares in the last quarter. Global Retirement Partners LLC grew its stake in Garrett Motion by 156.7% in the fourth quarter. Global Retirement Partners LLC now owns 1,589 shares of the company’s stock valued at $28,000 after purchasing an additional 970 shares in the last quarter. Finally, Empirical Financial Services LLC d.b.a. Empirical Wealth Management increased its position in Garrett Motion by 2.6% in the 1st quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 38,895 shares of the company’s stock worth $707,000 after purchasing an additional 995 shares during the last quarter. 86.27% of the stock is currently owned by institutional investors and hedge funds.

About Garrett Motion

Garrett Motion Inc is a technology leader specializing in the design, development and manufacture of turbocharging systems and related technologies for the global automotive industry. Its product portfolio includes conventional exhaust gas turbochargers, variable-geometry turbochargers, electric and e-boost turbochargers, as well as electronic actuators, sensors and thermal management systems. The company’s solutions are engineered to improve engine efficiency, reduce emissions and support automakers’ efforts to meet evolving regulatory standards for fuel economy and air quality.

Garrett Motion traces its roots to the founding of AiResearch by Cliff Garrett in 1936, a pioneer in aircraft and automotive turbocharging technologies.