Gentherm (NASDAQ:THRM) Stock Price Up 5.1% – Here’s What Happened

Gentherm Inc (NASDAQ:THRM)’s share price was up 5.1% during trading on Friday. The company traded as high as $27.09 and last traded at $27.49. Approximately 282,444 shares changed hands during trading, a decline of 47% from the average daily volume of 537,967 shares. The stock had previously closed at $26.15.

More Gentherm News

Here are the key news stories impacting Gentherm this week:

• Positive Sentiment: Gentherm raised its 2026 outlook to include Modine, forecasting product revenue of approximately $1.825 billion to $1.925 billion, adjusted EBITDA of $210 million to $230 million, and adjusted free cash flow of $100 million to $120 million. The revenue range is well above the roughly $1.6 billion consensus cited in company updates. Gentherm Reports 2026 Third Quarter Results
• Positive Sentiment: The Modine transaction, completed October 1, significantly expands Gentherm’s thermal-management portfolio and is expected to provide additional revenue and EBITDA growth. Management also highlighted $555 million in new automotive awards and 8.8% growth in Automotive Climate and Comfort Solutions revenue.
• Positive Sentiment: Capital returns are supporting the stock: Gentherm paid a $2.07-per-share special dividend and repurchased $60 million of common stock in October, with approximately $340 million remaining under its authorization. Gentherm Reports Q3 2026 Results
• Positive Sentiment: Stifel Nicolaus maintained a Buy rating and reduced its price target modestly to $46 from $48, implying substantial potential upside from recent trading levels. Stifel Nicolaus Gentherm Rating
• Neutral Sentiment: Third-quarter revenue rose 4.7% year over year to $405.1 million, slightly exceeding analyst expectations, while medical revenue increased 14.6%. However, much of the forward growth case depends on successfully integrating Modine.
• Negative Sentiment: Adjusted EPS was $0.33, missing the $0.64 consensus estimate and falling from $0.73 a year earlier. Gentherm also reported a $2.6 million net loss versus $14.9 million of net income last year. Gentherm Q3 Earnings Report
• Negative Sentiment: Gross margin declined to 23.3% from 24.6%, adjusted EBITDA fell to $45 million from $49 million, and operating cash flow dropped to $36 million from $87.8 million, reflecting material-cost, inflationary, and integration pressures.

Wall Street Analyst Weigh In

Several analysts have commented on THRM shares. Stifel Nicolaus decreased their price objective on shares of Gentherm from $48.00 to $46.00 and set a “buy” rating for the company in a research note on Friday. Roth Capital reissued a “buy” rating and set a $50.00 target price on shares of Gentherm in a report on Wednesday, July 29th. Weiss Ratings upgraded shares of Gentherm from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, July 29th. CJS Securities began coverage on Gentherm in a research report on Monday, September 14th. They set an “outperform” rating and a $50.00 price target on the stock. Finally, JPMorgan Chase & Co. upgraded Gentherm from a “neutral” rating to an “overweight” rating and set a $48.00 price objective for the company in a research note on Tuesday, September 15th. Four investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $44.33.

Gentherm Trading Up 7.9%

The company has a current ratio of 2.06, a quick ratio of 1.49 and a debt-to-equity ratio of 0.38. The company has a 50-day simple moving average of $35.88 and a 200 day simple moving average of $35.10. The firm has a market cap of $867.48 million, a PE ratio of 32.43, a price-to-earnings-growth ratio of 0.66 and a beta of 1.37.

Gentherm (NASDAQ:THRM) last released its quarterly earnings results on Thursday, October 22nd. The auto parts company reported $0.33 EPS for the quarter, missing the consensus estimate of $0.64 by ($0.31). The firm had revenue of $405.10 million for the quarter, compared to analyst estimates of $404.16 million. Gentherm had a net margin of 1.68% and a return on equity of 12.06%. The firm’s quarterly revenue was up 4.7% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.73 EPS. As a group, sell-side analysts forecast that Gentherm Inc will post 2.89 earnings per share for the current fiscal year.

Gentherm Announces Dividend

The firm also recently declared a special dividend, which was paid on Wednesday, October 7th. Investors of record on Monday, September 28th were issued a $1.90 dividend.

Gentherm declared that its board has authorized a share repurchase program on Thursday, July 23rd that allows the company to repurchase $400.00 million in outstanding shares. This repurchase authorization allows the auto parts company to purchase up to 36.2% of its stock through open market purchases. Share repurchase programs are often an indication that the company’s board of directors believes its shares are undervalued.

Insider Transactions at Gentherm

In other Gentherm news, SVP Wayne Kauffman, III sold 4,700 shares of the firm’s stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $43.21, for a total value of $203,087.00. Following the sale, the senior vice president directly owned 27,421 shares of the company’s stock, valued at approximately $1,184,861.41. This trade represents a 14.63% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Viking Fund Management LLC purchased a new stake in shares of Gentherm during the third quarter worth about $266,000. Moody National Bank Trust Division boosted its holdings in Gentherm by 8.3% in the 3rd quarter. Moody National Bank Trust Division now owns 38,780 shares of the auto parts company’s stock worth $1,291,000 after buying an additional 2,972 shares during the last quarter. Tidal Investments LLC increased its stake in Gentherm by 9.4% during the 2nd quarter. Tidal Investments LLC now owns 23,651 shares of the auto parts company’s stock worth $807,000 after buying an additional 2,030 shares in the last quarter. Engineers Gate Manager LP increased its position in shares of Gentherm by 95.0% during the second quarter. Engineers Gate Manager LP now owns 17,200 shares of the auto parts company’s stock worth $587,000 after purchasing an additional 8,380 shares in the last quarter. Finally, Corient Private Wealth LP grew its holdings in shares of Gentherm by 43.4% during the second quarter. Corient Private Wealth LP now owns 11,780 shares of the auto parts company’s stock worth $402,000 after buying an additional 3,565 shares in the last quarter. Hedge funds and other institutional investors 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.