Adient (NYSE:ADNT) Issues Quarterly Earnings Results

Adient (NYSE:ADNT) posted its quarterly earnings data on Wednesday. The company reported $0.48 EPS for the quarter, missing analysts’ consensus estimates of $0.56 by ($0.08), FiscalAI reports. The company had revenue of $3.93 billion for the quarter, compared to the consensus estimate of $3.71 billion. Adient had a return on equity of 7.32% and a net margin of 0.32%.Adient’s revenue was up 4.3% on a year-over-year basis. During the same quarter last year, the business earned $0.45 EPS.

Here are the key takeaways from Adient’s conference call:

• Q3 revenue rose 5% year over year to approximately $3.9 billion, supported by favorable volumes, pricing, foreign exchange, and growth in the Americas and China.
• Adjusted EBITDA was essentially flat at $225 million, with management citing approximately $32 million in temporary costs from Middle East-related freight, commodity inflation, and customer- or supplier-driven inefficiencies.
• Adient raised fiscal 2026 revenue guidance to approximately $15 billion while maintaining adjusted EBITDA guidance of $885 million and free cash flow guidance of $130 million.
• China sales increased about 33% and the Americas delivered margin expansion, while EMEA remained pressured by weak production and customer mix; Adient expects additional China margin compression in fiscal 2027 but anticipates EMEA benefits as underperforming metals programs roll off.
• Fiscal 2027 restructuring costs remain difficult to forecast because of pending customer production decisions, with management warning that an individual facility closure could cost $30 million or more; increased automation spending is also expected to raise capital expenditures.

Adient Trading Up 4.2%

ADNT stock traded up $0.80 during trading on Friday, reaching $19.64. 300,002 shares of the stock traded hands, compared to its average volume of 1,030,776. The company has a debt-to-equity ratio of 1.18, a current ratio of 1.10 and a quick ratio of 0.91. The business’s 50 day moving average price is $20.64 and its 200-day moving average price is $21.57. The firm has a market capitalization of $1.54 billion, a PE ratio of 32.67, a P/E/G ratio of 0.40 and a beta of 1.52. Adient has a 52-week low of $17.68 and a 52-week high of $27.32.

Analyst Ratings Changes

A number of research firms recently issued reports on ADNT. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $28.00 price target on shares of Adient in a research note on Thursday. Stifel Nicolaus reduced their target price on shares of Adient from $28.00 to $26.00 and set a “buy” rating for the company in a report on Monday, July 20th. UBS Group decreased their target price on shares of Adient from $34.00 to $29.00 and set a “buy” rating on the stock in a research note on Thursday. Wells Fargo & Company upped their price target on Adient from $28.00 to $32.00 and gave the company an “overweight” rating in a research note on Thursday, June 25th. Finally, Weiss Ratings upgraded Adient from a “sell (d-)” rating to a “hold (c-)” rating in a report on Wednesday, May 13th. Six equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Adient currently has an average rating of “Hold” and a consensus target price of $27.30.

Insider Buying and Selling

In other news, EVP Heather M. Tiltmann sold 22,000 shares of the business’s stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $22.71, for a total transaction of $499,620.00. Following the sale, the executive vice president directly owned 110,886 shares of the company’s stock, valued at $2,518,221.06. The trade was a 16.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.94% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Adient

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Sciencast Management LP bought a new position in shares of Adient during the fourth quarter valued at $260,000. CIBC Bancorp USA Inc. acquired a new position in Adient in the third quarter valued at about $216,000. Glenmede Investment Management LP acquired a new stake in shares of Adient during the third quarter worth approximately $218,000. Evergreen Capital Management LLC bought a new stake in Adient during the 2nd quarter worth approximately $216,000. Finally, Nebula Research & Development LLC bought a new position in shares of Adient in the second quarter valued at about $258,000. 92.44% of the stock is currently owned by institutional investors and hedge funds.

Adient Company Profile

Adient plc (NYSE: ADNT) is a leading global supplier of automotive seating and interior components. Established in 2016 through a spin-off from Johnson Controls, the company designs, engineers and manufactures complete seat assemblies, seat structures, mechanisms, foams, textiles, trim and electronics. Adient’s product portfolio spans a wide range of seating solutions, from entry-level designs to luxury and high-performance seats, and extends to interior modules such as door panels and center consoles.

Serving major original equipment manufacturers (OEMs) around the world, Adient works closely with automakers to develop lightweight, comfortable and safety-oriented seating systems.