Fintel reports that on October 30, 2023, Benchmark reiterated coverage of Lear (NYSE:LEA) with a Buy recommendation.

Analyst Price Forecast Suggests 36.07% Upside

As of October 5, 2023, the average one-year price target for Lear is 174.16. The forecasts range from a low of 141.40 to a high of $241.50. The average price target represents an increase of 36.07% from its latest reported closing price of 128.00.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Lear is 22,724MM, a decrease of 1.19%. The projected annual non-GAAP EPS is 13.50.

Lear Declares $0.77 Dividend

On August 10, 2023 the company declared a regular quarterly dividend of $0.77 per share ($3.08 annualized). Shareholders of record as of August 31, 2023 received the payment on September 19, 2023. Previously, the company paid $0.77 per share.

At the current share price of $128.00 / share, the stock's dividend yield is 2.41%.

Looking back five years and taking a sample every week, the average dividend yield has been 1.86%, the lowest has been 0.51%, and the highest has been 2.80%. The standard deviation of yields is 0.67 (n=198).

The current dividend yield is 0.82 standard deviations above the historical average.

Additionally, the company's dividend payout ratio is 0.32. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

What is the Fund Sentiment?

There are 935 funds or institutions reporting positions in Lear. This is a decrease of 52 owner(s) or 5.27% in the last quarter. Average portfolio weight of all funds dedicated to LEA is 0.22%, an increase of 1.89%. Total shares owned by institutions decreased in the last three months by 2.85% to 65,361K shares. The put/call ratio of LEA is 0.85, indicating a bullish outlook.

What are Other Shareholders Doing?

Pzena Investment Management holds 6,583K shares representing 11.30% ownership of the company. In it's prior filing, the firm reported owning 6,743K shares, representing a decrease of 2.43%. The firm decreased its portfolio allocation in LEA by 0.67% over the last quarter.

Diamond Hill Capital Management holds 2,049K shares representing 3.52% ownership of the company. In it's prior filing, the firm reported owning 1,418K shares, representing an increase of 30.78%. The firm increased its portfolio allocation in LEA by 42.85% over the last quarter.

Franklin Resources holds 1,999K shares representing 3.43% ownership of the company. In it's prior filing, the firm reported owning 1,877K shares, representing an increase of 6.10%. The firm increased its portfolio allocation in LEA by 368.14% over the last quarter.

Massachusetts Financial Services holds 1,964K shares representing 3.37% ownership of the company. In it's prior filing, the firm reported owning 1,980K shares, representing a decrease of 0.83%. The firm decreased its portfolio allocation in LEA by 1.70% over the last quarter.

VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 1,843K shares representing 3.16% ownership of the company. In it's prior filing, the firm reported owning 1,831K shares, representing an increase of 0.65%. The firm decreased its portfolio allocation in LEA by 4.43% over the last quarter.

Lear Background Information
(This description is provided by the company.)

Lear, a global automotive technology leader in Seating and E-Systems, enables superior in-vehicle experiences for consumers around the world. Our diverse team of talented employees in 39 countries is driven by a commitment to innovation, operational excellence, and sustainability. Lear is Making every drive better™ by providing the technology for safer, smarter, and more comfortable journeys. Lear, headquartered in Southfield, Michigan, serves every major automaker in the world and ranks 166 on the Fortune 500.