Hudson Bay Capital Management LP Takes Position in Lear Corporation $LEA

Hudson Bay Capital Management LP bought a new position in Lear Corporation (NYSE:LEA) during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund bought 43,941 shares of the auto parts company’s stock, valued at approximately $4,174,000.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in LEA. Hunter Perkins Capital Management LLC boosted its position in Lear by 0.8% during the 2nd quarter. Hunter Perkins Capital Management LLC now owns 13,846 shares of the auto parts company’s stock valued at $1,315,000 after buying an additional 107 shares during the period. Janney Montgomery Scott LLC boosted its holdings in shares of Lear by 2.0% during the second quarter. Janney Montgomery Scott LLC now owns 6,158 shares of the auto parts company’s stock worth $585,000 after purchasing an additional 121 shares during the period. SummerHaven Investment Management LLC grew its stake in shares of Lear by 2.6% in the second quarter. SummerHaven Investment Management LLC now owns 6,961 shares of the auto parts company’s stock worth $661,000 after purchasing an additional 176 shares during the last quarter. Treasurer of the State of North Carolina increased its holdings in Lear by 0.8% during the 2nd quarter. Treasurer of the State of North Carolina now owns 24,918 shares of the auto parts company’s stock valued at $2,367,000 after purchasing an additional 197 shares during the period. Finally, Bessemer Group Inc. raised its position in Lear by 100.0% during the 2nd quarter. Bessemer Group Inc. now owns 454 shares of the auto parts company’s stock valued at $43,000 after purchasing an additional 227 shares during the last quarter. 97.04% of the stock is currently owned by institutional investors.

Lear Price Performance

Shares of LEA opened at $116.17 on Tuesday. Lear Corporation has a fifty-two week low of $73.85 and a fifty-two week high of $116.51. The firm’s 50-day simple moving average is $105.03 and its two-hundred day simple moving average is $102.35. The stock has a market cap of $6.03 billion, a PE ratio of 14.20, a price-to-earnings-growth ratio of 0.98 and a beta of 1.33. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.05 and a current ratio of 1.35.

Lear (NYSE:LEA) last issued its quarterly earnings results on Friday, October 31st. The auto parts company reported $2.79 EPS for the quarter, topping analysts’ consensus estimates of $2.76 by $0.03. The firm had revenue of $5.68 billion for the quarter, compared to analysts’ expectations of $5.63 billion. Lear had a return on equity of 13.44% and a net margin of 1.92%.The business’s revenue for the quarter was up 1.7% compared to the same quarter last year. During the same period in the previous year, the firm posted $2.89 EPS. Analysts anticipate that Lear Corporation will post 12.89 earnings per share for the current fiscal year.

Lear Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 30th. Stockholders of record on Wednesday, December 10th will be paid a $0.77 dividend. This represents a $3.08 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date of this dividend is Wednesday, December 10th. Lear’s dividend payout ratio is currently 37.65%.

Wall Street Analysts Forecast Growth

LEA has been the topic of a number of recent analyst reports. Barclays lifted their price objective on Lear from $120.00 to $125.00 and gave the stock an “equal weight” rating in a research report on Monday, November 10th. Wells Fargo & Company cut their price target on shares of Lear from $112.00 to $107.00 and set an “equal weight” rating on the stock in a report on Tuesday, December 9th. Weiss Ratings restated a “hold (c)” rating on shares of Lear in a report on Wednesday, October 8th. Evercore ISI boosted their price target on shares of Lear from $110.00 to $120.00 and gave the company an “in-line” rating in a research report on Monday, November 24th. Finally, Morgan Stanley reissued an “equal weight” rating and issued a $112.00 price target (down from $115.00) on shares of Lear in a research note on Monday, December 8th. Two equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $119.80.

About Lear

Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. Its Seating segment offers seat systems, seat subsystems, keyseat components, seat trim covers, seat mechanisms, seat foams, and headrests, as well as surface materials, such as leather and fabric for automobiles and light trucks, compact cars, pick-up trucks, and sport utility vehicles.