CTS (NYSE:CTS) Releases FY 2026 Earnings Guidance

CTS (NYSE:CTS) issued an update on its FY 2026 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 2.550-2.700 for the period, compared to the consensus estimate of 2.430. The company issued revenue guidance of $565.0 million-$585.0 million, compared to the consensus revenue estimate of $571.1 million.

Analyst Ratings Changes

CTS has been the topic of several analyst reports. Weiss Ratings reiterated a “hold (c+)” rating on shares of CTS in a research report on Tuesday, May 26th. Zacks Research cut CTS from a “strong-buy” rating to a “hold” rating in a research note on Monday, June 29th. Two equities research analysts have rated the stock with a Hold rating, According to MarketBeat.com, the stock currently has a consensus rating of “Hold”.

CTS Stock Performance

NYSE:CTS traded down $1.45 on Wednesday, hitting $63.37. The stock had a trading volume of 90,547 shares, compared to its average volume of 250,723. The business’s 50-day simple moving average is $63.24 and its two-hundred day simple moving average is $56.20. CTS has a 52-week low of $36.03 and a 52-week high of $69.55. The stock has a market cap of $1.81 billion, a price-to-earnings ratio of 27.04, a price-to-earnings-growth ratio of 1.55 and a beta of 1.04. The company has a quick ratio of 1.98, a current ratio of 2.52 and a debt-to-equity ratio of 0.11.

CTS (NYSE:CTS) last issued its earnings results on Tuesday, July 28th. The electronics maker reported $0.74 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.61 by $0.13. CTS had a return on equity of 12.90% and a net margin of 12.46%.The business had revenue of $144.78 million during the quarter, compared to the consensus estimate of $143.43 million. During the same period last year, the company earned $0.62 EPS. CTS has set its FY 2026 guidance at 2.550-2.700 EPS. As a group, research analysts predict that CTS will post 2.43 earnings per share for the current year.

CTS Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, July 24th. Investors of record on Friday, June 26th were issued a $0.04 dividend. The ex-dividend date of this dividend was Friday, June 26th. This represents a $0.16 dividend on an annualized basis and a dividend yield of 0.3%. CTS’s dividend payout ratio (DPR) is currently 6.84%.

Trending Headlines about CTS

Here are the key news stories impacting CTS this week:

• Positive Sentiment: Q2 earnings and revenue beat estimates. CTS reported adjusted diluted EPS of $0.74, above the $0.61 consensus estimate, while revenue rose 7% year over year to $144.8 million, slightly exceeding expectations. GAAP diluted EPS increased to $0.66 from $0.62. CTS Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management raised 2026 guidance. CTS now expects sales of $565 million to $585 million, up from $560 million to $580 million, and adjusted EPS of $2.55 to $2.70, compared with prior guidance of $2.35 to $2.45 and analyst expectations of approximately $2.43. CTS Raises 2026 Outlook
• Positive Sentiment: Growth is becoming more diversified. Sales in industrial, aerospace and defense, and medical markets rose 15% and accounted for 59% of total revenue, supporting management’s portfolio-transformation strategy and reducing reliance on transportation.
• Positive Sentiment: Profitability and cash generation improved. Adjusted gross margin expanded to 41.5% from 38.7%, adjusted EBITDA margin rose to 25.4% from 23.0%, and operating cash flow increased to $33.4 million from $28.4 million.
• Neutral Sentiment: Valuation is elevated after the rally. CTS trades near its 52-week high at approximately 27.8 times earnings, meaning continued upside may depend on the company delivering its higher forecast.
• Negative Sentiment: Transportation remains a weak spot. Transportation sales declined 2% year over year, although CTS cited strong growth in new program wins.
• Negative Sentiment: Insider selling is a cautionary signal. CEO Kieran O’Sullivan reportedly sold 130,000 shares in three transactions over the past six months, with no reported insider purchases.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Royal Bank of Canada boosted its position in shares of CTS by 11.2% in the first quarter. Royal Bank of Canada now owns 7,036 shares of the electronics maker’s stock valued at $292,000 after acquiring an additional 710 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of CTS by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 17,904 shares of the electronics maker’s stock valued at $744,000 after purchasing an additional 785 shares during the last quarter. Captrust Financial Advisors lifted its holdings in CTS by 12.1% in the 2nd quarter. Captrust Financial Advisors now owns 8,113 shares of the electronics maker’s stock worth $346,000 after buying an additional 876 shares during the period. Amundi raised its position in shares of CTS by 9.7% during the first quarter. Amundi now owns 11,542 shares of the electronics maker’s stock valued at $480,000 after buying an additional 1,019 shares during the last quarter. Finally, Lazard Asset Management LLC lifted its stake in CTS by 4.3% in the second quarter. Lazard Asset Management LLC now owns 31,664 shares of the electronics maker’s stock worth $1,349,000 after acquiring an additional 1,299 shares during the period. Institutional investors and hedge funds own 96.87% of the company’s stock.

CTS Company Profile

CTS Corporation (NYSE:CTS) is a global manufacturer and supplier of electronic components and sensors, headquartered in Lisle, Illinois. Established in 1896 as the Chicago Telephone Supply Company, the firm has evolved over more than a century to become a diversified provider of high-precision products for a wide range of end markets.

The company’s core business encompasses the design, development and production of sensors and actuators, frequency control devices such as quartz crystals and filters, multilayer ceramic capacitors, and inductive components.