Auto parts maker Gentex beats Q2 sales estimates

Overview

• Gentex Q2 2025 sales rise 15%, beating analyst expectations, per LSEG data

• Adjusted EPS for Q2 beats estimates, reflecting strong operational performance

• Co repurchased 5.7 mln shares, demonstrating commitment to shareholder returns

Outlook

• Gentex revises 2025 revenue guidance to $2.44-$2.61 bln

• Company expects 2025 gross margin of 33%-34%

• Gentex sees 2025 China market revenue at $100-$125 mln

• Company withholds 2026 guidance due to geopolitical uncertainty

Result Drivers

• VOXX ACQUISITION - Acquisition contributed $78.8 mln to Q2 sales, driving overall revenue growth

• ADVANCED FEATURES - Strong demand for Full Display Mirrors and advanced features supported sales despite weak vehicle production

• GROSS MARGIN IMPROVEMENT - Margin improvements driven by cost reductions, improved mix, and operational efficiencies, partially offset by tariff costs

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"

• Wall Street's median 12-month price target for Gentex Corp is $25.50, about 7.5% above its July 24 closing price of $23.60

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: ID:nGNX83HLwG