Dorman Products' Q2 sales rise 7.6%, beat expectations

Overview

• Dorman Q2 net sales rise 7.6%, beating analyst expectations, per LSEG data

• Adjusted EPS for Q2 beats consensus, driven by cost savings initiatives

• Co raises full-year 2025 guidance, expecting 7%-9% sales growth

Outlook

• Dorman raises 2025 net sales growth guidance to 7%-9%

• Company expects 2025 diluted EPS between $8.05 and $8.35

• Dorman projects 2025 adjusted diluted EPS of $8.60-$8.90

Result Drivers

• LIGHT DUTY DEMAND - Strong demand in Light Duty business drove 7.6% net sales growth, per CEO Kevin Olsen

• COST SAVINGS - Supply chain diversification and automation initiatives contributed to 25% increase in diluted EPS

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "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 Dorman Products Inc is $150.00, about 20.6% above its August 1 closing price of $119.13

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nGNX2H5l4n