Stoneridge's quarterly sales fall on lower vehicle production; loss widens on impairment

Overview

• Global vehicle electronics supplier's Q4 sales declined yr/yr, driven by lower commercial vehicle production in Europe and North America

• Net loss deepened in Q4 on impairment; reported an adjusted net loss of $14.7 mln for Q4

• Company issued 2026 guidance projecting modest revenue growth and margin improvement

Outlook

• Stoneridge sees 2026 revenue between $625 mln and $650 mln

• Company expects 2026 adjusted EBITDA of $20 mln to $25 mln

• Stoneridge targets 2027 revenue of at least $715 mln and EBITDA of at least $44 mln

Result Drivers

• MIRROREYE GROWTH - MirrorEye sales rose 69% yr/yr, driven by OEM program ramp-ups in Europe and new launches in North America

• LOWER VEHICLE PRODUCTION - Electronics segment sales fell due to lower commercial vehicle production volumes in Europe and North America

• COST IMPROVEMENTS - Material cost and quality-related cost reductions contributed to margin, but were offset by lower sales and higher overhead

• ASSET IMPAIRMENT - Q4 net loss widened significantly due to non-cash charges

Company press release: ID:nPn5Mk4yja

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "strong buy"

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

• Wall Street's median 12-month price target for Stoneridge Inc is $16.00, about 108.9% above its March 11 closing price of $7.66

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