Bank of America has revised its price target for Lear Corporation (LEA, Financial), reducing it from $135 to $110, while maintaining a Buy rating on the stock. This adjustment comes as the first quarter appears to have performed better than anticipated, with improved production volumes and sales expected to result in stronger-than-expected quarterly results.
Despite these promising developments, analysts express concern over the persistent uncertainty surrounding tariff-related discussions. This ongoing unease has led to a reevaluation of valuation multiples, with reductions of up to 1.0x across the firm's coverage. Such cautious moves reflect the belief that companies may need to withdraw or suspend financial guidance due to the unpredictability of tariff impacts.
The situation underscores the challenges faced by industries globally as they navigate the complexities of trade policies and their potential effects on business operations.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 11 analysts, the average target price for Lear Corp (LEA, Financial) is $100.82 with a high estimate of $135.00 and a low estimate of $83.00. The average target implies an upside of 28.34% from the current price of $78.56. More detailed estimate data can be found on the Lear Corp (LEA) Forecast page.
Based on the consensus recommendation from 16 brokerage firms, Lear Corp's (LEA, Financial) average brokerage recommendation is currently 2.5, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Lear Corp (LEA, Financial) in one year is $150.16, suggesting a upside of 91.14% from the current price of $78.56. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Lear Corp (LEA) Summary page.
