11:30 AM EDT, 07/25/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We increase our 12-month target to $125 from $110, based on a 2026 P/E multiple of 8.8x, a justified discount to the stock's 10-year mean forward P/E of 12.5x. Our adjusted EPS estimates increase to $12.70 from $10.75 for '25 and to $14.25 from $13.20 for '26. Following stronger-than-expected Q2 results, we are raising our estimates and reiterating our Buy opinion on LEA shares. While auto suppliers continue to face risks from tariffs and auto production rates, the company's execution has been solid and its long history of share repurchases and investment-grade balance sheet distinguish it from peers. We were encouraged by improving content per vehicle (up 1.8% Y/Y in North America and 1.7% in Europe/Africa in Q2). Additionally, segment margins remain resilient for the Seating segment in Q2 (up 20 bps to 6.4%), but less so for E-Systems (down 90 bps to 3.5%). LEA has retired about 57% of outstanding shares since 2011, and we believe its balance sheet will enable additional cash returns in the future.