I think Gentherm Inc ($THRM) is a Cautious Buy/Hold. It currently should be $50. Confident Investor Rating: Fair

 

Company name Gentherm Inc
Stock ticker THRM
Live stock price [stckqut]THRM[/stckqut]
P/E compared to competitors Fair

 

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Fair
EPS growth Good
P/E growth Good
EBITDA growth Fair
Price growth Fair
R&D growth Fair
Income growth Good
Assets growth Good
Return on Assets growth Poor
Income / Rev growth Poor
TWCA Plus Good
Standard TWCA Good
Weighted ann. stock price increase Good

 

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $58.05
Target stock price (averages with growth) $84.81
Target stock price (averages with no growth) $60.45
Target stock price (manual assumptions) $52.83

 

The following company description is from Reuters: https://finance.yahoo.com/quote/thrm/profile?p=thrm

Gentherm Incorporated designs, develops, manufactures, and markets thermal management technologies. The company operates through two segments, Automotive and Industrial. The Automotive segment offers climate comfort system solutions, which include seat heaters, blowers, and thermoelectric devices for variable temperature climate control seats that are designed to provide thermal comfort to automobile passengers; integrated electronic components, such as electronic control units that utilize proprietary electronics technology and software; and other climate comfort system solutions, including steering wheel heaters, neck conditioners, and climate control system products for door panels, armrests, cupholders, and storage bins. This segment also provides battery thermal management system solutions, which consist battery cooling modules for 12V and 48V automotive batteries; and automotive electronic and software systems, consisting electronic control units for climate and comfort system solutions and proprietary electronic control units for memory seat modules, as well as specialized automotive cable systems. This segment serves light vehicle original equipment manufacturers (OEMs), commercial vehicle OEMs, and automotive seat manufacturers, as well as aftermarket seat distributors and installers. The Industrial segment offers patient temperature management systems. The company provides its products and services in the United States, Germany, Canada, China, Hungary, Japan, Korea, North Macedonia, Malta, Mexico, the United Kingdom, Ukraine, and Vietnam. The company was formerly known as Amerigon Incorporated and changed its name to Gentherm Incorporated in September 2012. Gentherm Incorporated was incorporated in 1991 and is headquartered in Northville, Michigan.

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Gentherm Inc as long as the price is correct and the indicators that I describe in my book The Confident Investor are favorable. Most of the fundamentals of this company are good but there are some concerns.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Gentherm Inc calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $38.49
  • Growth: 0.198073257204083
  • Current EPS (TTM): $1.2
  • P/E: 28.7253741310573
  • Future EPS Calc: $2.96
  • Future Stock Price Calc: $85.08
  • Target stock price: $52.83

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I hope that this makes you a Confident Investor.

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