Gentherm (NASDAQ:THRM) Upgraded to Buy at Freedom Broker

27 Oct 2026, 19:24 by Danessa Lincoln · The Markets Daily

Gentherm (NASDAQ:THRM – Get Free Report) was upgraded by stock analysts at Freedom Broker from a “hold” rating to a “buy” rating in a report issued on Tuesday, Benzinga reports. The firm presently has a $40.00 target price on the auto parts company’s stock. Freedom Broker‘s price target would suggest a potential upside of 27.70% from the stock’s previous close.

Several other brokerages also recently weighed in on THRM. JPMorgan Chase & Co. reduced their price target on shares of Gentherm from $48.00 to $47.00 and set an “overweight” rating for the company in a research report on Friday. Roth Capital reaffirmed a “buy” rating and issued a $50.00 price objective on shares of Gentherm in a research note on Wednesday, July 29th. Zacks Research cut Gentherm from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 28th. Freedom Capital lowered Gentherm from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 24th. Finally, Stifel Nicolaus cut their price target on Gentherm from $48.00 to $46.00 and set a “buy” rating for the company in a report on Friday. Five analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $43.57.

Get Our Latest Report on Gentherm

Gentherm Price Performance

THRM stock traded up $2.73 during mid-day trading on Tuesday, reaching $31.32. 1,971,497 shares of the company traded hands, compared to its average volume of 571,013. The company has a fifty day moving average price of $35.33 and a 200-day moving average price of $34.16. The company has a debt-to-equity ratio of 0.44, a current ratio of 2.05 and a quick ratio of 1.47. Gentherm has a 52-week low of $25.31 and a 52-week high of $48.35. The company has a market capitalization of $962.90 million, a P/E ratio of 104.33, a P/E/G ratio of 0.66 and a beta of 1.37.

Gentherm (NASDAQ:THRM – Get Free Report) last issued its quarterly earnings results on Thursday, October 22nd. The auto parts company reported $0.33 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.64 by ($0.31). Gentherm had a return on equity of 10.30% and a net margin of 0.57%. The firm had revenue of $405.10 million for the quarter, compared to the consensus estimate of $404.16 million. During the same period last year, the firm earned $0.73 EPS. The company’s revenue for the quarter was up 4.7% on a year-over-year basis. As a group, analysts anticipate that Gentherm will post 2.89 earnings per share for the current year.

Gentherm declared that its Board of Directors has authorized a share repurchase plan on Thursday, July 23rd that permits the company to buy back $400 million in shares. This repurchase authorization permits the auto parts company to purchase up to 36.2% of its shares through open market purchases. Share repurchase plans are generally a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In other news, CEO William Presley bought 5,000 shares of the business’s stock in a transaction dated Friday, October 23rd. The stock was purchased at an average cost of $26.00 per share, with a total value of $130,000.00. Following the acquisition, the chief executive officer directly owned 183,314 shares in the company, valued at $4,766,164. This trade represents a 2.80% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, SVP Wayne Kauffman, III sold 4,700 shares of the business’s stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $43.21, for a total value of $203,087.00. Following the completion of the sale, the senior vice president owned 27,421 shares of the company’s stock, valued at $1,184,861.41. This trade represents a 14.63% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 2.10% of the stock is owned by corporate insiders.

Institutional Trading of Gentherm

Institutional investors have recently made changes to their positions in the company. BlackRock Inc. purchased a new position in shares of Gentherm during the 2nd quarter worth $165,005,000. Dimensional Fund Advisors LP lifted its position in Gentherm by 7.0% in the first quarter. Dimensional Fund Advisors LP now owns 1,474,493 shares of the auto parts company’s stock valued at $40,960,000 after acquiring an additional 96,280 shares during the last quarter. Barrow Hanley Mewhinney & Strauss LLC purchased a new stake in shares of Gentherm in the second quarter valued at about $27,822,000. Arrowstreet Capital Limited Partnership lifted its stake in shares of Gentherm by 1.8% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 554,641 shares of the auto parts company’s stock worth $15,408,000 after acquiring an additional 10,058 shares during the period. Finally, Bank of America Corp DE acquired a new stake in Gentherm in the second quarter valued at $9,986,000. Hedge funds and other institutional investors own 97.13% of the company’s stock.

Gentherm News Roundup

Here are the key news stories impacting Gentherm this week:

Positive Sentiment: CEO William Presley purchased 5,000 shares for approximately $130,000 at an average price of $26.00, increasing his direct ownership by 2.8%. Insider Buying: Gentherm CEO Buys Shares
Positive Sentiment: Director Paul Anthony Mascarenas acquired 20,000 shares worth approximately $532,600, a substantial increase in his personal position. Multiple insider purchases can signal that company leaders view the recent share-price weakness as an attractive entry point. Gentherm Insider Purchase
Positive Sentiment: Gentherm has a $400 million share-repurchase authorization, potentially allowing the company to buy back up to 36.2% of outstanding shares. The authorization, together with the insider buying, reinforces the bullish case that management considers the stock undervalued.
Positive Sentiment: Analysts continue to see long-term upside: Stifel maintained a buy rating with a $46 target, JPMorgan maintained an overweight rating with a $47 target, and CJS Securities initiated coverage with an outperform rating and a $50 target. Recent institutional activity also included new positions from BlackRock and Bank of America.
Neutral Sentiment: The company paid a $1.90-per-share special dividend on October 7. While supportive for shareholder returns, the dividend was already paid and is unlikely to provide a new near-term catalyst.
Negative Sentiment: Gentherm’s latest quarterly earnings missed expectations sharply, with adjusted EPS of $0.33 versus a $0.64 consensus estimate. Revenue increased 4.7% year over year to $405.1 million and slightly exceeded estimates, but EPS declined from $0.73 a year earlier, while net margin was only 0.57%.
Negative Sentiment: Analyst sentiment remains mixed, with four buy ratings and five holds producing a consensus “Hold” rating. Freedom Capital previously downgraded the stock to hold, and the company trades well below its 50-day and 200-day moving averages, reflecting ongoing concerns about profitability and execution.

Gentherm Company Profile

(Get Free Report)

Gentherm Incorporated (NASDAQ: THRM) develops and manufactures thermal management and comfort technologies for the automotive and medical industries. The company’s automotive products include heated and cooled seating systems, climate-controlled seats, heated steering wheels, seat ventilation, and other technologies designed to improve passenger comfort and manage temperature.