PLYMOUTH, Mich. and ROLLE, Switzerland, March 25, 2026 (GLOBE NEWSWIRE) -- Garrett Motion Inc. (Nasdaq: GTX), a leading differentiated automotive technology provider, today announced that it will host its 2026 Technology and Investor Day in New York City on May 20, 2026. Garrett’s leadership team will outline the next phase of the company’s strategic evolution, including progress across its Turbo, Zero‑Emission Vehicle and Industrial technology portfolios, as well as the company’s long‑term growth trajector ...

Company Overview - Garrett Motion Inc. designs, manufactures, and sells turbocharging, air and fluid compression, and high-speed electric motor technologies for mobility and industrial applications [11] - The company serves light vehicles, on- and off-highway commercial vehicles, and selected industrial end markets [11] - Its product portfolio includes mechanical turbochargers, E-Boosting solutions, and air compression systems for hydrogen fuel cells and industrial thermal management [11] Investment Ratings - Garrett Motion is currently rated 3 (Hold) on the Zacks Rank, with a VGM Score of A [12] - The company has a Value Style Score of A, supported by attractive valuation metrics such as a forward P/E ratio of 10.04 [12] - An analyst has revised their earnings estimate upwards for fiscal 2026, increasing the Zacks Consensus Estimate by $0.02 to $1.76 per share [12] Performance Metrics - Garrett Motion has an average earnings surprise of +13%, indicating a positive trend in earnings performance [12] - With a solid Zacks Rank and top-tier Value and VGM Style Scores, Garrett Motion is positioned as a noteworthy option for investors [13]

Core Insights - Garrett Motion (GTX) is regaining momentum as a leader in the turbocharger market, with management projecting sales growth and margin improvement by 2026, emphasizing the importance of execution and cash generation [1] Market Position and Growth Drivers - Garrett maintains a strong position in the global turbocharger market, achieving a win rate above 50% for new program awards, particularly in gasoline variable-geometry turbos and hybrid platforms, which are expected to drive growth [2] - The company is advancing zero-emission technologies, targeting approximately $1 billion in revenue from these technologies by 2030, supported by growth in mobility and industrial applications [3] Diversification and Adjacent Markets - Garrett is diversifying into industrial cooling and power-generation markets, with recent wins including an oil-free centrifugal compressor for electric bus HVAC systems in China, expected to begin production in 2027 [4] - Management anticipates that industrial cooling will account for over 5% of revenue by the end of the decade, while industrial gensets, already exceeding $100 million in sales, are projected to grow significantly by 2026 [5] Financial Guidance for 2026 - For 2026, management has guided net sales of $3.6-$3.8 billion, GAAP net income of $295–$335 million, adjusted EBIT of $520-$570 million, and adjusted EBITDA of $647-$697 million [6] - The midpoint of adjusted EBIT suggests an EBIT margin of approximately 14.7%, an increase of about 50 basis points from 2025, driven by volume and productivity initiatives, although pricing pressures and inflation may pose challenges [7] Free Cash Flow and Shareholder Returns - Garrett's capital return strategy is based on sustained free cash flow, with projected adjusted free cash flow for 2026 of $355-$455 million, consistent with the $403 million delivered in 2025 [8] - The company is committed to returning around 75% of adjusted free cash flow to shareholders through dividends and share repurchases, having repurchased $72 million in shares in Q4 and raised its quarterly dividend [9] Valuation and Earnings Estimates - Garrett trades at 9.98x forward 12-month EPS, which is below the industry average and slightly lower than BorgWarner Inc. at 10.04x [14] - The Zacks Consensus Estimate for Garrett's EPS implies a year-over-year growth of 16% for both 2026 and 2027 [15] Summary of Business Outlook - Garrett's core turbocharger business remains robust, supported by steady program wins, improving margins, and healthy free cash flow, while the company is also exploring electrified compression and industrial adjacencies, which will take time to scale [18]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the short term [2][3] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Style Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales [3] Growth Score - The Growth Style Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score assesses stocks based on price trends and earnings estimate changes, aiding investors in timing their purchases of high-momentum stocks [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors seeking attractive value, growth forecasts, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks historically yielding an average annual return of +23.86% since 1988 [7][8] - A stock's Zacks Rank should be considered alongside its Style Scores to maximize investment potential [9] Company Spotlight: Garrett Motion Inc. - Garrett Motion Inc. specializes in turbocharging, air and fluid compression, and electric motor technologies for various applications, including light and commercial vehicles [11] - The company holds a 3 (Hold) Zacks Rank and a VGM Score of A, indicating potential for growth investors [12] - Forecasted year-over-year earnings growth for Garrett Motion is 15.8% for the current fiscal year, with an upward revision in earnings estimates [12][13]

Core Insights - Garrett Motion (GTX) maintains a strong position in turbocharger technology, securing new program awards across various vehicle segments, which emphasizes the importance of its products in enhancing engine efficiency and reducing emissions [1][10] - The company has achieved a turbocharger win rate exceeding 50% over recent years, indicating its ability to capture market share even in a stagnant industry [2] - Garrett has made significant strides in light-vehicle turbo awards, particularly in gasoline variable nozzle turbine applications, which enhance fuel efficiency while preserving engine performance [3] Expansion into New Markets - Garrett is increasing its presence in hybrid and range-extended electric vehicle platforms, highlighting the relevance of efficient turbocharged engines in the transition to electrification [4] - Diesel turbochargers continue to play a vital role in the business, particularly in commercial segments where they provide high torque and fuel efficiency [5] - The company is also expanding into commercial and industrial turbo markets, achieving key milestones with its MEG platform designed for large engines in marine and industrial applications [6] Growth Initiatives - Management is developing new growth adjacencies, focusing on zero-emission technologies, with a target of approximately $1 billion in revenue from these technologies by 2030 [7] - Initial production awards in e-cooling and electric truck programs are expected to commence in 2027, indicating a proactive approach to future market demands [7] Competitive Position - Garrett's competitive edge in the specialized turbocharger market is reinforced by its long history in turbomachinery and global manufacturing scale, which are critical factors for customers selecting suppliers [8] - Comparatively, other auto suppliers like BorgWarner and Magna International are also pursuing a mix of combustion, hybrid, and electrification content, showcasing the competitive landscape [9] Financial Outlook - For 2026, management projects net sales between $3.6 billion and $3.8 billion, representing growth from fiscal 2025's net sales of $3.58 billion [11] - The company has a strong earnings surprise history, consistently beating EPS estimates with an average surprise of 13%, and the Zacks Consensus Estimate indicates a year-over-year EPS growth of 16% for 2026 and 2027 [12]

Core Insights - Garrett Motion (GTX) is diversifying its business by expanding into industrial cooling and power generation applications, aiming to leverage existing technologies and tap into growing markets such as data centers and HVAC systems [1][3] Diversification Strategy - The diversification strategy is driven by changes in the automotive sector and the energy transition, with a focus on applying engineering capabilities to non-automotive markets [2] - Garrett's expertise in high-speed electric motors, oil-free bearings, and turbomachinery positions the company well for entry into industrial applications [2] Market Demand - Industrial cooling and power generation are experiencing strong structural demand due to the growth of hyperscale data centers and the need for energy-efficient HVAC systems [3] - The demand for cooling capacity and reliable power supply is increasing, creating significant opportunities for Garrett [3] Competitive Landscape - Peers like BorgWarner and Modine Manufacturing demonstrate how automotive component makers can expand their markets by integrating electrification with thermal management products [4] Product Development and Collaborations - Garrett has developed an oil-free, high-speed centrifugal refrigerant compressor for commercial cooling applications, which can deliver over 10% energy savings compared to existing technologies [5] - A strategic collaboration with Trane Technologies will integrate Garrett's compressors into Trane's commercial HVAC systems, with initial units expected to reach customers in 2026 [6] E-Cooling Compressor Portfolio - The E-Cooling compressor portfolio spans cooling capacities from approximately 25 kilowatts to 1,750 kilowatts, targeting applications from building HVAC to data center infrastructure [7] - Early production wins have been secured in mobility applications with a major Chinese bus and truck HVAC supplier, with production expected to begin in 2027 [7] Power Generation Expansion - Garrett is also expanding into power generation applications, particularly turbocharging systems for industrial engines and generator sets, driven by rising demand from data centers [8][10] - The company has developed new products for large engines and has secured original equipment wins in this segment [10] Revenue Projections - Industrial cooling is projected to exceed 5% of total company revenue by the end of the decade, with power generation and industrial turbo applications also expected to grow rapidly [11] - Management anticipates that the industrial cooling segment will become a significant revenue contributor in the coming years [11]

Core Insights - Alluvial Capital Management reported a remarkable fourth-quarter performance for 2025, achieving a return of 41.2%, marking the best year since the fund's inception, driven by a favorable market environment and concentrated gains in a select group of companies within the AI value chain [1] Company Overview - Garrett Motion Inc. (NASDAQ:GTX) specializes in designing and manufacturing engineered turbocharging and high-speed electric motor technologies for OEMs, distributors, and industrial sectors [2] - As of March 11, 2026, Garrett Motion's stock closed at $18.11 per share, with a one-month return of -12.09% and a significant 52-week gain of 108.64%. The company's market capitalization stands at $3.46 billion [2] Investment Highlights - In 2025, Garrett Motion executed a share repurchase of 9% of its outstanding shares, initiated a dividend, and committed to returning 75% of its free cash flow to shareholders, which contributed to a doubling of its share price [3] - The company is expected to continue generating substantial free cash flow while aggressively reducing its share count. The previous share overhang has diminished significantly, with hedge fund ownership dropping from nearly 80% to less than 10% by year-end 2025, allowing for broader ownership opportunities [3] - The market's perception of Garrett Motion's long-term prospects has improved, with the transition to electric vehicles anticipated to take longer than previously expected, which may benefit the company [3] Hedge Fund Interest - Garrett Motion is not among the top 40 most popular stocks among hedge funds heading into 2026, with 43 hedge fund portfolios holding the stock at the end of Q4 2025, an increase from 37 in the previous quarter [4]

Earnings and Valuation - Garrett Motion reported gross revenue of $3.54 billion, a price/sales ratio of 1.09, and a net income of $261 million with earnings per share (EPS) of $1.52 and a price/earnings (P/E) ratio of 13.39 [2] - American Axle & Manufacturing had gross revenue of $5.84 billion, a price/sales ratio of 0.27, and a net income of -$19.7 million with an EPS of -$0.18 and a P/E ratio of -36.56 [2] Profitability - Garrett Motion has a net margin of 8.12%, a return on equity of -38.75%, and a return on assets of 12.39% [4] - American Axle & Manufacturing has a net margin of -0.34%, a return on equity of 10.00%, and a return on assets of 1.17% [4] Insider & Institutional Ownership - 86.3% of Garrett Motion shares are held by institutional investors, while 0.8% are held by insiders [5] - 91.4% of American Axle & Manufacturing shares are held by institutional investors, with 3.7% held by insiders [5] Analyst Ratings - Garrett Motion has 0 sell ratings, 2 hold ratings, 4 buy ratings, and a rating score of 2.67, with a consensus price target of $18.80 indicating a potential downside of 7.66% [7] - American Axle & Manufacturing has 2 sell ratings, 0 hold ratings, 3 buy ratings, and a rating score of 2.20, with a consensus price target of $12.45 indicating a potential upside of 89.21% [7] Volatility and Risk - Garrett Motion has a beta of 0.33, indicating it is 67% less volatile than the S&P 500 [8] - American Axle & Manufacturing has a beta of 1.6, indicating it is 60% more volatile than the S&P 500 [8] Summary - Garrett Motion outperforms American Axle & Manufacturing in 8 out of 14 factors compared [9]

Group 1 - Harbor Capital Advisors' Mid Cap Value Fund outperformed the Russell Midcap Value Index in Q4 2025, returning 4.07% compared to the index's 1.42% [1] - The Fund achieved a total return of 15.95% for the year 2025, surpassing the benchmark's return of 11.05% [1] - The Fund's performance was driven by selection effects, with a total quarterly excess return of 2.82% attributed to a quantitative value discipline focused on fundamental undervaluation and improving momentum [1] Group 2 - Garrett Motion Inc. (NASDAQ:GTX) is highlighted as a key investment, focusing on turbocharging and electrification solutions for vehicles [2][3] - The stock of Garrett Motion Inc. had a one-month return of 13.41% and traded between $7.02 and $21.42 over the past 52 weeks, closing at approximately $20.46 with a market capitalization of about $4.124 billion [2] - The company ranks highly on cash flow and forecast earnings measures, pays dividends, and has been actively buying back stock, contributing to its strong price and operating momentum [3]

Core Insights - Garrett Motion Inc. is a leading differentiated automotive technology provider with a focus on innovation in the automotive sector and beyond [2] Group 1: Company Overview - Garrett Motion has a 70-year history of innovation in automotive technology, including cars, trucks, off-highway equipment, marine, and power generators [2] - The company specializes in turbocharging technology, which has led to significant reductions in engine size, fuel consumption, and CO2 emissions [2] - Garrett is advancing turbo applications and leveraging unique technology solutions such as fuel cell compressors for hydrogen fuel cell vehicles, electric propulsion, and thermal management systems [2] - The company operates six R&D centers and 13 manufacturing facilities, employing approximately 8,700 people across more than 20 countries [2] Group 2: Upcoming Events - Garrett Motion will participate in the Bank of America Global Automotive Summit on March 18, 2026, where the Chief Technology Officer and the Investor Relations team will host a company presentation and engage in investor meetings [1]