Core Insights - Strattec Security (STRT) and Dorman Products, Inc. (DORM) are key suppliers in the automotive ecosystem, with revenues tied to vehicle production and aftermarket demand [1] Group 1: Performance Comparison - Over the past year, STRT has risen 145.1%, outperforming DORM's 37.7% growth, but deeper analysis of business fundamentals is necessary for a solid investment case [2][7] - STRT is trading at a 5.15x trailing 12-month EV/EBITDA, which is at a discount compared to DORM's 10.43x [11] Group 2: Tariff and Supply Chain Exposure - More than 90% of STRT's U.S. sales qualify for tariff-free or reduced-tariff rules, providing a cost advantage and stability [5][6] - DORM sources approximately 30% to 40% of its products from China, exposing it to geopolitical and trade risks [8] Group 3: Financial Health - STRT has a strong balance sheet with a debt-to-capitalization ratio of 5.25%, significantly lower than the industry average of 27.8%, allowing for greater financial flexibility [9] - DORM's free cash flow is healthy but is largely used for debt repayment and returning capital to shareholders, which may limit near-term flexibility [10] Group 4: Investment Outlook - STRT is working on reducing its China exposure, making it a more attractive investment option compared to DORM [15]