A Business at a Glance
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ITEM 1 – BUSINESS In this Annual Report on Form 10-K (this "Report"), when we use the terms the "Company," "Lear," "we," "us" and "our," unless otherwise indicated or the context otherwise requires, we are referring to Lear Corporation and its consolidated subsidiaries. A substantial portion of the Company's operations are conducted through subsidiaries controlled by Lear Corporation. The Company is also a party to various joint venture arrangements. Certain disclosures included in this Report constitute forward-looking statements that are subject to risks and uncertainties. See Item 1A, "Risk Factors," and Part II — Item 7, "Management's Discussion and Analysis of Financial Condition and Results of Operations — Forward-Looking Statements." BUSINESS OF THE COMPANY Lear Corporation is a global automotive technology leader in Seating and E-Systems, enabling superior in-vehicle experiences for consumers around the world.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 23.3B | 23.3B | 23.3B | 23.5B | 20.9B | 19.3B |
| Net Income | 437M | 437M | 507M | 573M | 328M | 374M |
| EPS | $8.15 | $8.15 | $8.97 | $9.68 | $5.47 | $6.19 |
| Free Cash Flow | 527M | 527M | 561M | 623M | 383M | 85M |
| ROIC | 8.6% | 9.2% | 10.4% | 11.3% | 8.0% | 9.1% |
| Gross Margin | 6.5% | 6.5% | 7.0% | 7.3% | 6.7% | 7.2% |
| Debt/Equity | 0.54 | 0.54 | 0.62 | 0.56 | 0.56 | 0.56 |
| Dividends/Share | $3.07 | $0.77 | $0.77 | $0.77 | $0.77 | $0.75 |
| Operating Income | 777M | 777M | 888M | 933M | 654M | 675M |
| Operating Margin | 3.3% | 3.3% | 3.8% | 4.0% | 3.1% | 3.5% |
| ROE | 8.7% | 9.2% | 10.8% | 11.9% | 7.0% | 8.2% |
| Shares Outstanding | 54M | 54M | 56M | 59M | 60M | 60M |
LEAR CORP passes 3 of 9 quality checks, indicating weak fundamentals.
LEAR CORP trades at 15.0x trailing earnings, compared to its 15-year median P/E of 12.1x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 11.8x vs a median of 11.2x. The company's 5-year average ROIC is 9.6% with a gross margin of 7.0%. Total shareholder yield (dividends + buybacks) is 7.5%. At current prices, the estimated annualized return to fair value is -0.9%.
LEAR CORP (LEA) has a current P/E ratio of 15.0, compared to its historical median P/E of 12.1. The stock is currently considered Fair based on its historical valuation range.
LEAR CORP (LEA) has a 5-year average return on invested capital (ROIC) of 9.6%. This is below average and may indicate limited pricing power.
LEAR CORP (LEA) has a market capitalization of $6.6B. It is classified as a mid-cap stock.
Yes, LEAR CORP (LEA) pays a dividend with a trailing twelve-month yield of 2.51%. The company also returns capital through share buybacks, with a buyback yield of 4.96%.
Based on historical P/E analysis, LEAR CORP (LEA) appears fair. The current P/E of 15.0 is 24% above its historical median of 12.1. The estimated fair value CAGR (P/E method) is -2.6%.
LEAR CORP (LEA) operates in the Motor Vehicle Parts & Accessories industry, within the Consumer Cyclical sector.
LEAR CORP (LEA) reported annual revenue of $23.3 billion in its most recent fiscal year, based on SEC EDGAR filings.
LEAR CORP (LEA) has a net profit margin of 1.9%. This is a modest margin.
LEAR CORP (LEA) generated $527 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
LEAR CORP (LEA) has a debt-to-equity ratio of 0.54. This indicates moderate leverage.
LEAR CORP (LEA) reported earnings per share (EPS) of $8.15 in its most recent fiscal year.
LEAR CORP (LEA) has a return on equity (ROE) of 9.2%. This indicates moderate shareholder returns.
LEAR CORP (LEA) has a 5-year average gross margin of 7.0%. This lower margin is typical of capital-intensive or commodity businesses.
The Ledger Terminal provides 15 years of financial data for LEAR CORP (LEA), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
LEAR CORP (LEA) has a book value per share of $93.95, based on its most recent annual SEC filing.