Garrett Motion is breaking out of its value trap as management prioritizes capital returns, making shares more attractive to investors. Despite long-term ICE vehicle declines, recent signs of ICE sales recovery and potential EV subsidy cuts could benefit GTX's core business. GTX's strong free cash flow allows for substantial shareholder returns, with management committed to returning 75% of FCF via buybacks and dividends.
GTX eyes second-quarter gains with rising EV demand, margin expansion and new contracts, but higher capex is likely to have weighed on cash flow.
Garrett Motion (GTX) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Here is how Garrett Motion (GTX) and Strattec Security (STRT) have performed compared to their sector so far this year.
GTX, LPG and TKOMY made it to the Zacks Rank #1 (Strong Buy) value stocks list on June 27, 2025.
HOPE, TKOMY and GTX made it to the Zacks Rank #1 (Strong Buy) income stocks list on June 27, 2025.
LPG, TKOMY, HOPE, GTX and MSBHF have been added to the Zacks Rank #1 (Strong Buy) List on June 27, 2025.
Garrett Motion (GTX) came out with quarterly earnings of $0.30 per share, beating the Zacks Consensus Estimate of $0.29 per share. This compares to earnings of $0.28 per share a year ago.
Garrett Motion is evolving into a cash flow machine and has an emerging EV and industrial component portfolio. Turbochargers remain crucial for fuel efficiency, with Garrett holding a strong market position, especially in PHEVs and REEVs, despite BEV market growth concerns. GTX invests heavily in zero-emission technologies, targeting $1 billion in sales by 2030, with innovations in E-Powertrain, E-Cooling Compressors, and Hydrogen Fuel Cells.
Garrett Motion (GTX) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Garrett Motion (GTX) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock doesn't suggest further strength down the road.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.