Gentherm
Market Cap
US$1.6b
Last Updated
2020/02/16 23:45 UTC
Data Sources
Company Financials +
Executive Summary
Gentherm Incorporated designs, develops, and manufactures thermal management technologies.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with acceptable track record.
Similar Companies
Share Price & News
How has Gentherm's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: THRM has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.2%
THRM
1.1%
US Auto Components
1.8%
US Market
1 Year Return
11.5%
THRM
-6.8%
US Auto Components
20.1%
US Market
Return vs Industry: THRM exceeded the US Auto Components industry which returned -6.8% over the past year.
Return vs Market: THRM underperformed the US Market which returned 20.1% over the past year.
Shareholder returns
| THRM | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.2% | 1.1% | 1.8% |
| 30 Day | -1.3% | -5.1% | 1.4% |
| 90 Day | 12.9% | -3.6% | 8.8% |
| 1 Year | 11.5%11.5% | -5.4%-6.8% | 22.7%20.1% |
| 3 Year | 33.1%33.1% | -7.4%-16.6% | 50.1%40.4% |
| 5 Year | 12.4%12.4% | 2.9%-11.8% | 72.9%53.9% |
Price Volatility Vs. Market
How volatile is Gentherm's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Here's Why Gentherm's (NASDAQ:THRM) Statutory Earnings Are Arguably Too Conservative3 weeks ago | Simply Wall St
Gentherm (NASDAQ:THRM) Has A Pretty Healthy Balance Sheet1 month ago | Simply Wall St
Gentherm (NASDAQ:THRM) Shareholders Have Enjoyed A 39% Share Price GainValuation
Is Gentherm undervalued compared to its fair value and its price relative to the market?
40.25x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: THRM ($47.52) is trading above our estimate of fair value ($41.88)
Significantly Below Fair Value: THRM is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: THRM is poor value based on its PE Ratio (40.2x) compared to the Auto Components industry average (17.3x).
PE vs Market: THRM is poor value based on its PE Ratio (40.2x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: THRM is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: THRM is overvalued based on its PB Ratio (3.4x) compared to the US Auto Components industry average (1.3x).
Next Steps
Future Growth
How is Gentherm forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
46.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: THRM's forecast earnings growth (46.6% per year) is above the savings rate (1.7%).
Earnings vs Market: THRM's earnings (46.6% per year) are forecast to grow faster than the US market (14.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: THRM's revenue (5.2% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: THRM's revenue (5.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: THRM's Return on Equity is forecast to be low in 3 years time (16.2%).
Next Steps
Past Performance
How has Gentherm performed over the past 5 years?
-19.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: THRM has a large one-off loss of $29.9M impacting its September 30 2019 financial results.
Growing Profit Margin: THRM's current net profit margins (4%) are higher than last year (2.3%).
Past Earnings Growth Analysis
Earnings Trend: THRM's earnings have declined by -19.5% per year over the past 5 years.
Accelerating Growth: THRM's earnings growth over the past year (65.1%) exceeds its 5-year average (-19.5% per year).
Earnings vs Industry: THRM earnings growth over the past year (65.1%) exceeded the Auto Components industry -1.4%.
Return on Equity
High ROE: THRM's Return on Equity (8.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Gentherm's financial position?
Financial Position Analysis
Short Term Liabilities: THRM's short term assets ($384.8M) exceed its short term liabilities ($170.5M).
Long Term Liabilities: THRM's short term assets ($384.8M) exceed its long term liabilities ($115.6M).
Debt to Equity History and Analysis
Debt Level: THRM's debt to equity ratio (22.1%) is considered satisfactory.
Reducing Debt: THRM's debt to equity ratio has reduced from 36.7% to 22.1% over the past 5 years.
Debt Coverage: THRM's debt is well covered by operating cash flow (132.4%).
Interest Coverage: THRM's interest payments on its debt are well covered by EBIT (19.2x coverage).
Balance Sheet
Inventory Level: THRM has a high level of physical assets or inventory.
Debt Coverage by Assets: THRM's debt is covered by short term assets (assets are 3.9x debt).
Next Steps
Dividend
What is Gentherm's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate THRM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate THRM's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if THRM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if THRM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of THRM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Phil Eyler (48yo)
2.2yrs
Tenure
US$2,401,825
Compensation
Mr. Phillip Eyler, also known as Phil, has been President and Chief Executive Officer of Gentherm Incorporated since December 4, 2017. Mr. Eyler has been an Executive Vice President and President of Connec ...
CEO Compensation Analysis
Compensation vs Market: Phil's total compensation ($USD2.40M) is below average for companies of similar size in the US market ($USD3.76M).
Compensation vs Earnings: Phil's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.2yrs | US$2.40m | 0.078% $1.2m | |
| Senior Vice President of Investor Relations | 2yrs | US$1.06m | 0.0031% $48.4k | |
| Executive VP of Finance | 1.1yrs | no data | 0.025% $386.2k | |
| Executive Vice President of Operations | 0yrs | no data | no data | |
| Senior VP & Chief Technology Officer | 1.3yrs | no data | no data | |
| VP & General Counsel | 0.6yrs | no data | 0.00061% $9.5k | |
| Vice President of Strategy | 1.1yrs | no data | no data | |
| Senior VP & Chief Human Resources Officer | 1.5yrs | no data | 0.0025% $38.4k | |
| Senior Vice President of Operations | 1.7yrs | no data | 0.053% $829.4k | |
| Senior Vice President of Global Sales | 1.3yrs | no data | 0.016% $243.8k |
1.3yrs
Average Tenure
48yo
Average Age
Experienced Management: THRM's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 2.2yrs | US$2.40m | 0.078% $1.2m | |
| Independent Director | 13yrs | US$171.00k | 0.067% $1.0m | |
| Independent Chairman of the Board | 2.8yrs | US$205.00k | 0.067% $1.0m | |
| Independent Director | 1.5yrs | US$136.00k | 0.013% $198.2k | |
| Independent Director | 1.8yrs | US$156.00k | 0.016% $254.1k | |
| Independent Director | 4.1yrs | US$166.00k | 0.033% $514.2k | |
| Independent Director | 4.1yrs | US$161.00k | 0.038% $585.5k | |
| Independent Director | 7.8yrs | US$161.00k | 0.062% $970.3k | |
| Independent Director | 7.1yrs | US$166.00k | 0.052% $801.4k |
4.1yrs
Average Tenure
54yo
Average Age
Experienced Board: THRM's board of directors are considered experienced (4.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: THRM insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Gentherm Incorporated's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Gentherm Incorporated
- Ticker: THRM
- Exchange: NasdaqGS
- Founded: 1991
- Industry: Auto Parts and Equipment
- Sector: Automobiles
- Market Cap: US$1.556b
- Shares outstanding: 32.74m
- Website: https://www.gentherm.com
Number of Employees
Location
- Gentherm Incorporated
- 21680 Haggerty Road
- Northville
- Michigan
- 48167
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| THRM | NasdaqGS (Nasdaq Global Select) | Yes | Common Shares | US | USD | Jun 1993 |
| QA4A | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jun 1993 |
Biography
Gentherm Incorporated designs, develops, and manufactures thermal management technologies. The company operates through two segments, Automotive and Industrial. The Automotive segment offers climate comfort system solutions, including seat heaters; variable temperature climate control seats that are designed to provide individualized thermal comfort to automobile passengers; integrated electronic components, such as blowers and electronic control units; and steering wheel heaters, neck climate control systems, and surface climate control systems for doors, armrests, cupholders, and storage products. This segment also provides specialized automotive cable systems, battery thermal management products, and automotive electronic and software systems. This segment serves light vehicle original equipment manufacturers (OEMs), commercial vehicle OEMs, and automotive seat manufacturers, as well as aftermarket seat distributors and installers. The Industrial segment offers remote power generation systems, patient temperature management systems, and environmental testing equipment and services. The company provides its products and services in the United States, China, Germany, Japan, South Korea, Canada, the Czech Republic, the United Kingdom, Romania, and internationally. The company was formerly known as Amerigon Incorporated and changed its name to Gentherm Incorporated in September 2012. Gentherm Incorporated was incorporated in 1991 and is headquartered in Northville, Michigan.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/16 23:45 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.