NasdaqGS:VC

Stock Analysis Report

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Executive Summary

Visteon Corporation engineers, designs, and manufactures cockpit electronics and connected car solutions for vehicle manufacturers worldwide. More Details


Snowflake Analysis

High growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Visteon's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-12.5%

VC

-5.8%

US Auto Components

-2.4%

US Market


1 Year Return

-20.3%

VC

-6.9%

US Auto Components

12.0%

US Market

Return vs Industry: VC underperformed the US Auto Components industry which returned -6.9% over the past year.

Return vs Market: VC underperformed the US Market which returned 12% over the past year.


Shareholder returns

VCIndustryMarket
7 Day-12.5%-5.8%-2.4%
30 Day-14.8%-8.5%-6.5%
90 Day0.1%8.5%8.4%
1 Year-20.3%-20.3%-5.9%-6.9%14.5%12.0%
3 Year-47.8%-47.8%-23.8%-32.0%34.8%25.8%
5 Year8.7%-37.1%11.2%-6.5%82.1%61.6%

Price Volatility Vs. Market

How volatile is Visteon's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Visteon undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VC ($64.6) is trading below our estimate of fair value ($184.63)

Significantly Below Fair Value: VC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VC is unprofitable, so we can't compare its PE Ratio to the US Auto Components industry average.

PE vs Market: VC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate VC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: VC is overvalued based on its PB Ratio (5.1x) compared to the US Auto Components industry average (1.7x).


Next Steps

Future Growth

How is Visteon forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

77.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: VC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: VC's is expected to become profitable in the next 3 years.

Revenue vs Market: VC's revenue (16.7% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: VC's revenue (16.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VC's Return on Equity is forecast to be high in 3 years time (27%)


Next Steps

Past Performance

How has Visteon performed over the past 5 years?

12.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VC is currently unprofitable.

Growing Profit Margin: VC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VC is unprofitable, but has reduced losses over the past 5 years at a rate of 12% per year.

Accelerating Growth: Unable to compare VC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: VC is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-18.5%).


Return on Equity

High ROE: VC has a negative Return on Equity (-4.27%), as it is currently unprofitable.


Next Steps

Financial Health

How is Visteon's financial position?


Financial Position Analysis

Short Term Liabilities: VC's short term assets ($1.4B) exceed its short term liabilities ($598.0M).

Long Term Liabilities: VC's short term assets ($1.4B) exceed its long term liabilities ($1.3B).


Debt to Equity History and Analysis

Debt Level: VC's debt to equity ratio (164.5%) is considered high.

Reducing Debt: VC's debt to equity ratio has increased from 11.4% to 164.5% over the past 5 years.

Debt Coverage: VC's debt is not well covered by operating cash flow (14.2%).

Interest Coverage: VC is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Visteon current dividend yield, its reliability and sustainability?

0.055%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate VC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate VC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if VC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if VC'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 VC'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?

3.3yrs

Average management tenure


CEO

Sachin Lawande (53 yo)

5.25yrs

Tenure

US$8,008,145

Compensation

Mr. Sachin S. Lawande has been the Chief Executive Officer and President of Visteon Corporation since June 29, 2015. Mr. Lawande served as an Executive Vice President of Harman International Industries, In ...


CEO Compensation Analysis

Compensation vs Market: Sachin's total compensation ($USD8.01M) is above average for companies of similar size in the US market ($USD4.59M).

Compensation vs Earnings: Sachin's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Sachin Lawande
President5.25yrsUS$8.01m0.43%
$ 7.8m
Brett Pynnonen
Senior VP & General Counsel4.5yrsUS$1.12m0.016%
$ 293.0k
Robert Vallance
Senior Vice President of Customer Business Groups & Marketingno dataUS$1.08m0.031%
$ 551.0k
Jerome Rouquet
Senior VP & CFO0.67yrno datano data
Abigail Fleming
VP & Chief Accounting Officer0.083yrno datano data
Raman Mehta
Chief Information Officer & VP3.33yrsno datano data
Kristin Trecker
Senior VP & Chief Human Resources Officer2.67yrsno data0.0016%
$ 28.4k
Matthew Cole
Senior Vice President of Product Delivery3.75yrsUS$1.83m0.019%
$ 344.1k
Matthias Schulze
Senior Director & Head of ADAS3.67yrsno datano data
Jochen Ladwig
Senior Vice President of Global Quality & Procurementno datano datano data
Joao Ribeiro
Senior Vice President of Manufacturing & Supply Chain0.50yrno data0.0033%
$ 59.3k
Heidi Sepanik
Director of Corporate Contributions & Government Affairs and Secretaryno datano datano data

3.3yrs

Average Tenure

53yo

Average Age

Experienced Management: VC's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sachin Lawande
President5.25yrsUS$8.01m0.43%
$ 7.8m
Francis Scricco
Independent Non-Executive Chairman of the Board8yrsUS$350.00k0.026%
$ 461.8k
David Treadwell
Independent Director8.08yrsUS$220.00k0.014%
$ 258.3k
Rouzbeh Yassini-Fard
Independent Director5.67yrsUS$210.00k0.0072%
$ 129.3k
Jeffrey Jones
Independent Director9.92yrsUS$200.00kno data
Joanne Maguire
Independent Director5.67yrsUS$200.00kno data
Robert Manzo
Independent Director8.25yrsUS$235.00k0.043%
$ 775.1k
James Barrese
Independent Director3.67yrsUS$200.00kno data
Naomi Bergman
Independent Director3.92yrsUS$210.00k0.0036%
$ 64.5k

5.7yrs

Average Tenure

62yo

Average Age

Experienced Board: VC's board of directors are considered experienced (5.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold 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

Visteon Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Visteon Corporation
  • Ticker: VC
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: US$1.798b
  • Shares outstanding: 27.83m
  • Website: https://www.visteon.com

Number of Employees


Location

  • Visteon Corporation
  • One Village Center Drive
  • Van Buren Township
  • Van Buren
  • Michigan
  • 48111
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VCNasdaqGS (Nasdaq Global Select)YesNew Common StockUSUSDSep 2010
VS51DB (Deutsche Boerse AG)YesNew Common StockDEEURSep 2010

Biography

Visteon Corporation engineers, designs, and manufactures cockpit electronics and connected car solutions for vehicle manufacturers worldwide. The company provides instrument clusters, including standard an ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/26 05:44
End of Day Share Price2020/09/25 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.