Dana Slides 5.6% Premarket as Q3 Adjusted EPS of 41 Cents Misses 69-Cent Consensus
DAN sits 43% above its 52-week low of $18.955.
Summary
Dana's third-quarter adjusted EPS of 41 cents came in well short of the 69-cent consensus, and the stock dropped about 5.6% in premarket trading. The top line was fine — revenue of $2.04 billion beat the $1.97 billion estimate and rose from $1.92 billion a year earlier — and adjusted EBITDA margin expanded to 10.7% from 8.5%. The gap is below the operating line: net income attributable to the parent fell to $15 million from $83 million, hit by a $24 million loss on debt extinguishment and higher income tax expense, while adjusted net income actually improved to $44 million from an adjusted loss of $5 million. Management raised the full-year sales outlook by about $50 million to roughly $7.8 billion at the midpoint but held the adjusted EBITDA midpoint at $825 million and adjusted EPS midpoint at $2.00. The company bought back 6.6 million shares for $200 million in the quarter and plans another $100 million in Q4; the Eaton Mobility transaction is still targeted to close around the end of Q1 2027.
At the time of this announcement, DAN was trading at $27.20 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $2.9B. The 52-week trading range was $18.96 to $39.56. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.