Skip to main content

Lear Corporation (LEA) Stock Analysis

Range Bound setup

SellVALUE-TRAP 2/5Moderate Confidence

Consumer Cyclical · Auto Parts

Sell if holding. Engine safety override at $133.31: Quality below floor (4.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Negative price momentum.

Lear Corporation supplies complete seat systems and electrical distribution/connection systems (E-Systems) to all major automotive OEMs globally, with 258 locations in 36 countries. In 2025 it generated $23.3B in revenues split roughly 42% North America, 35% Europe/Africa, and... Read more

$133.31+3.6% A.UpsideScore 5.6/10#10 of 27 Auto Parts
QualityF-score7 / 9FCF yield9.51%
IncomeYield2.39%(5y avg 2.24%)Payout30.80%sustainable
Stop $123.98Target $138.17(resistance)A.R:R -0.5:1
Analyst target$146.00+9.5%14 analysts
$138.17our TP
$133.31price
$146.00mean
$179

Sell if holding. Engine safety override at $133.31: Quality below floor (4.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Negative price momentum. Chart setup: RSI 57 mid-range, Bollinger mid-band. Score 5.6/10, moderate confidence.

Passes 6/8 gates (clean insider activity, no SEC red flags, news boost analyst 0.70, earnings proximity 76d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.

Recent Developments — Lear Corporation

Generated 2026-05-20T21:13:15Z.

Thesis

Rewards
Recent Analyst detected in news
Risks
Target reached (-4.7% upside)
Quality below floor (4.0 < 4.0)
Value-trap signals (2/5): Revenue declining (-10.2% YoY), High leverage (D/E 1.6)

Key Metrics

P/E (TTM)12.9
P/E (Fwd)7.4
Mkt Cap$6.5B
EV/EBITDA5.5
Profit Mgn2.2%
ROE12.2%
Rev Growth4.7%
Beta1.22
Dividend2.39%
Rating analysts22

Quality Signals

Piotroski F7/9

Options Flow

P/C0.55bullish
IV43%normal
Max Pain$55-58.7% vs spot

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

1 floor-breaker

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Macd
0.0
Obv
1.0
Volume
1.6
Rsi
5.5
Ma Position
9.0
Volume distribution (falling OBV)Above 200-day MA
GatesMomentum 3.4<4.5A.R:R -0.5=NEGATIVEInsider activity: OKNo SEC red flagsNEWS BOOST ANALYST 0.70EARNINGS PROXIMITY 76d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRange BoundSuitability: Moderate
RSI
57 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $120.75Resistance $140.99

Price Targets

$124
$138
A.Upside+3.6%
A.R:R-0.5:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-4.7% upside)
! Quality below floor (4.0 < 4.0)
! Value-trap signals (2/5): Revenue declining (-10.2% YoY), High leverage (D/E 1.6)

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-08-04 (76d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is LEA stock a buy right now?

Sell if holding. Engine safety override at $133.31: Quality below floor (4.0 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10. Specifically: Below-average business quality; Negative price momentum. Chart setup: RSI 57 mid-range, Bollinger mid-band. Prior stop was $123.98. Score 5.6/10, moderate confidence.

What is the LEA stock price target?

Take-profit target: $138.17 (+3.6% upside). Prior stop was $123.98. Stop-loss: $123.98.

What are the risks of investing in LEA?

Target reached (-4.7% upside); Quality below floor (4.0 < 4.0); Value-trap signals (2/5): Revenue declining (-10.2% YoY), High leverage (D/E 1.6).

Is LEA overvalued or undervalued?

Lear Corporation trades at a P/E of 12.9 (forward 7.4). TrendMatrix value score: 8.3/10. Verdict: Sell.

What do analysts say about LEA?

22 analysts cover LEA with a consensus score of 3.6/5. Average price target: $146.

What does Lear Corporation do?Lear Corporation supplies complete seat systems and electrical distribution/connection systems (E-Systems) to all major...

Lear Corporation supplies complete seat systems and electrical distribution/connection systems (E-Systems) to all major automotive OEMs globally, with 258 locations in 36 countries. In 2025 it generated $23.3B in revenues split roughly 42% North America, 35% Europe/Africa, and 20% Asia.

Related stocks: HSAI (Hesai Group) · GNTX (Gentex Corporation) · DCH (Dauch Corporation) · GTX (Garrett Motion Inc.) · XPEL (XPEL, Inc.)