Garrett Motion has demonstrated consistent earnings execution — beating estimates in each of the last four quarters by an average of 15% — at a valuation that still screens inexpensive with a PEG of 0.24; however, the stock has traded past its near-term price target with a negative reward-to-risk ratio, suggesting existing holders should maintain but not add at current levels.
Thesis pillars
- Consistent Earnings Outperformance↓Deteriorating
- Attractive Valuation With Growth↑Improving
- Price Above Target Unfavorable Geometry↑Improving
- +1 more pillar — see the Why tab for full reasoning
Garrett Motion Inc. (GTX) Stock Analysis
Consumer Cyclical · Auto Parts
Wait for pullback to $27.55. At $29.00 the A.R:R is 1.3:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $27.55 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum.
Garrett Motion designs and manufactures turbochargers, electric compressors, and boosting technologies for OEM vehicle makers and industrial customers globally. OEM sales were ~86% of 2025 revenues, with the top ten customers at ~62% of net sales; aftermarket products distribute... Read more
Wait for pullback to $27.55. At $29.00 the A.R:R is 1.3:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $27.55 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Score 6.1/10, moderate confidence.
Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news boost analyst 0.60, earnings proximity 68d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
Recent developments
updated 2026-08-15Recent Developments — Garrett Motion Inc.
Latest news
- NEWS Garrett Motion (NASDAQ:GTX) Beats Expectations in Strong Q2 CY2026 - StockStory — StockStory positive
- NEWS Garrett Motion (GTX) Q2 Earnings and Revenues Surpass Estimates - Yahoo Finance — Yahoo Finance positive
- NEWS Is Garrett Motion Inc (GTX) Overvalued After Q2 Earnings Beat? E - GuruFocus — GuruFocus positive
- NEWS Garrett Motion (NASDAQ:GTX) Beats Expectations in Strong Q2 CY2026 - FinancialContent — FinancialContent positive
- NEWS Garrett Motion Q2 Net Sales Rise 7 Percent to $976 Million - Quiver Quantitative — Quiver Quantitative positive
Generated 2026-08-15T09:37:16Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMCustomertop ten customers62%10-K Item 1: 'Our top ten customers accounted for approximately 62% of net sales and our largest customer represented approximately 12% of our net sales in 2025.'
- LOWCustomerStellantis12%10-K Item 1: 'our sales to Stellantis accounted for 12%, 9% and 9%, respectively, of our total sales'
- LOWCustomerBMW11%10-K Item 1: 'our sales to Bayerische Motoren Werke AG ("BMW"), our second largest customer, were 11%, 12%, and 12%, respectively, of our total sales'
- LOWCustomerFord Motor Company11%10-K Item 1: 'our sales to Ford Motor Company ("Ford"), our third largest customer, were 11%, 10%, and 9%, respectively, of our total sales'
- MEDIUMSuppliermainland China supply chain10-K Item 1A: 'a significant portion of our supply chain is concentrated in mainland China'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
10 dimensions · all in-band
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Wait for pullback to $27.55. At $29.00 the A.R:R is 1.3:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $27.55 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Target $32.34 (+11.5%), stop $25.03 (−15.9%), A.R:R 1.3:1. Score 6.1/10, moderate confidence.
Take-profit target: $32.34 (+11.5% upside). Target $32.34 (+11.5%), stop $25.03 (−15.9%), A.R:R 1.3:1. Stop-loss: $25.03.
Garrett Motion Inc. trades at a P/E of 16.1 (forward 12.5). TrendMatrix value score: 8.0/10. Verdict: Buy (Wait for Entry).
10 analysts cover GTX with a consensus score of 4.0/5. Average price target: $37.
What does Garrett Motion Inc. do?Garrett Motion designs and manufactures turbochargers, electric compressors, and boosting technologies for OEM vehicle...
Garrett Motion designs and manufactures turbochargers, electric compressors, and boosting technologies for OEM vehicle makers and industrial customers globally. OEM sales were ~86% of 2025 revenues, with the top ten customers at ~62% of net sales; aftermarket products distribute through 370+ distributors in 165 countries.