Gentex price target raised to $40 from $38 at Guggenheim

Guggenheim analyst Ronald Jewsikow raised the firm’s price target on Gentex to $40 from $38 and keeps a Buy rating on the shares ahead of the company’s investor day on March 19. While the firm believes shares could consolidate around the current price in the near-term following the investor day, which it expects to be “light on incremental financial guidance,” it sees upside drivers to FY24 guidance and believes the premium valuation compared to other auto suppliers is warranted given the company’s unique exposure to Japanese/Korean brands seeing strong U.S. market growth, insulated exposure to Chinese domestic and JV brand share shifts and “a still underappreciated growth story,” the analyst tells investors.