Strattec Security AI Stock Analysis
Strattec Security (SS8) AI Stock Analysis
Strattec Security
(Frankfurt:SS8)
No summary available
Strattec Security (SS8) vs. iShares MSCI Germany ETF (EWG)
- Market Cap
- EUR 251.00M
- Dividend Yield
- ―
- Average Volume (3M)
- 50
- Price to Earnings (P/E)
- 14.9
- Beta (1Y)
- 0.76
- Revenue Growth
- -5.52%
- EPS Growth
- -30.43%
- Country
- Germany
- Employees
- 2,654
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Auto - Parts
Strattec Security Business Overview & Revenue Model
Company Description
Established in 1908 and headquartered in Milwaukee, Wisconsin, Strattec Security Corporation specializes in the design, development, manufacturing, and marketing of automotive access control products. Predominantly operating in North America, their s...
Strattec Security Earnings Call Summary
The call conveyed a mixed outlook. Management highlighted sequential improvement in gross margin and adjusted EBITDA, substantial restructuring savings, strong cash generation, a debt-free balance sheet, continued investment, and strategic growth initiatives. However, these positives were offset by year-over-year declines in sales, gross profit, net income, and adjusted EBITDA, lower expected automotive production, a fiscal-year gross-margin outlook of 15%-16%, foreign currency and supply chain pressures, and elevated near-term SAE expenses. The company appears to be making operational progress while operating in a challenging automotive environment.
Q1-2027 Updates
Positive Updates
Negative Updates
Company Guidance
For fiscal 2027, current third-party forecasts indicate about a 2% decline in North American automotive production, including production at the Detroit Three, down nearly 6%, and the company expects its second quarter to be similar to its expectations for the year. Lower volume is expected to be a headwind to gross margin for the balance of the fiscal year, with material cost inflation being offset by the benefit of foreign currency exchange based on what we are seeing today; gross margin should be in the range of 15%-16% for the year, with a target gross margin of 18%-20% in the long term. Excluding unusual items, SAE costs are expected to be at a quarterly run rate of $16.5 million-$17 million in fiscal 2027, while longer term SAE expenses are expected to run at 10%-11% of sales. The normalized fiscal 2027 effective tax rate is expected to be in the range of 23%-25%, normal operating cash flow run rate is expected at approximately $10 million per quarter, subject to working capital variability, and first quarter cash generation keeps the company on track for approximately $40 million for the fiscal year.
Strattec Security Risk Analysis
Strattec Security disclosed 26 risk factors in its most recent earnings report. Strattec Security reported the most risks in the "Production" category.
Latest Risks Added
3 New RisksStrattec Security Peers Comparison
Overall Rating
CAAS73Outperform
HLLY68Neutral
MPAA46Neutral
SRI44Neutral
INVZ42Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| CAAS | 73Outperform | $124.00M | 2.31 | 13.77% | ― | 17.64% | 42.96% |
| HLLY | 68Neutral | $317.50M | 15.36 | 4.18% | ― | 3.04% | ― |
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
| MPAA | 46Neutral | $140.74M | -207.63 | -0.22% | ― | -9.11% | -129.06% |
| SRI | 44Neutral | $146.48M | -1.16 | -80.52% | ― | -19.58% | -280.26% |
| INVZ | 42Neutral | $65.73M | -0.48 | -118.08% | ― | 3.19% | -8.55% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| DE:SS8 | Strattec Security | 54.50 | -5.50 | -9.17% | |
| CAAS | China Automotive | 4.41 | 0.11 | 2.56% | |
| MPAA | Motorcar Parts Of America | 7.62 | -5.39 | -41.43% | |
| SRI | Stoneridge | 5.10 | -0.71 | -12.22% | |
| INVZ | Innoviz Technologies Ltd. | 0.18 | -1.20 | -86.96% | |
| HLLY | Holley Inc. | 2.51 | -1.39 | -35.64% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.