The revenue beat and guidance raise are positive but GAAP EPS came in far below consensus due to heavy restructuring costs and amortization from the Dowlais deal. Monitor the pace of synergy realization and restructuring spend—if these costs persist, GAAP profitability may remain subdued. The debt overhang (~$5B) also limits financial flexibility.
Price Chart
Executive Summary
Dauch Corp reported Q2 2026 revenue of $2.96B, significantly exceeding the $2.81B consensus, but GAAP EPS was $0.00 (nominal net income of $1.0M) vs. consensus of $0.16, a clear miss. Adjusted EPS was $0.32, below the prior year's $0.34. The company raised its full-year sales guidance to $10.6-$10.8B and Adjusted EBITDA guidance to $1.36-$1.425B, reflecting positive momentum from the Dowlais acquisition, but GAAP profitability remains weak due to high restructuring and acquisition-related costs.
Key Financial Metrics
Key Facts
- Q2 2026 revenue $2.96B vs. consensus $2.81B (beat)
- GAAP diluted EPS $0.00 ($1.0M net income) vs. consensus $0.16 (miss)
- Adjusted EPS $0.32 vs. $0.34 in Q2 2025 (decline)
- Adjusted EBITDA $389.6M (13.2% of sales) vs. $202.1M (13.2%) in Q2 2025
- Net cash from operations $107.5M; Adjusted FCF $148.4M vs. $48.7M in Q2 2025
- Raised FY 2026 sales outlook to $10.6-$10.8B from $10.3-$10.8B
- Raised FY 2026 Adj. EBITDA outlook to $1.36-$1.425B from $1.30-$1.425B
- Long-term debt $5.0B; cash and cash equivalents $880.8M
Financial Impact
Revenue beat of ~$150M vs consensus, but GAAP EPS missed by $0.16; guidance raised modestly for sales and EBITDA
Risk Factors
- High restructuring and acquisition costs weighing on GAAP profitability
- Large debt load ($5B+) may limit flexibility
- Integration and synergy realization risks with Dowlais
- Dependence on automotive production volumes and tariff environment
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001062231-26-000135 |
| Document: axl-20260807.htm | 0001062231-26-000135 |
| Document: 0001062231-26-000135-index-headers.html | 0001062231-26-000135 |
| Document: 0001062231-26-000135-index.html | 0001062231-26-000135 |
| Document: 0001062231-26-000135.txt | 0001062231-26-000135 |
| 8-K Data (Synthetic) | 0001062231-26-000135 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 13, 2026 13d ago | 8-K | $5.50 | awaiting T+60 | — | $4.61 (−16.18%) |
Oct 12, 2026 14d ago | Press Release | $5.39 | awaiting T+60 | — | $4.61 (−14.47%) |
Aug 7, 2026 11w ago | 8-K | $6.35 | awaiting T+60 | — | $4.61 (−27.40%) |
Jun 15, 2026 19w ago | 8-K | $6.61 $6.56 | ▼ −0.76% | ▼ −1.76% | $4.61 (−30.26%) |
Jun 11, 2026 19w ago | Institutional Cluster | $6.23 $6.99 | ▲ +12.20% | ▲ +7.80% | $4.61 (−26.00%) |
May 8, 2026 24w ago | 8-K | $6.64 $5.99 | ▼ −9.79% | ▼ −14.63% | $4.61 (−30.57%) |
Apr 20, 2026 27w ago | DEFA14A | $6.09 $5.31 | ▼ −12.81% | ▼ −19.59% | $4.61 (−24.30%) |
Apr 17, 2026 27w ago | 8-K | $6.09 $5.31 | ▲ +12.81% | ▲ +19.59% | $4.61 (+24.30%) |
Mar 19, 2026 31w ago | DEFA14A | $5.44 $6.35 | ▲ +16.73% | ▲ +2.38% | $4.61 (−15.26%) |
US Market Status
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