The EPS beat was modest and revenue slightly below consensus, but the reaffirmed guidance midpoint and strong cash flow support the stock. The new $250M buyback program and debt reduction signal capital allocation discipline. Watch for Q4 execution on the full-year guidance range and any impact from China light-vehicle softness.
Price Chart
Executive Summary
Garrett Motion reported Q3 2026 net sales of $930M (+3% YoY constant currency) and diluted EPS of $0.51, slightly above the $0.48 consensus. Net income rose to $97M from $77M a year ago. The company reaffirmed its full-year 2026 mid-point outlook and announced a new $250M share repurchase program for 2027, plus a $0.08 dividend and a $50M voluntary debt repayment.
Key Financial Metrics
Key Facts
- Q3 2026 net sales $930M vs $902M YoY (+3% reported, +3% constant currency)
- Diluted EPS $0.51 vs consensus $0.48 (beat of +6.25%)
- Net income $97M ($0.52 basic) vs $77M a year ago
- Adjusted EBIT $152M (16.3% margin) vs $133M (14.7%) YoY
- Operating cash flow $135M, adjusted free cash flow $136M
- Reaffirmed full-year 2026 outlook: net sales $3.75B-$3.85B, net income $337M-$352M, adjusted EBIT $570M-$590M
- Board authorized new $250M share repurchase program for 2027
- Declared $0.08/share dividend payable Dec 15, 2026
- Executed $50M voluntary early debt repayment on Term Loan in October
- Repurchased $57M of stock in Q3, remaining capacity $78M
Financial Impact
Q3 net sales $930M, net income $97M, EPS $0.51 vs $0.48 consensus; full-year guidance midpoint reaffirmed
Segment Breakdown
| Segment | Growth |
|---|---|
| Gasoline | -5.0% |
| Diesel | +5.0% |
| Commercial Vehicle / Industrial | +23.0% |
| Aftermarket | +5.0% |
Risk Factors
- Gasoline segment sales declined 5% YoY, driven by China demand softness
- Full-year guidance assumes light vehicle industry production down 2%-4% from 2025
- Foreign exchange translation had a $3M unfavorable impact on Q3 sales
- Commodity, transportation and energy inflation of $18M in Q3
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3391077 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 29, 2026 1d ago | 8-K | No price | awaiting T+5 | awaiting T+5 | No price |
Oct 29, 2026 1d ago | Press Release | $22.48 | awaiting T+5 | awaiting T+5 | $20.91 (−6.98%) |
Oct 28, 2026 2d ago | 8-K | $22.48 | awaiting T+5 | awaiting T+5 | $20.91 (−6.98%) |
Oct 27, 2026 3d ago | SC 13G/A | $22.33 | awaiting T+5 | awaiting T+5 | $20.91 (−6.36%) |
Oct 21, 2026 9d ago | Institutional Cluster | $22.00 $22.48 | ▲ +2.18% | ▲ +1.48% | $20.91 (−4.95%) |
Jul 29, 2026 13w ago | 8-K | $28.78 $31.41 | ▲ +9.14% | ▲ +3.61% | $20.91 (−27.35%) |
Jul 14, 2026 15w ago | Press Release | $31.68 $31.34 | ▼ −1.07% | ▲ +0.22% | $20.91 (−34.00%) |
Jun 16, 2026 19w ago | Insider Cluster | $33.76 $33.32 | ▼ −1.30% | ▼ −0.26% | $20.91 (−38.06%) |
Jun 9, 2026 20w ago | 3 | $31.98 $34.61 | ▲ +8.22% | ▲ +4.79% | $20.91 (−34.62%) |
Jun 8, 2026 20w ago | Insider Cluster | $32.81 $34.13 | ▲ +4.02% | ▲ +1.61% | $20.91 (−36.27%) |
US Market Status
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