Sensata Technologies downgraded at Bank of America

Autonomous Self Driving Vehicle

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Sensata Technologies Holdings (NYSE:ST) on Wednesday was downgraded to Neutral from a previous investment rating of Buy among analysts at Bank of America Securities. They said the maker automotive sensors isn’t growing as quickly as previously expected.

Management at Sensata (ST) provided guidance that indicates its operating margin in 2024 will be in a range of 19.2% to 19.5%, down from 20% to 21% previously, according to BofA.

Sensata (ST) on Tuesday reported adjusted earnings of $0.81 a share, missing the consensus estimate of $0.86 for the fourth quarter of 2023.

BofA raised its revenue estimate for Sensata (ST) to $4.1 billion from $4.08 billion previously for 2024. The bank cut its earnings estimate to $3.70 a share from $3.82 a share.

The analysts also lowered their price target for Sensata (ST) to $38 a share from $46 a share, based on an estimated multiple of 10 times earnings per share, down from 12 times.

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