Latest news with #DAN
Yahoo
25-07-2025
- Automotive
- Yahoo
Is Dana (DAN) Stock Outpacing Its Auto-Tires-Trucks Peers This Year?
Investors interested in Auto-Tires-Trucks stocks should always be looking to find the best-performing companies in the group. Dana (DAN) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Auto-Tires-Trucks sector should help us answer this question. Dana is a member of our Auto-Tires-Trucks group, which includes 96 different companies and currently sits at #12 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group. The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Dana is currently sporting a Zacks Rank of #2 (Buy). Over the past 90 days, the Zacks Consensus Estimate for DAN's full-year earnings has moved 9.3% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive. Our latest available data shows that DAN has returned about 41.4% since the start of the calendar year. At the same time, Auto-Tires-Trucks stocks have lost an average of 13%. This means that Dana is performing better than its sector in terms of year-to-date returns. OPENLANE (KAR) is another Auto-Tires-Trucks stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 24.9%. Over the past three months, OPENLANE's consensus EPS estimate for the current year has increased 3.1%. The stock currently has a Zacks Rank #1 (Strong Buy). To break things down more, Dana belongs to the Automotive - Original Equipment industry, a group that includes 50 individual companies and currently sits at #85 in the Zacks Industry Rank. On average, stocks in this group have gained 10.8% this year, meaning that DAN is performing better in terms of year-to-date returns. OPENLANE is also part of the same industry. Dana and OPENLANE could continue their solid performance, so investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to these stocks. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dana Incorporated (DAN) : Free Stock Analysis Report OPENLANE, Inc. (KAR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
12-06-2025
- Business
- Business Insider
Dana to sell Off-Highway business to Allison Transmission for $2.7B
16:30 EDT Dana (DAN) to sell Off-Highway business to Allison Transmission (ALSN) for $2.7B Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Yahoo
01-06-2025
- Business
- Yahoo
Calculating The Fair Value Of Dana Incorporated (NYSE:DAN)
Dana's estimated fair value is US$18.04 based on 2 Stage Free Cash Flow to Equity With US$16.63 share price, Dana appears to be trading close to its estimated fair value Analyst price target for DAN is US$19.29, which is 6.9% above our fair value estimate In this article we are going to estimate the intrinsic value of Dana Incorporated (NYSE:DAN) by taking the expected future cash flows and discounting them to today's value. This will be done using the Discounted Cash Flow (DCF) model. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow. Companies can be valued in a lot of ways, so we would point out that a DCF is not perfect for every situation. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. We are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, and so the sum of these future cash flows is then discounted to today's value: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF ($, Millions) US$237.9m US$287.0m US$318.6m US$255.6m US$221.8m US$203.2m US$193.1m US$188.1m US$186.3m US$186.7m Growth Rate Estimate Source Analyst x3 Analyst x2 Analyst x2 Analyst x1 Est @ -13.22% Est @ -8.37% Est @ -4.98% Est @ -2.60% Est @ -0.94% Est @ 0.22% Present Value ($, Millions) Discounted @ 9.6% US$217 US$239 US$242 US$177 US$140 US$117 US$102 US$90.2 US$81.5 US$74.6 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$1.5b The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (2.9%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 9.6%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$187m× (1 + 2.9%) ÷ (9.6%– 2.9%) = US$2.9b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$2.9b÷ ( 1 + 9.6%)10= US$1.1b The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is US$2.6b. To get the intrinsic value per share, we divide this by the total number of shares outstanding. Compared to the current share price of US$16.6, the company appears about fair value at a 7.8% discount to where the stock price trades currently. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent. We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. Part of investing is coming up with your own evaluation of a company's future performance, so try the calculation yourself and check your own assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Dana as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 9.6%, which is based on a levered beta of 1.542. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. Check out our latest analysis for Dana Strength No major strengths identified for DAN. Weakness Interest payments on debt are not well covered. Dividend is low compared to the top 25% of dividend payers in the Auto Components market. Opportunity Expected to breakeven next year. Has sufficient cash runway for more than 3 years based on current free cash flows. Good value based on P/S ratio and estimated fair value. Threat Debt is not well covered by operating cash flow. Paying a dividend but company is unprofitable. Revenue is forecast to decrease over the next 2 years. Although the valuation of a company is important, it shouldn't be the only metric you look at when researching a company. DCF models are not the be-all and end-all of investment valuation. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" For instance, if the terminal value growth rate is adjusted slightly, it can dramatically alter the overall result. For Dana, there are three pertinent elements you should look at: Risks: Take risks, for example - Dana has 2 warning signs (and 1 which shouldn't be ignored) we think you should know about. Future Earnings: How does DAN's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! PS. Simply Wall St updates its DCF calculation for every American stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
22-05-2025
- Automotive
- Yahoo
RBC Upgrades Dana (DAN) Stock to Outperform, Lifts PT
On May 22, RBC Capital Markets analyst Tom Narayan upped Dana Incorporated (NYSE:DAN)'s stock from 'Sector Perform' to 'Outperform', while raising the price objective to $20.00 from $14.00. This upgrade comes on the heels of expectations that Dana Incorporated (NYSE:DAN) will announce its Off-Highway (OH) deal in June. This will result in positive outcomes and potentially higher capital returns. Furthermore, the analyst believes that even without the deal, the company's core business fundamentals remain strong, and it seems that the market is not fully appreciating this. A modern commercial vehicle on the road, its engine powered by the company's drive system. The sale of Dana Incorporated (NYSE:DAN)'s Off-Highway business remains underway with a competitive process. It continues to execute its cost-savings initiative and has adopted steps focused on accelerating the realization of its $300 million plan. The overall market sentiment related to tariffs continues to become more favorable, and Dana Incorporated (NYSE:DAN) remains well-placed in this area due to lower exposure in comparison to its automotive peers, says Narayan. This gives the company a relative advantage in the broader market, which remains sensitive to international trade issues. Furthermore, the potential deal can provide the company an opportunity to return additional capital to its shareholders. Dana Incorporated (NYSE:DAN) offers power-conveyance and energy-management solutions for vehicles and machinery. While we acknowledge the potential of DAN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DAN and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: and 11 Unstoppable Growth Stocks to Invest in Now Disclosure: None. Error while retrieving data Sign in to access your portfolio Error while retrieving data
Washington Post
30-04-2025
- Business
- Washington Post
Dana: Q1 Earnings Snapshot
MAUMEE, Ohio — MAUMEE, Ohio — Dana Inc. (DAN) on Wednesday reported profit of $25 million in its first quarter. On a per-share basis, the Maumee, Ohio-based company said it had net income of 17 cents. Earnings, adjusted for one-time gains and costs, were 13 cents per share. The automotive equipment supplier posted revenue of $2.35 billion in the period. Dana expects full-year earnings in the range of $1.15 to $1.65 per share, with revenue in the range of $9.53 billion to $10.03 billion. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on DAN at
