Latest news with #DormanProducts
Yahoo
5 days ago
- Business
- Yahoo
Dorman announces planned retirement of Chief Financial Officer David M. Hession
COLMAR, Pa., June 05, 2025 (GLOBE NEWSWIRE) -- Dorman Products, Inc. ('Dorman' or the 'Company') (NASDAQ:DORM) announced today that David M. Hession, Senior Vice President and Chief Financial Officer, has informed Dorman of his plans to retire later this year. The Company has initiated a comprehensive search process with the assistance of a leading executive search firm to identify Mr. Hession's successor. Mr. Hession will remain in his position until a successor is in place and will serve in an advisory role thereafter to ensure a smooth transition. Kevin Olsen, Dorman's President and Chief Executive Officer, said, 'David has been integral in helping drive Dorman's strong financial performance over the last six years. On behalf of the Board of Directors and the management team, we would like to express our gratitude and wish him the very best in his upcoming retirement.' Mr. Hession joined Dorman as Chief Financial Officer in February 2019. During his tenure, he helped expand the business through strategic acquisitions, build a talented finance organization, and strengthen Dorman's balance sheet and liquidity position. Mr. Hession added, 'It's been an honor to lead Dorman's finance organization and work alongside Kevin and Dorman's management team. I am proud of what we have accomplished together and am confident that Dorman is well-positioned for continued success. I look forward to supporting the Company through the transition.' Contacts Alex Whitelam, Vice President, Investor Relations, awhitelam@ Visit our website at The Investor Relations section of the website contains a significant amount of information about Dorman, including financial and other information for investors. Dorman encourages investors to visit its website periodically to view new and updated information. About Dorman Dorman gives professionals, enthusiasts, and owners greater freedom to fix motor vehicles. For over 100 years, we have been driving new solutions, releasing tens of thousands of aftermarket replacement products engineered to save time and money and increase convenience and reliability. Founded and headquartered in the United States, we are a pioneering global organization offering an always-evolving catalog of products covering cars, trucks, and specialty vehicles, from chassis to body, from underhood to undercarriage, and from hardware to complex electronics. Forward-Looking Statements This press release contains 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as 'may,' 'will,' 'should,' 'likely,' 'probably,' 'anticipates,' 'expects,' 'intends,' 'plans,' 'projects,' 'believes,' 'views,' 'estimates,' and similar expressions are used to identify these forward-looking statements. Such forward-looking statements are based on current expectations that involve known and unknown risks, uncertainties, and other factors (many of which are outside of our control) that may cause actual events to be materially different from those expressed or implied by such forward-looking statements. For additional information concerning factors that could cause actual results to differ materially from the information contained in this press release, please see Dorman's prior press releases and filings with the U.S. Securities and Exchange Commission ('SEC'), including Dorman's most recent annual report on Form 10-K and its subsequent SEC filings. Dorman is under no obligation to (and expressly disclaims any such obligation to) update any of the information in this press release if any forward-looking statement later turns out to be inaccurate, whether as a result of new information, future events, or otherwise.
Yahoo
19-05-2025
- Automotive
- Yahoo
Dorman appoints Kathleen Pacheco as President of its Specialty Vehicle business segment
COLMAR, Pa., May 19, 2025 (GLOBE NEWSWIRE) -- Dorman Products, Inc. ('Dorman' or the 'Company') (NASDAQ:DORM) announced today the appointment of Kathleen Pacheco as President of the Specialty Vehicle business segment. As part of a planned succession, Ms. Pacheco replaces Lindsay Hunt, who previously served in the role and was the Chief Executive Officer of SuperATV prior to Dorman's acquisition of the business in 2022. Ms. Hunt will remain with the Company in an advisory role to support the leadership team through the transition and serve as a resource to support continued growth of the business. In connection with Ms. Pacheco's appointment, Kevin Olsen, Dorman's President and Chief Executive Officer, said 'Kathleen has the experience and proven ability to drive growth, financial performance, and the continued success of our Specialty Vehicle business. We thank Lindsay for her dedication and visionary leadership as she guided SuperATV's smooth transition and seamless integration following the acquisition. Lindsay has been integral in building a strong culture focused on product innovation and commercial excellence, and we look forward to her continued support of the business as Kathleen takes on her new role.' Prior to her appointment as President, Specialty Vehicle, Ms. Pacheco served as Chief Operating Officer of the business segment. Before joining Dorman, she held senior leadership positions and other roles of increasing responsibility at Tenneco and Johnson Controls. She holds a Master of Science in Engineering Management from Marquette University, and a bachelor's degree in mechanical engineering from Kettering University. Ms. Hunt said, 'Kathleen is an exceptional leader with a deep understanding of our business, our values, and our strategic objectives. As Chief Operating Officer, she has been instrumental in leading changes to our innovation and development teams, and in supply chain transformation. I am looking forward to continuing to work with her and the Dorman team in my new role.' Ms. Pacheco said, 'I'm inspired by the confidence that Dorman's leadership has shown in me and the exciting future ahead for Dorman and its Specialty Vehicle business. I'm committed to building on the SuperATV legacy and brand, and I look forward to benefiting from Lindsay's experience and advice as I take on my new role.' Contacts Marketing: Steve Gisondi, Vice President of Marketing, sgisondi@ Investor Relations: Alex Whitelam, Vice President, Investor Relations, awhitelam@ Visit our website at The Investor Relations section of the website contains a significant amount of information about Dorman, including financial and other information for investors. Dorman encourages investors to visit its website periodically to view new and updated information. About Dorman Dorman gives professionals, enthusiasts, and owners greater freedom to fix motor vehicles. For over 100 years, we have been driving new solutions, releasing tens of thousands of aftermarket replacement products engineered to save time and money and increase convenience and reliability. Founded and headquartered in the United States, we are a pioneering global organization offering an always-evolving catalog of products covering cars, trucks, and specialty vehicles, from chassis to body, from underhood to undercarriage, and from hardware to complex electronics. Forward-Looking Statements This press release contains 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as 'may,' 'will,' 'should,' 'likely,' 'probably,' 'anticipates,' 'expects,' 'intends,' 'plans,' 'projects,' 'believes,' 'views,' 'estimates,' and similar expressions are used to identify these forward-looking statements. Such forward-looking statements are based on current expectations that involve known and unknown risks, uncertainties, and other factors (many of which are outside of our control) that may cause actual events to be materially different from those expressed or implied by such forward-looking statements. For additional information concerning factors that could cause actual results to differ materially from the information contained in this press release, please see Dorman's prior press releases and filings with the U.S. Securities and Exchange Commission ('SEC'), including Dorman's most recent annual report on Form 10-K and its subsequent SEC filings. Dorman is under no obligation to (and expressly disclaims any such obligation to) update any of the information in this press release if any forward-looking statement later turns out to be inaccurate whether as a result of new information, future events, or otherwise.
Yahoo
14-05-2025
- Automotive
- Yahoo
Are Auto-Tires-Trucks Stocks Lagging Dorman Products (DORM) This Year?
For those looking to find strong Auto-Tires-Trucks stocks, it is prudent to search for companies in the group that are outperforming their peers. Dorman Products (DORM) 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. Dorman Products is one of 103 individual stocks in the Auto-Tires-Trucks sector. Collectively, these companies sit at #14 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Dorman Products is currently sporting a Zacks Rank of #2 (Buy). The Zacks Consensus Estimate for DORM's full-year earnings has moved 3.8% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend. Our latest available data shows that DORM has returned about 1.1% since the start of the calendar year. Meanwhile, the Auto-Tires-Trucks sector has returned an average of -10.2% on a year-to-date basis. This means that Dorman Products is outperforming the sector as a whole this year. Another stock in the Auto-Tires-Trucks sector, Ferrari (RACE), has outperformed the sector so far this year. The stock's year-to-date return is 15.6%. In Ferrari's case, the consensus EPS estimate for the current year increased 9.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy). Breaking things down more, Dorman Products is a member of the Automotive - Replacement Parts industry, which includes 7 individual companies and currently sits at #66 in the Zacks Industry Rank. Stocks in this group have gained about 6.5% so far this year, so DORM is slightly underperforming its industry this group in terms of year-to-date returns. In contrast, Ferrari falls under the Automotive - Original Equipment industry. Currently, this industry has 53 stocks and is ranked #144. Since the beginning of the year, the industry has moved +2.5%. Investors with an interest in Auto-Tires-Trucks stocks should continue to track Dorman Products and Ferrari. These stocks will be looking to continue their solid performance. 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 Dorman Products, Inc. (DORM) : Free Stock Analysis Report Ferrari N.V. (RACE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
07-05-2025
- Automotive
- Yahoo
Dorman Products Inc (DORM) Q1 2025 Earnings Call Highlights: Strong Sales Growth Amid Market ...
Q : Have you seen any of your bigger customers buying ahead to get ahead of tariffs, or is the difference due to gaining shelf space with larger partners? A : Kevin Olsen, CEO: We haven't seen any indications of customers buying ahead of tariffs yet. The strong performance in light duty was driven by new product performance and favorable macro trends. Our sell-in growth exceeded POS growth due to an easier comp in the quarter. The company anticipates increased inventory costs due to tariffs, which may impact cash flow and require strategic financial management. Despite strong performance, the company faces potential challenges from the newly enacted 232 auto tariffs, which could affect pricing and supply chain costs. The heavy-duty segment experienced an 11% year-over-year decline in net sales due to continued market pressures in freight transportation and the trucking aftermarket. Dorman Products Inc ( NASDAQ:DORM ) successfully diversified its supply chain, reducing reliance on Chinese imports to 30-40% and sourcing 30% from the U.S. For the complete transcript of the earnings call, please refer to the full earnings call transcript . Story continues Q: Could you remind us of some of the mitigation efforts you have in place for tariffs, and when would these impacts start to hit your results? A: Kevin Olsen, CEO: We have a diverse supply chain, with 30-40% sourced from China, 30% from the U.S., and the rest globally. Most of our parts are nondiscretionary, historically inelastic. We expect to see tariff impacts roughly six months after incurring them due to FIFO inventory. Mitigation efforts include negotiating with suppliers, driving productivity, and adjusting prices. Q: Can you break out the EBIT margin in light vehicle between product mix and leverage on volume? A: Kevin Olsen, CEO: Our operating margins in light duty are largely due to product mix, particularly new products. The vehicle cohort of 7- to 14-year-old vehicles has grown, aiding margin expansion. Q: How does your supply chain footprint compare to competitors, especially in commoditized segments like chassis? A: Kevin Olsen, CEO: While I can't comment on specific categories, we believe we have less exposure to high-tariff regions like China compared to competitors, giving us a competitive advantage. Q: Is the current interest expense a good number to use for the rest of the year? A: David Hession, CFO: Yes, using the current quarter's interest expense is a good assumption. We've paid down significant debt, reducing our leverage to 1x EBITDA. Q: How much of your product was sourced from China during the last tariff situation, and what takeaways can you apply now? A: Kevin Olsen, CEO: Previously, over 70% was sourced from China and Taiwan. We've since diversified our supply chain significantly, building a more resilient network and driving productivity through automation. Q: Can you provide any indication of how the 30-40% sourced from China is split among segments? A: Kevin Olsen, CEO: We won't disclose specific impacts by segment due to fluidity and competitive reasons. However, we believe we have a competitive advantage in light duty and are well-positioned in heavy duty and specialty vehicles. Q: Are there any exemptions or clawbacks related to the 232 tariffs on auto parts? A: Kevin Olsen, CEO: The 232 tariffs are tied to HTS codes, and exemptions are primarily for OE. We're still evaluating the impact on Dorman. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
11-04-2025
- Business
- Yahoo
Are Investors Undervaluing Dorman Products, Inc. (NASDAQ:DORM) By 31%?
Using the 2 Stage Free Cash Flow to Equity, Dorman Products fair value estimate is US$165 Dorman Products' US$114 share price signals that it might be 31% undervalued Analyst price target for DORM is US$145 which is 13% below our fair value estimate Today we will run through one way of estimating the intrinsic value of Dorman Products, Inc. (NASDAQ:DORM) by taking the expected future cash flows and discounting them to today's value. This will be done using the Discounted Cash Flow (DCF) model. Believe it or not, it's not too difficult to follow, as you'll see from our example! Companies can be valued in a lot of ways, so we would point out that a DCF is not perfect for every situation. If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows. Generally the first stage is higher growth, and the second stage is a lower growth phase. To begin with, we have to get estimates of the next ten years of cash flows. Seeing as no analyst estimates of free cash flow are available to us, we have extrapolate the previous free cash flow (FCF) from the company's last reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. Generally we assume that a dollar today is more valuable than a dollar in the future, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF ($, Millions) US$203.6m US$217.1m US$229.0m US$239.6m US$249.3m US$258.5m US$267.3m US$275.9m US$284.3m US$292.8m Growth Rate Estimate Source Est @ 8.27% Est @ 6.61% Est @ 5.45% Est @ 4.64% Est @ 4.07% Est @ 3.68% Est @ 3.40% Est @ 3.20% Est @ 3.07% Est @ 2.97% Present Value ($, Millions) Discounted @ 7.2% US$190 US$189 US$186 US$181 US$176 US$170 US$164 US$158 US$152 US$146 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$1.7b We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.8%. We discount the terminal cash flows to today's value at a cost of equity of 7.2%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$293m× (1 + 2.8%) ÷ (7.2%– 2.8%) = US$6.7b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$6.7b÷ ( 1 + 7.2%)10= US$3.3b 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$5.1b. The last step is to then divide the equity value by the number of shares outstanding. Compared to the current share price of US$114, the company appears quite undervalued at a 31% 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. Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. 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 Dorman Products 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 7.2%, which is based on a levered beta of 1.033. 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. See our latest analysis for Dorman Products Strength Earnings growth over the past year exceeded the industry. Debt is not viewed as a risk. Weakness No major weaknesses identified for DORM. Opportunity Annual earnings are forecast to grow for the next 2 years. Trading below our estimate of fair value by more than 20%. Threat Annual earnings are forecast to grow slower than the American market. Although the valuation of a company is important, it is only one of many factors that you need to assess for a company. The DCF model is not a perfect stock valuation tool. 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. Why is the intrinsic value higher than the current share price? For Dorman Products, we've put together three relevant aspects you should further examine: Risks: We feel that you should assess the 1 warning sign for Dorman Products we've flagged before making an investment in the company. Management:Have insiders been ramping up their shares to take advantage of the market's sentiment for DORM's future outlook? Check out our management and board analysis with insights on CEO compensation and governance factors. 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. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the NASDAQGS every day. If you want to find the calculation for other stocks 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. Sign in to access your portfolio
