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GTX

Garrett Motion Inc.

Industrials • CIK: 0001735707

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Market Cap
$3.48B
P/E (TTM)
11.2x
Rev Growth (TTM)
+3.1%
Net Margin (TTM)
8.6%
FCF Yield (TTM)
9.8%
FCF Margin (TTM)
9.5%

LATEST EARNINGS

Q4 2025
15 days ago
View source
Revenue
$891.00M
+5.6%
Net Income
$84.00M
-16.0%
EPS
$0.42
-10.6%
Gross
20.8% -0.8%
Net
9.4% -2.4%
  • Full Year 2025 Net sales increased 3% on a reported basis to $3,584 million, up 1% at constant currency.
  • Full Year 2025 Adjusted EBIT margin expanded to 14.2% from 14.0% in the prior year.
  • Full Year 2025 Adjusted EBITDA margin improved to 17.7% from 17.2% in the prior year.
  • Secured multiple commercial vehicle & industrial awards, including first high-speed E-powertrain and E-cooling compressor awards for production starting in 2027.

Cash Flow Health

Free Cash Flow8/8 positive
TTM$341M
Q4 '25
$78M-13%
Q3 '25
$90M-37%
FCF Margin
TTM9.5%
Q4 '258.8%-12%
Sector: 5.4%Above Avg
OCF Margin11.5%
OCF/NI1.33x
CapEx Coverage5.7x
FCF Yield9.8%
FCF Growth (2Y)+6%
Cash Conversion Cycle
-16 days
DSO: 74+DIO: 38DPO: 127

Capital Allocation & Returns

Shareholder Friendly
Total Shareholder YieldTTM
TTM7.5%
Div Yield1.5%
+
Buyback (TTM)6.0%

Strong capital returns to shareholders

Dividend & Payout Metrics
Dividend Yield (TTM)1.5%
FCF Payout Ratio15.2%
Free Cash Flow (TTM)$341.0M
Stock Repurchases (TTM)$208.0M
Capital Return / FCF76.2%
Est. Dividends Paid (TTM)$51.9M
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
55.8%
Moderate
+0.2% YoY+16.5%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
10.8%
8Q: 10.5%
Asset Turnover
1.52x
8Q: 1.51x
Leverage (1+D/E)
-0.77x
D/E: -1.77x
DuPont: -12.6%55.8% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
7.92x
8Q:7.87x
+11.7%
Invested Cap Turn
5.18x
8Q:5.32x
-24.0%
CapEx Intensity
10.4%
8Q:12.7%
CapEx/Depreciation
0.73x
Asset-based ROIC formula

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
Revenue
$3.6B
$891.0M1.2%
$902.0M1.2%
$913.0M4.0%
$878.0M4.0%
$844.0M2.2%
$826.0M7.2%
$890.0M2.7%
$915.0M
Operating Income
$491.0M
$120.0M7.0%
$129.0M5.7%
$122.0M1.7%
$120.0M0.0%
$120.0M6.2%
$113.0M8.9%
$124.0M14.8%
$108.0M
Net Income
$310.0M
$84.0M9.1%
$77.0M11.5%
$87.0M40.3%
$62.0M38.0%
$100.0M92.3%
$52.0M18.8%
$64.0M3.0%
$66.0M
Operating Cash Flow
$413.0M
$99.0M1.0%
$100.0M36.7%
$158.0M182.1%
$56.0M57.3%
$131.0M95.5%
$67.0M46.8%
$126.0M50.0%
$84.0M
Free Cash Flow
$341.0M
$78.0M13.3%
$90.0M37.1%
$143.0M376.7%
$30.0M72.5%
$109.0M131.9%
$47.0M56.9%
$109.0M109.6%
$52.0M
Total Equity
N/A

Valuation Analysis

Fair Value
Price-to-EarningsTTM
11.2x
Volatile
8Q: 31.9x+346%
Valuation Lenses
Earnings
11.2x
vs sector
Cash Flow
14.0x
EV/FCF vs
Growth-Adj
0.6xPEG
Undervalued for growth
Quality-Adj
0.2P/E per %ROIC
ROIC: 55.8%
Shareholder Returns
Dividend
1.5%
Buyback
6.0%
Total Yield
7.5%
Market Cap$3.48B
EV$4.76B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
61/100
High Quality

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Top 10%
-40.5%
8Q:
Return on Invested Capital (ROIC)Top 25%
55.8%
8Q:
+16.5%
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 10.8%
Asset Turnover: 1.52x

Earnings Quality

Cash Conversion

1.33x

OCF / Net Income

FCF Consistency

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin20.4%

Capital Efficiency

Invested Capital Turnover5.18x

Working Capital

Cash Conversion Cycle-16 days

Growth Quality & Momentum

Moderate Growth
Growth Quality Score
56/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
3.1%
OpInc Growth YoY
0.0%
EPS Growth YoY
19.7%
FCF 3Y CAGR
6.3%

Margin Quality & Sustainability

Moderate
Profitability Cascade
Gross
20.4%
Operating
13.7%
Above Avg in sector
Net
8.6%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
FCF vs Net Gap
+0.9 pts
FCF: 9.5% | Net: 8.6%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Solid
Net Debt / EBITDA
Net Debt: $1.24B
Interest Coverage
Leverage Metrics
Debt-to-Equity
-1.77x
Balance sheet risk & solvency analysis