Lear Corporation (LEA) shares are surging 6.50% in pre-market trading on Friday following the release of its impressive third-quarter earnings report. The auto parts maker exceeded analyst expectations for both revenue and profit, demonstrating resilience in a challenging market environment.
For the third quarter, Lear reported sales of $5.68 billion, up from $5.58 billion a year earlier and beating the FactSet analyst consensus of $5.67 billion. The company's adjusted earnings per share came in at $2.79, surpassing the expected $2.74. Despite a slight decrease from $2.89 in the same quarter last year, the results still impressed investors.
Adding to the positive sentiment, Lear raised its fiscal 2025 revenue guidance to a range of $22.85 billion to $23.15 billion, up from its previous forecast of $22.47 billion to $23.07 billion. This optimistic outlook, coupled with strong Q3 performance, appears to be driving the stock's significant pre-market rally. The company's ability to outperform expectations and provide an upbeat forecast amidst ongoing challenges in the automotive industry has clearly resonated with investors, leading to the notable 6.50% jump in share price.
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