Lear (Mexico) Performance
| LEA Stock | MXN 1,985 0.00 0.00% |
The company secures a Beta (Market Risk) of 0.38, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Lear's returns are expected to increase less than the market. However, during the bear market, the loss of holding Lear is expected to be smaller as well. At this point, Lear has a negative expected return of -0.43%. Please make sure to verify Lear's jensen alpha, rate of daily change, and the relationship between the variance and skewness , to decide if Lear performance from the past will be repeated at some point in the near future.
Risk-Adjusted Performance
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Over the last 90 days Lear Corporation has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in February 2025. The current disturbance may also be a sign of long term up-swing for the company investors. ...more
| Begin Period Cash Flow | 1.3 B |
Lear |
Lear Relative Risk vs. Return Landscape
If you would invest 270,345 in Lear Corporation on October 27, 2024 and sell it today you would lose (71,845) from holding Lear Corporation or give up 26.58% of portfolio value over 90 days. Lear Corporation is producing return of less than zero assuming 3.4584% volatility of returns over the 90 days investment horizon. Simply put, 30% of all stocks have less volatile historical return distribution than Lear, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
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Lear Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Lear's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Lear Corporation, and traders can use it to determine the average amount a Lear's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.1252
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| Negative Returns | LEA |
Estimated Market Risk
| 3.46 actual daily | 30 70% of assets are more volatile |
Expected Return
| -0.43 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.13 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Lear is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Lear by adding Lear to a well-diversified portfolio.
Lear Fundamentals Growth
Lear Stock prices reflect investors' perceptions of the future prospects and financial health of Lear, and Lear fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Lear Stock performance.
| Return On Equity | 0.0848 | |||
| Return On Asset | 0.038 | |||
| Profit Margin | 0.02 % | |||
| Operating Margin | 0.04 % | |||
| Current Valuation | 185.92 B | |||
| Shares Outstanding | 59.13 M | |||
| Price To Earning | 180.35 X | |||
| Price To Book | 1.90 X | |||
| Price To Sales | 7.88 X | |||
| Revenue | 20.89 B | |||
| EBITDA | 1.18 B | |||
| Cash And Equivalents | 1.32 B | |||
| Cash Per Share | 21.78 X | |||
| Total Debt | 2.59 B | |||
| Debt To Equity | 63.10 % | |||
| Book Value Per Share | 79.20 X | |||
| Cash Flow From Operations | 1.02 B | |||
| Earnings Per Share | 104.89 X | |||
| Total Asset | 13.76 B | |||
About Lear Performance
Evaluating Lear's performance through its fundamental ratios, provides valuable insights into its operational efficiency and profitability. For instance, if Lear has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Lear has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements. Please also refer to our technical analysis and fundamental analysis pages.
Lear Corporation designs, develops, engineers, manufactures, assembles, and supplies automotive seating, and electrical distribution systems and related components for automotive original equipment manufacturers worldwide. The company was founded in 1917 and is headquartered in Southfield, Michigan. LEAR CORP operates under Auto Parts classification in Mexico and is traded on Mexico Stock Exchange. It employs 169000 people.Things to note about Lear performance evaluation
Checking the ongoing alerts about Lear for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Lear help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Lear generated a negative expected return over the last 90 days | |
| Lear has high historical volatility and very poor performance | |
| The company has 2.59 Billion in debt which may indicate that it relies heavily on debt financing | |
| Over 100.0% of the company shares are owned by institutional investors |
- Analyzing Lear's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Lear's stock is overvalued or undervalued compared to its peers.
- Examining Lear's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Lear's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Lear's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Lear's stock. These opinions can provide insight into Lear's potential for growth and whether the stock is currently undervalued or overvalued.
Additional Tools for Lear Stock Analysis
When running Lear's price analysis, check to measure Lear's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lear is operating at the current time. Most of Lear's value examination focuses on studying past and present price action to predict the probability of Lear's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lear's price. Additionally, you may evaluate how the addition of Lear to your portfolios can decrease your overall portfolio volatility.