Adient Maintains Hold Rating with $22.00 Price Target

CFRA maintains a Hold rating for Adient with a price target of $22.00. Garrett Nelson, who covers the Consumer Cyclical sector, has a 54.17% success rate on recommended stocks. The company has a one-year high of $24.25 and a one-year low of $10.04. UBS also maintains a Hold rating, while Bank of America Securities has a Sell rating.

CFRA has raised its price target for Adient (NYSE:ADNT) to $22.00 from $20.00, maintaining a Hold rating on the automotive seating supplier. The research firm cited improved outlook and higher earnings estimates for fiscal years 2025 and 2026 [1]. Currently trading at $22.88, the stock is seen as undervalued by InvestingPro, with six analysts revising their earnings estimates upward.

CFRA increased its adjusted earnings per share estimates for Adient to $1.95 for fiscal year 2025 and $2.20 for fiscal year 2026, following the company’s slight earnings miss but higher guidance for FY25. The new price target is based on a fiscal year 2026 price-to-earnings ratio of 10.0x, reflecting a discount to Adient’s historical multiples [1].

The research firm acknowledged Adient’s successful implementation of strategic initiatives such as asset sales, debt refinancing, and tariff impact mitigation, noting that shares have more than doubled from their early April lows. However, CFRA expressed concern about increased competition and global production rates compared to higher-growth segments like autonomous driving software or electrification, with 60% of Adient’s FY24 net sales coming from plants outside the United States [1].

UBS has also adjusted its price target for Adient to $26.00, up from the previous target of $25.00, while maintaining a Neutral rating. This adjustment reflects UBS’s acknowledgment of Adient’s ongoing solid business performance and potential benefits from manufacturing reshoring to the United States [1].

Adient reported quarterly adjusted earnings of 45 cents per share for the quarter ended June 30, beating the mean expectation of eleven analysts for the quarter. Revenue rose 0.7% to $3.74 billion, slightly above analyst expectations of $3.63 billion [2]. The company’s shares have risen by 13.6% this quarter and gained 28.3% year-to-date [2].

Adient’s management highlighted strong third-quarter results, emphasizing new business driven by U.S. onshoring. The company reported adjusted net income of $38 million or $0.45 per share, and free cash flow of $115 million for the quarter. Adient increased its fiscal year 2025 guidance for revenue and adjusted EBITDA to $14.4 billion and $875 million, respectively [3].

Analysts’ consensus rating for Adient is Hold, with a median 12-month price target of $20.00, about 10.5% below its last closing price of $22.11 [2]. Despite the mixed analyst ratings, Adient’s strong performance and strategic initiatives suggest potential for future growth.

References:
[1] https://www.investing.com/news/analyst-ratings/adient-stock-price-target-raised-to-22-from-20-at-cfra-on-improved-outlook-93CH-4177126
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TY1XC:0-adient-plc-reports-results-for-the-quarter-ended-june-30-earnings-summary/
[3] https://seekingalpha.com/news/4480847-adient-raises-2025-guidance-to-14_4b-revenue-and-875m-ebitda-amid-onshoring-driven-growth