Wells Fargo Maintains Equal-Weight on Adient, Raises PT to $24

Wells Fargo Maintains Equal-Weight on Adient, Raises PT to $24

Wells Fargo (NYSE:WFC) has revised its price target on Adient (NYSE:ADNT) to $24.00, maintaining an Equal Weight rating on the stock. This update comes as Adient is set to release its Q3 2025 earnings results on Wednesday, August 6th, before the market opens. The consensus EPS estimate is $0.48 per share, a 50.0% year-over-year increase, while the consensus revenue estimate is $3.64 billion, a 2.2% year-over-year decrease [3].

Analysts expect Adient to post earnings of $0.47 per share and revenue of $3.56 billion for the quarter. The company has set its FY 2025 guidance at EPS. Adient's stock has seen a quick ratio of 0.90, a current ratio of 1.11, and a debt-to-equity ratio of 1.22. The stock has a 12-month low of $10.04 and a 12-month high of $26.59, with a 50-day simple moving average of $19.42 and a 200-day simple moving average of $16.32. The stock has a market cap of $1.86 billion, a P/E ratio of -6.90, a P/E/G ratio of 0.81, and a beta of 1.69 [1].

Wells Fargo's update reflects the company's growth outlook, driven by increasing DashPass membership penetration and expansion into new verticals beyond restaurant delivery. The firm cited accelerating user growth and third-quarter guidance that exceeded expectations, raising its 2025 and 2026 gross order value (GOV) estimates by 1% and 4% respectively. However, Wells Fargo expects DoorDash to maintain an "elevated pace of investments" across its portfolio, with the new price target based on 25 times the firm’s 2027 EBITDA estimate of $4.7 billion [2].

Institutional investors and hedge funds have recently added to or reduced their stakes in Adient. Dynamic Technology Lab Private Ltd acquired a new position in shares of Adient during the 1st quarter worth about $236,000. Royal Bank of Canada boosted its stake in shares of Adient by 11.6% during the 1st quarter. AQR Capital Management LLC boosted its stake in shares of Adient by 171.1% during the 1st quarter. 92.44% of the stock is owned by institutional investors and hedge funds [1].

Wells Fargo's update comes as Adient reported Q1 2025 earnings that beat market expectations, posting $0.69 EPS for the quarter, beating the consensus estimate of $0.36 by $0.33. The company had a negative net margin of 1.86% and a positive return on equity of 7.70%. The company had revenue of $3.61 billion during the quarter, compared to analysts' expectations of $3.39 billion. During the same quarter in the previous year, the company posted $0.54 EPS. The business's revenue for the quarter was down 3.7% compared to the same quarter last year [1].

References:
[1] https://www.marketbeat.com/instant-alerts/adient-adnt-to-release-earnings-on-wednesday-2025-07-30/
[2] https://ca.investing.com/news/analyst-ratings/wells-fargo-raises-doordash-stock-price-target-to-280-on-growth-outlook-93CH-4142676
[3] https://seekingalpha.com/news/4478677-adient-q3-2025-earnings-preview