GNTX Stock Analysis — Gentex Corporation
Sector: Auto Components
AI Verdict
Gentex trades at 11.1x next year's earnings with nearly 16% expected EPS growth—cheap for the growth you're getting, and the entrenched OEM relationships make that growth outlook credible.
Competitive Moat
Gentex dominates the market for auto-dimming rearview mirrors and related vision systems, leveraging decades of manufacturing expertise and long-term OEM relationships to lock in recurring business. Their moat comes from proprietary electrochromic technology and integration into automaker supply chains, making it difficult for new entrants to displace them.
Summary
Gentex stands out for its proprietary auto-dimming mirror technology embedded in millions of vehicles worldwide.
Where It Stands
GNTX has a forward P/E of 11.1x, well below the industrials sector median of 20x, with 15.9% forward EPS growth and a trailing PEG ratio of 0.81 indicating growth is more than priced in.
Key Metrics
- Trailing P/E: 12.8x
- Forward P/E: 11.1x
- PEG Ratio: 0.81
- Earnings Growth: +0.2%
- Revenue Growth: +0.1%
- Dividend Yield: 0.02%
- 52-Week High: $29.38
- 52-Week Low: $20.48
Analyst Consensus
9 Buy · 6 Hold · 0 Sell (15 analysts)
Bull Case
With analysts expecting 15.9% EPS growth and the stock trading at just 11.1x forward earnings, you're getting above-average growth at a discount to the sector.
Bear Case
If the P/E multiple reverts from 12.8x to a lower single-digit level typical of commoditized suppliers, shares could lose 20–30% even if earnings hold up.
Catalyst to Watch
Watch for new OEM contract wins or product launches that could accelerate EPS growth above the current 15.9% consensus.