Stifel initiates Cooper-Standard Holdings stock with Buy rating

Published 20/08/2025, 21:58
Stifel initiates Cooper-Standard Holdings stock with Buy rating

Investing.com - Cooper-Standard Holdings Inc. (NYSE:CPS) received a Buy rating initiation from Stifel on Wednesday, with analyst Nathan Janes setting a price target of $39.00. The stock, currently trading at $29.48, has shown remarkable momentum with a 92% gain over the past six months and is approaching its 52-week high of $30.82. According to InvestingPro data, the company maintains a "GOOD" overall financial health score.

The rating is based on 6x Stifel’s 2026 estimated EBITDA for the automotive parts supplier. Currently, Cooper-Standard shares are valued at 6.2x Stifel’s 2025 estimated EBITDA of $239.5 million, equivalent to 10.4x the firm’s 2026 adjusted EPS projection. The company’s current EV/EBITDA ratio stands at 7.3x, with last twelve months EBITDA at $216.4 million. Get deeper insights into CPS’s valuation metrics and 8 additional key ProTips with InvestingPro.

Stifel highlighted that Cooper-Standard management recently presented 2030 targets during its second-quarter earnings call, projecting EBITDA growth of at least 120% cumulatively over the next five years.

These targets include sealing revenue exceeding $1.8 billion with EBITDA margins above 13%, and fluids revenue of more than $2.0 billion with EBITDA margins above 16%.

Stifel estimates Cooper-Standard’s consolidated EBITDA target (assuming 1% corporate expense) will reach $510-$520 million in 2030, compared to $235 million at the midpoint of 2025 guidance, representing a 120% increase.

In other recent news, Cooper Standard reported its second-quarter earnings for 2025, delivering a surprising earnings per share (EPS) of $0.06. This result significantly exceeded the forecasted EPS of -$0.36. The company’s revenue also came in slightly above expectations, reaching $706 million compared to the anticipated $701 million. This earnings performance marks a notable achievement for Cooper Standard, given the prior projections. Analysts had expected a challenging quarter, but the results suggest a more positive outlook. The unexpected earnings beat led to a strong reaction in the market. These developments are part of a series of recent updates concerning the company.

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