Dana Incorporated (DAN)
NYSE:DAN
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Dana Incorporated
(NYSE:DAN)
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Rating:62Neutral
Price Target:
$35.00
▲(4.79% Upside)
Action:ReiteratedDate:03/25/26
The score is driven by strong forward-looking profitability/cash-flow messaging and deleveraging plans from the earnings call, plus supportive price trend and momentum. Offsetting these positives are weaker recent financial performance (declining revenue and inconsistent net profitability) and a demanding valuation (high P/E with only modest dividend support).
Positive Factors
Cash Generation
Sustained, record-level free cash flow and consistently positive operating cash flow give Dana durable internal funding to support capex for electrified products, accelerate deleveraging, and finance buybacks/dividends without heavy external financing, improving long-term resilience.
Negative Factors
Revenue Weakness / Flat Top Line
Recent multi-year revenue declines and management's roughly flat 2026 revenue guidance indicate growth is not yet self-sustaining. Reliance on cost cuts and mix to drive profits leaves the business exposed if OEM demand, platform awards, or aftermarket expansion fail to accelerate.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation
Sustained, record-level free cash flow and consistently positive operating cash flow give Dana durable internal funding to support capex for electrified products, accelerate deleveraging, and finance buybacks/dividends without heavy external financing, improving long-term resilience.
Read all positive factors
Dana Incorporated (DAN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.63B
Dividend Yield1.7%
Average Volume (3M)1.46M
Price to Earnings (P/E)38.9
Beta (1Y)1.30
Revenue Growth-18.23%
EPS GrowthN/A
CountryUS
Employees39,300
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Parts
Share Statistics
EPS (TTM)0.36
Shares Outstanding108,642,940
10 Day Avg. Volume1,508,494
30 Day Avg. Volume1,455,762
Financial Highlights & Ratios
PEG Ratio-0.15
Price to Book (P/B)3.84
Price to Sales (P/S)0.44
P/FCF Ratio11.10
Enterprise Value/Market Cap2.07
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/Ebitda15.23
Forecast
1Y Price Target
$39.60Price Target Upside18.56% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)2.63
Revenue Forecast (FY)$7.58B
Dana Incorporated Business Overview & Revenue Model
Company Description
Dana Incorporated provides power-conveyance and energy-management solutions for vehicles and machinery in North America, Europe, South America, and the Asia Pacific. It operates in four segments: Light Vehicle Drive Systems, Commercial Vehicle Dri...
How the Company Makes Money
Dana primarily makes money by selling engineered components and complete drivetrain/electrification systems to OEM customers. Its revenue model is largely high-volume, program-based supply: Dana is awarded a position on a customer vehicle or equip...
Dana Incorporated Earnings Call Summary
Earnings Call Date:Feb 18, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 29, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational and financial improvement: significant margin expansion, sizable cost savings delivery, record/high free cash flow, substantial deleveraging, and an accelerated capital-return program. These positives were tempered by continuing top-line pressure from weaker light- and commercial-vehicle demand, EV program volatility, and some near-term interest, tariff and divestiture-related impacts. Management framed 2026 guidance as broadly stable revenue with materially higher profitability and laid out ambitious 2030 targets that lean heavily on continued cost and manufacturing execution plus targeted growth initiatives.Positive Updates
Margin Expansion — Fourth Quarter
Q4 adjusted EBITDA margin of 11.1%, a 640 basis-point improvement vs. prior-year Q4; Q4 adjusted EBITDA of $208 million. Management noted Q4 results were $10 million better than preannouncement (40 bps higher).
Negative Updates
Revenue Decline — Full Year
Full-year 2025 sales of $7.5 billion, down $234 million vs. 2024 (continuing operations basis); volume and mix reduced full-year sales by $464 million, reflecting weakening demand across light-vehicle and commercial-vehicle end markets.
Read all updates
Q4-2025 Updates
Positive
Negative
Margin Expansion — Fourth Quarter
Q4 adjusted EBITDA margin of 11.1%, a 640 basis-point improvement vs. prior-year Q4; Q4 adjusted EBITDA of $208 million. Management noted Q4 results were $10 million better than preannouncement (40 bps higher).
Read all positive updates
Company Guidance
Management reiterated 2026 guidance of roughly $7.5 billion in revenue, adjusted EBITDA of about $800 million (midpoint implying ~10–11% margin, ~10.6% said), diluted adjusted EPS of ~$2.50 using ~109 million shares, and adjusted free cash flow of ~ $300 million; the 2026 P&L walk assumes roughly +$20M volume/mix, +$100M performance, +$65M cost savings (including elimination of ~$40M post‑divestiture stranded costs), a ~$10M tariff tailwind and a ~$15M commodity headwind, with capex ~ $325M. They expect net interest ≈ $70M (down ≈$95M vs 2025), taxes ≈ $100M (down ≈$75M), working capital to be a ~$25M source and one‑time costs about $30M lower. Balance‑sheet metrics post Off‑Highway sale include ~$659M cash, total liquidity ≈ $1.8B (revolver ≈ $1.1B), average cash targeted ≈ $400M, total debt reduced by ≈ $1.9B, first maturity ~2029 (~$200M) and average borrowing rate ≈ 6%, with net leverage <1x through 2026. Longer‑term Dana 2030 targets call for ~ $10B revenue, adjusted EBITDA margins of ~14–15% (~+~400 bps), adjusted free cash flow ≈ 6% of revenue, $2.0B of share repurchases through 2030 (≈$650M completed in 2025; $300M targeted in 2026), and a 20% dividend increase to $0.12/quarter.Dana Incorporated Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
41
Neutral
Cash Flow
62
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 7.50B | 10.28B | 10.55B | 10.16B | 8.95B |
| Gross Profit | 602.00M | 876.00M | 900.00M | 763.00M | 837.00M |
| EBITDA | 570.00M | 743.00M | 741.00M | 635.00M | 742.00M |
| Net Income | 85.00M | -57.00M | 38.00M | -242.00M | 197.00M |
Balance Sheet | |||||
| Total Assets | 7.81B | 7.49B | 7.96B | 7.45B | 7.63B |
| Cash, Cash Equivalents and Short-Term Investments | 476.00M | 494.00M | 529.00M | 425.00M | 285.00M |
| Total Debt | 3.52B | 2.91B | 2.98B | 2.72B | 2.67B |
| Total Liabilities | 6.89B | 5.90B | 6.14B | 5.65B | 5.46B |
| Stockholders Equity | 861.00M | 1.33B | 1.57B | 1.55B | 1.92B |
Cash Flow | |||||
| Free Cash Flow | 298.00M | 70.00M | -25.00M | 209.00M | -211.00M |
| Operating Cash Flow | 512.00M | 450.00M | 476.00M | 649.00M | 158.00M |
| Investing Cash Flow | -222.00M | -352.00M | -528.00M | -426.00M | -293.00M |
| Financing Cash Flow | -371.00M | -90.00M | 160.00M | -42.00M | -127.00M |
Dana Incorporated Technical Analysis
Positive
33.40
Price Trends
32.44
Positive
27.90
Positive
23.22
Positive
Market Momentum
0.29
Negative
53.82
Neutral
76.82
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DAN, the sentiment is Positive. The current price of 33.4 is above the 20-day moving average (MA) of 32.57, above the 50-day MA of 32.44, and above the 200-day MA of 23.22, indicating a bullish trend. The MACD of 0.29 indicates Negative momentum. The RSI at 53.82 is Neutral, neither overbought nor oversold. The STOCH value of 76.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DAN.
Dana Incorporated Risk Analysis
Dana Incorporated disclosed 33 risk factors in its most recent earnings report. Dana Incorporated reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Dana Incorporated Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $9.69B | 13.20 | 34.97% | 1.07% | -4.21% | -0.45% | |
72 Outperform | $6.01B | 14.06 | 8.79% | 2.63% | -1.90% | -13.86% | |
72 Outperform | $2.45B | 12.87 | 13.90% | 0.57% | -4.03% | -39.51% | |
63 Neutral | $3.50B | 11.23 | -39.65% | 1.49% | -1.09% | 56.16% | |
62 Neutral | $3.63B | 38.91 | -2.91% | 1.70% | -18.23% | ― | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
48 Neutral | $1.60B | ― | -17.47% | ― | -1.04% | -1510.41% |
* Consumer Cyclical Sector Average
DAN
Dana Incorporated
33.40
22.75
213.64%
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21.16
30.14%
ADNT
Adient
20.37
9.39
85.52%
GTX
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10.50
132.83%
Dana Incorporated Corporate Events
Business Operations and StrategyStock Buyback
Dana Unveils 2030 Growth and Profitability Strategy
Positive
Mar 25, 2026
On March 25, 2026, Dana Incorporated hosted its 2026 Capital Markets Day in New York City, where senior leadership outlined “Dana 2030,” a long-term plan aimed at accelerating profitable growth and reinforcing its competitive position....
Business Operations and StrategyExecutive/Board Changes
Dana Incorporated Announces CEO Transition to Byron Foster
Positive
Feb 12, 2026
On February 12, 2026, Dana Incorporated announced that its board has appointed Byron Foster as president and chief executive officer, effective July 1, 2026, marking a planned leadership transition at the mobility supplier. Foster was simultaneous...
Business Operations and StrategyExecutive/Board Changes
Dana Sets New Long-Term Performance-Based Stock Incentives
Positive
Feb 6, 2026
On February 6, 2026, Dana Incorporated’s board approved a grant of performance-vested restricted stock units to eligible participants, including the company’s named executive officers other than CEO Bruce McDonald, under its 2021 Omnib...
Business Operations and StrategyStock BuybackFinancial DisclosuresM&A Transactions
Dana Announces Strong 2025 Results and 2026 Outlook
Positive
Jan 21, 2026
On January 21, 2026, Dana Incorporated reported preliminary full-year 2025 financial results at the high end of its expectations, including approximately $7.5 billion in sales, about $600 million in adjusted EBITDA (8% of sales), and roughly $315 ...
Business Operations and StrategyPrivate Placements and Financing
Dana Incorporated completes major senior notes redemption
Positive
Jan 8, 2026
On January 7, 2026, Dana Incorporated and its subsidiary Dana Financing Luxembourg S.à r.l. settled previously announced cash tender offers for multiple tranches of U.S. dollar- and euro-denominated senior notes maturing between 2027 and 2032...
Business Operations and StrategyM&A Transactions
Dana Sells Off-Highway Unit to Refocus Business
Positive
Jan 2, 2026
On January 1, 2026, Dana Incorporated completed the previously announced sale of its Off-Highway business to Allison Transmission Holdings for approximately $2.7 billion in cash, a deal valued at 7.5 times the unit’s expected 2025 adjusted E...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.