Stoneridge (SRI) AI Stock Analysis

• Market Cap: $158.30M
• Dividend Yield: N/A
• Average Volume (3M): 140.76K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.75
• Revenue Growth: -4.91%
• EPS Growth: -331.53%
• Country: US
• Employees: 4,450
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): -0.18
• Shares Outstanding: 28,016,932
• 10 Day Avg. Volume: 150,599
• 30 Day Avg. Volume: 140,758
• PEG Ratio: -0.05
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.19
• P/FCF Ratio: 7.38
• Enterprise Value/Market Cap: 2.14
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 1.86
• Enterprise Value/Ebitda: 41.30
• 1Y Price Target: $14.50
• Price Target Upside: 155.73% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.42
• Revenue Forecast (FY): $860.68M

• Rating: 45 Neutral
• Price Target: $5.50 ▼(-3.00% Downside)

Stoneridge's overall stock score is primarily impacted by its financial performance, which shows significant challenges in profitability and revenue growth. Technical analysis indicates bearish trends, and valuation metrics are unattractive due to negative earnings. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Record MirrorEye Sales

The record sales in the MirrorEye segment highlight strong product demand and market acceptance, which can drive sustained revenue growth and enhance competitive positioning.

New Business Awards

Securing significant new business awards indicates robust future revenue streams and strengthens Stoneridge's market position, supporting long-term growth.

Debt Reduction

Reducing debt enhances financial flexibility and lowers interest expenses, improving the company's balance sheet health and supporting sustainable growth.

Negative Factors

Profitability Challenges

Ongoing profitability issues can hinder reinvestment in growth initiatives and affect long-term financial stability, necessitating strategic improvements.

Declining Revenue

A decline in revenue growth may indicate market or operational challenges, impacting the company's ability to scale and maintain competitive advantage.

Foreign Currency Impact

Significant foreign currency impacts can reduce profitability and create volatility in financial performance, posing risks to long-term financial planning.

Stoneridge Business Overview & Revenue Model

Company Description

Stoneridge, Inc., together with its subsidiaries, designs and manufactures engineered electrical and electronic components, modules, and systems for the automotive, commercial, off-highway, motorcycle, and agricultural vehicle markets in North America, South America, Europe, and internationally. It operates in three segments: Control Devices, Electronics, and Stoneridge Brazil. The Control Devices segment offers sensors, switches, actuators, and connectors that monitor, measure, or activate specific functions within a vehicle. The Electronics segment designs and manufactures driver information systems, camera-based vision systems, connectivity, and compliance products. Its products collect, store, and display vehicle information, such as speed, pressure, maintenance data, trip information, operator performance, temperature, distance traveled, and driver messages related to vehicle performance. This segment's electronic control units regulate, coordinate, monitor, and direct the operation of the electrical system within a vehicle. The Stoneridge Brazil segment designs, manufactures, and sells vehicle tracking devices and monitoring services; vehicle security alarms and convenience accessories; in-vehicle audio and infotainment devices; and telematics solutions. It provides its products and systems to various original equipment manufacturers and Tier 1 customers, as well as aftermarket distributors and mass merchandisers for use in various vehicle platforms. Stoneridge, Inc. was founded in 1965 and is headquartered in Novi, Michigan.

How the Company Makes Money

Stoneridge generates revenue primarily through the sale of its electronic products and systems to automotive manufacturers and commercial vehicle companies. The company's revenue model is based on direct sales of its sophisticated technologies, which are integrated into vehicles for improved functionality and safety. Key revenue streams include design contracts, manufacturing agreements, and aftermarket sales for replacement parts and upgrades. Stoneridge also benefits from partnerships with major automotive manufacturers, which provide a steady demand for its innovative solutions. Additionally, the company may receive revenue from joint ventures and collaborations that expand its market reach and enhance its product offerings.

Stoneridge Financial Statement Overview

Summary

Stoneridge faces significant financial challenges, particularly in terms of profitability and revenue growth. The income statement shows declining revenue and negative profit margins, while the balance sheet indicates manageable leverage but negative return on equity. Cash flow improvements offer some optimism, with a positive growth rate in free cash flow, but historical volatility suggests potential instability.

Income Statement

Stoneridge's income statement shows significant challenges with declining revenue and negative profit margins. The TTM data indicates a sharp revenue decline of 40.6%, and both gross and net profit margins are negative, reflecting operational inefficiencies. Historical data shows fluctuating revenue growth, but profitability remains a concern with consistent net losses.

Balance Sheet

The balance sheet reveals a relatively low debt-to-equity ratio of 0.0416 in the TTM, indicating manageable leverage. However, the return on equity is negative, suggesting the company is not generating sufficient returns on shareholder investments. The equity ratio remains stable, but the negative ROE highlights profitability issues.

Cash Flow

Cash flow analysis shows improvement in free cash flow growth, with a positive growth rate of 35.68% in the TTM. The operating cash flow to net income ratio is positive, indicating some efficiency in cash generation relative to net income. However, historical volatility in free cash flow suggests potential instability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	874.36M	908.29M	975.82M	899.92M	770.46M	648.01M
Gross Profit	182.57M	189.25M	202.10M	174.93M	166.86M	154.20M
EBITDA	8.21M	-381.00K	45.06M	31.18M	52.10M	28.64M
Net Income	-32.04M	-16.52M	-5.18M	-14.06M	3.41M	-7.95M
Balance Sheet
Total Assets	632.08M	621.56M	679.90M	652.11M	665.40M	621.41M
Cash, Cash Equivalents and Short-Term Investments	53.99M	71.83M	40.84M	54.80M	85.55M	73.92M
Total Debt	180.66M	208.06M	203.01M	179.85M	184.12M	159.11M
Total Liabilities	380.88M	376.30M	392.18M	371.16M	369.45M	324.77M
Stockholders Equity	251.19M	245.26M	287.72M	280.94M	295.95M	296.63M
Cash Flow
Free Cash Flow	23.52M	23.45M	-33.55M	-24.80M	-63.28M	-3.82M
Operating Cash Flow	44.42M	47.75M	4.95M	6.81M	-36.25M	28.64M
Investing Cash Flow	-21.06M	-24.47M	-36.98M	-28.58M	28.04M	-33.88M
Financing Cash Flow	-27.65M	11.12M	17.48M	-7.30M	22.88M	6.51M

Stoneridge Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.67
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRI, the sentiment is Negative. The current price of 5.67 is below the 20-day moving average (MA) of 5.84, below the 50-day MA of 6.23, and below the 200-day MA of 6.30, indicating a bearish trend. The MACD of -0.08 indicates Negative momentum. The RSI at 40.83 is Neutral, neither overbought nor oversold. The STOCH value of 15.89 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SRI.

Stoneridge Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STRT	80 Outperform	$337.54M	14.00	10.85%	―	6.83%	46.38%
CAAS	69 Neutral	$130.64M	3.90	9.19%	―	16.72%	5.35%
HLLY	64 Neutral	$497.71M	-20.12	-5.54%	―	-3.20%	-257.73%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MPAA	59 Neutral	$247.41M	105.64	0.94%	―	6.72%	―
CVGI	48 Neutral	$55.10M	-0.91	-31.07%	―	-23.26%	-259.03%
SRI	45 Neutral	$158.30M	-4.91	-12.26%	―	-4.91%	-331.53%

Stoneridge Corporate Events

Stoneridge Amends Credit Agreement for Financial Relief

On November 5, 2025, Stoneridge announced an amendment to its credit agreement, providing covenant relief and reducing borrowing capacity as part of its strategic financial management. The company reported third-quarter 2025 results with sales of $210.3 million and a net loss of $9.4 million, while highlighting significant growth in its MirrorEye product line and new program awards totaling over $185 million in estimated lifetime revenue. Despite macroeconomic challenges, Stoneridge continues to focus on long-term growth through strategic initiatives and product innovations.