(STRT) Strattec Security - Overview
Sector: Consumer Cyclical | Industry: Auto Parts | Exchange: NASDAQ (USA) | Market Cap: 295m USD | Total Return: 35.9% in 12m
Avg Turnover: 6.42M
Qual. Beats: 0
Rev. Trend: 98.5%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Strattec Security Corporation (STRT) specializes in the design and production of automotive access and security solutions, ranging from traditional mechanical locks to advanced digital and phone-based entry systems. Its product portfolio includes power liftgates, electronic shifters, and steering wheel controls, serving original equipment manufacturers (OEMs) and the automotive aftermarket. The company operates within the capital-intensive automotive parts sector, where profitability is closely tied to global vehicle production volumes and long-term OEM contracts.
As the industry transitions toward software-defined vehicles, Strattecs shift from purely mechanical components to electronic user interface controls aligns with the increasing demand for advanced driver-assistance integration. Historically, suppliers in this sub-industry face significant pressure to maintain margins amidst fluctuating raw material costs and evolving technological standards. You may find further insights into these industry trends by reviewing the data on ValueRay.
Headquartered in Milwaukee and founded in 1908, the company leverages a century of engineering experience to maintain its position in the North American and international transportation markets. Its business model relies on a mix of direct OEM sales and a broad distribution network for service parts.
- North American light truck production volumes dictate primary revenue and manufacturing utilization
- Adoption of digital keys and power liftgate systems increases average content per vehicle
- Fluctuations in raw material costs for zinc and aluminum impact gross margins
- Concentration of revenue with Ford, General Motors, and Stellantis creates significant customer risk
- Expansion into non-automotive access control markets provides revenue diversification and growth potential
| Net Income: 25.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 0.79 > 1.0 |
| NWC/Revenue: 32.49% < 20% (prev 29.47%; Δ 3.02% < -1%) |
| CFO/TA 0.17 > 3% & CFO 66.8m > Net Income 25.0m |
| Net Debt (-98.0m) to EBITDA (49.9m): -1.96 < 3 |
| Current Ratio: 2.63 > 1.5 & < 3 |
| Outstanding Shares: last quarter (4.13m) vs 12m ago 1.18% < -2% |
| Gross Margin: 16.76% > 18% (prev 0.14%; Δ 1.66k% > 0.5%) |
| Asset Turnover: 147.3% > 50% (prev 143.6%; Δ 3.75% > 0%) |
| Interest Coverage Ratio: 64.94 > 6 (EBITDA TTM 49.9m / Interest Expense TTM 534k) |
| A: 0.47 (Total Current Assets 304.2m - Total Current Liabilities 115.8m) / Total Assets 399.5m |
| B: 0.72 (Retained Earnings 286.0m / Total Assets 399.5m) |
| C: 0.09 (EBIT TTM 34.7m / Avg Total Assets 393.5m) |
| D: 2.05 (Book Value of Equity 270.9m / Total Liabilities 132.4m) |
| Altman-Z'' = 8.17 = AAA |
| DSRI: 0.82 (Receivables 112.1m/131.5m, Revenue 579.6m/556.1m) |
| GMI: 0.83 (GM 16.76% / 13.98%) |
| AQI: 1.04 (AQ_t 0.06 / AQ_t-1 0.06) |
| SGI: 1.04 (Revenue 579.6m / 556.1m) |
| TATA: -0.10 (NI 25.0m - CFO 66.8m) / TA 399.5m) |
| Beneish M = -3.38 (Cap -4..+1) = AA |
As of May 25, 2026, the stock is trading at USD 72.44 with a total of 72,695 shares traded.
Over the past week, the price has changed by +8.26%,
over one month by -5.23%,
over three months by -18.42% and
over the past year by +35.94%.
Strattec Security has received a consensus analysts rating of 5.00. Therefore, it is recommended to buy STRT.
- StrongBuy: 1
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 86.5 | 19.4% |
P/E Trailing = 11.6568
P/E Forward = 10.7643
P/S = 0.5093
P/B = 1.1721
P/EG = 1.0759
Revenue TTM = 579.6m USD
EBIT TTM = 34.7m USD
EBITDA TTM = 49.9m USD
Long Term Debt = 8.00m USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.00m USD (from shortTermDebt, last quarter)
Debt = 9.00m USD (corrected: LT Debt 8.00m + ST Debt 1.00m)
Net Debt = -98.0m USD (calculated: Debt 9.00m - CCE 107.0m)
Enterprise Value = 197.2m USD (295.2m + Debt 9.00m - CCE 107.0m)
Interest Coverage Ratio = 64.94 (Ebit TTM 34.7m / Interest Expense TTM 534k)
EV/FCF = 3.41x (Enterprise Value 197.2m / FCF TTM 57.9m)
FCF Yield = 29.36% (FCF TTM 57.9m / Enterprise Value 197.2m)
FCF Margin = 9.99% (FCF TTM 57.9m / Revenue TTM 579.6m)
Net Margin = 4.31% (Net Income TTM 25.0m / Revenue TTM 579.6m)
Gross Margin = 16.76% ((Revenue TTM 579.6m - Cost of Revenue TTM 482.5m) / Revenue TTM)
Gross Margin QoQ = 16.46% (prev 16.52%)
Tobins Q-Ratio = 0.49 (Enterprise Value 197.2m / Total Assets 399.5m)
Interest Expense / Debt = 5.93% (Interest Expense 534k / Debt 9.00m)
Taxrate = 25.10% (1.28m / 5.11m)
NOPAT = 26.0m (EBIT 34.7m * (1 - 25.10%))
Current Ratio = 2.63 (Total Current Assets 304.2m / Total Current Liabilities 115.8m)
Debt / Equity = 0.04 (Debt 9.00m / totalStockholderEquity, last quarter 240.5m)
Debt / EBITDA = -1.96 (Net Debt -98.0m / EBITDA 49.9m)
Debt / FCF = -1.69 (Net Debt -98.0m / FCF TTM 57.9m)
Total Stockholder Equity = 232.4m (last 4 quarters mean from totalStockholderEquity)
RoA = 6.35% (Net Income 25.0m / Total Assets 399.5m)
RoE = 10.75% (Net Income TTM 25.0m / Total Stockholder Equity 232.4m)
RoCE = 14.43% (EBIT 34.7m / Capital Employed (Equity 232.4m + L.T.Debt 8.00m))
RoIC = 14.61% (NOPAT 26.0m / Invested Capital 177.7m)
WACC = 13.22% (E(295.2m)/V(304.2m) * Re(13.49%) + D(9.00m)/V(304.2m) * Rd(5.93%) * (1-Tc(0.25)))
Discount Rate = 13.49% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 100.00 | Cagr: 1.49%
[DCF] Terminal Value 61.89% ; FCFF base≈56.0m ; Y1≈60.4m ; Y5≈74.0m
[DCF] Fair Price = 170.4 (EV 614.1m - Net Debt -98.0m = Equity 712.0m / Shares 4.18m; r=13.22% [WACC]; 5y FCF grow 9.06% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -0.43 | # QB: 0
Revenue Correlation: 98.53 | Revenue CAGR: 6.31% | SUE: -0.69 | # QB: 0
EPS next Quarter (2026-09-30): EPS=1.54 | Chg30d=-5.23% | Revisions=+0% | Analysts=2
EPS current Year (2026-06-30): EPS=6.19 | Chg30d=-1.12% | Revisions=-33% | GrowthEPS=+15.1% | GrowthRev=+1.7%
EPS next Year (2027-06-30): EPS=5.63 | Chg30d=-13.64% | Revisions=-33% | GrowthEPS=-9.0% | GrowthRev=+0.9%
[Analyst] Revisions Ratio: -33%