- Sensata has reported some solid quarters, but the market hasn't liked management's conservative guidance for lower auto builds and inventory destocking.
- Not only has Sensata built a better EV portfolio than commonly appreciated, that portfolio includes attractive high-voltage components.
- Telematics, asset tracking, and commercial aerospace are all underappreciated potential growth drivers, with insurers likely to push for more vehicle tracking in exchange for rate relief.
- Sensata shares look undervalued on 5% long-term revenue growth and 10% long-term FCF growth, with 10% to 20% near-term upside.
For further details see:
Sensata Executing And Building A Long-Term Growth Story, But Still Undervalued