PHINIA (NYSE:PHIN) Releases Quarterly Earnings Results, Misses Estimates By $0.05 EPS

PHINIA (NYSE:PHIN) released its quarterly earnings results on Thursday. The company reported $1.53 earnings per share for the quarter, missing the consensus estimate of $1.58 by ($0.05), FiscalAI reports. The company had revenue of $940.00 million for the quarter, compared to analysts’ expectations of $918.83 million. PHINIA had a net margin of 3.96% and a return on equity of 13.23%.

Here are the key takeaways from PHINIA’s conference call:

• Second-quarter results exceeded the prior year: sales rose 5.6% to $940 million, adjusted EBITDA increased 3% to $130 million, and adjusted EPS climbed 20.5% to $1.53. Both Fuel Systems and Aftermarket delivered year-over-year revenue growth.
• PHINIA agreed to acquire Stoba Group for approximately six times EBITDA, adding about $80 million in third-party revenue and $25 million in adjusted EBITDA on a run-rate basis. Management expects the deal to expand exposure to off-highway, industrial, aerospace and defense, and semiconductor equipment markets, with closing expected in the fourth quarter.
• Strong cash generation and leverage support continued capital returns and M&A flexibility. The company generated $74 million of adjusted free cash flow in the quarter, ended with $820 million of liquidity and 1.3x net leverage, and returned $53 million through dividends and share repurchases.
• PHINIA narrowed its 2026 revenue outlook while maintaining the midpoint, but reduced adjusted EBITDA guidance to $485 million-$515 million and adjusted free cash flow guidance to $210 million-$250 million. Management cited foreign-exchange effects, tariff recoveries, product mix and higher incentive compensation as margin pressures, while light-vehicle weakness in China remains a concern.

PHINIA Stock Down 16.8%

PHINIA stock traded down $13.81 during midday trading on Thursday, hitting $68.32. The stock had a trading volume of 481,361 shares, compared to its average volume of 388,512. The business has a fifty day moving average price of $79.49 and a 200 day moving average price of $74.28. PHINIA has a 12 month low of $48.94 and a 12 month high of $86.93. The stock has a market cap of $2.53 billion, a P/E ratio of 19.05 and a beta of 1.13. The company has a current ratio of 1.82, a quick ratio of 1.32 and a debt-to-equity ratio of 0.62.

PHINIA Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 23rd. Investors of record on Tuesday, June 9th were paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date was Tuesday, June 9th. PHINIA’s dividend payout ratio (DPR) is 33.52%.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on PHIN shares. Zacks Research downgraded PHINIA from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, June 30th. Wall Street Zen upgraded shares of PHINIA from a “buy” rating to a “strong-buy” rating in a report on Saturday, May 2nd. UBS Group raised their price objective on PHINIA from $76.00 to $81.00 and gave the company a “neutral” rating in a research report on Thursday, July 9th. Weiss Ratings raised PHINIA from a “buy (b-)” rating to a “buy (b)” rating in a research report on Tuesday, July 21st. Finally, KeyCorp began coverage on PHINIA in a report on Friday, June 12th. They issued an “overweight” rating and a $105.00 price target for the company. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $75.67.

Insider Buying and Selling

In other news, VP Michael Coetzee sold 1,250 shares of PHINIA stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $80.61, for a total value of $100,762.50. Following the completion of the transaction, the vice president owned 27,009 shares in the company, valued at approximately $2,177,195.49. This trade represents a 4.42% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Samantha Pombier sold 2,227 shares of PHINIA stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $82.36, for a total value of $183,415.72. Following the completion of the transaction, the vice president owned 6,637 shares of the company’s stock, valued at approximately $546,623.32. The trade was a 25.12% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 2.20% of the company’s stock.

Institutional Trading of PHINIA

Institutional investors and hedge funds have recently modified their holdings of the business. ION Fund Management Ltd acquired a new position in shares of PHINIA in the 4th quarter valued at about $32,285,000. Freestone Grove Partners LP lifted its holdings in PHINIA by 1,206.1% in the fourth quarter. Freestone Grove Partners LP now owns 557,097 shares of the company’s stock worth $34,924,000 after acquiring an additional 514,442 shares during the last quarter. UBS Group AG lifted its holdings in PHINIA by 222.9% in the third quarter. UBS Group AG now owns 466,053 shares of the company’s stock worth $26,789,000 after acquiring an additional 321,708 shares during the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in PHINIA in the third quarter valued at approximately $8,565,000. Finally, Qube Research & Technologies Ltd grew its holdings in shares of PHINIA by 64.4% during the third quarter. Qube Research & Technologies Ltd now owns 378,477 shares of the company’s stock valued at $21,755,000 after purchasing an additional 148,210 shares during the last quarter. 90.94% of the stock is owned by institutional investors and hedge funds.

More PHINIA News

Here are the key news stories impacting PHINIA this week:

• Positive Sentiment: Second-quarter sales rose 5.6% year over year to $940 million, exceeding the analyst consensus of $918.83 million. Adjusted earnings were $1.53 per share, up from $1.27 a year earlier, although still below expectations. PHINIA Reports Second Quarter 2026 Results
• Positive Sentiment: PHINIA entered a definitive agreement to acquire stoba Group, a supplier of precision components and customized manufacturing solutions. The transaction is expected to close in the fourth quarter of 2026, subject to regulatory and customary closing conditions, and could strengthen PHINIA’s technology and manufacturing capabilities. PHINIA Reports Second Quarter 2026 Results
• Neutral Sentiment: The company returned $53 million to shareholders during the quarter through $42 million of share repurchases and $11 million of dividends. PHINIA ended the period with $370 million in cash and $1.019 billion in total debt.
• Negative Sentiment: Adjusted earnings of $1.53 per share missed the $1.58 consensus estimate. Reported net earnings declined to $40 million from $46 million a year earlier, while diluted EPS was $1.05. Phinia Misses Q2 Earnings Estimates
• Negative Sentiment: PHINIA’s 2026 revenue guidance of $3.57 billion to $3.67 billion is centered slightly below the $3.7 billion analyst estimate. Full-year net earnings guidance is $155 million to $180 million, adding to concerns about profitability and the impact of the earnings miss.

About PHINIA

PHINIA Inc engages in the development, design, and manufacture of integrated components and systems that optimize performance, increase efficiency, and reduce emissions in combustion and hybrid propulsion for commercial and light vehicles, and industrial applications. The company operates through Fuel Systems and Aftermarket segments. The Fuel Systems segment provides advanced fuel injection systems, including pumps, injectors, fuel rail assemblies, and engine control modules; fuel delivery modules; canisters; sensors; and electronic control modules.