📊 GNTX Key Takeaways
Is GNTX a Good Investment? Thesis Analysis
Gentex demonstrates fortress fundamentals with a virtually debt-free balance sheet, exceptional free cash flow generation ($458M, 18.1% margin), and strong profitability metrics (18.7% operating margin). However, net income declined 4.9% YoY despite 9.6% revenue growth, signaling margin compression that requires monitoring to confirm stabilization or reversal.
Gentex delivers solid revenue growth with elite margins, high returns on capital, and a near debt-free balance sheet generating strong free cash flow. The slight YoY decline in net income/EPS suggests some margin or non-operating pressure, but cash conversion and liquidity remain exceptional, supporting continued investment and shareholder returns.
Why Buy GNTX? Key Strengths
- Fortress balance sheet with 0.01x debt/equity ratio and 789.9x interest coverage
- Exceptional free cash flow generation of $458M with strong 18.1% FCF margin
- Solid profitability: 18.7% operating margin, 15.2% net margin, and 15.5% ROE
- Excellent liquidity: 2.91x current ratio and minimal capital constraints
- Strong operating and net margins with high ROE/ROA
- Robust free cash flow and high cash conversion
- Excellent balance sheet with minimal debt and strong liquidity
GNTX Investment Risks to Consider
- Net income declining 4.9% YoY despite 9.6% revenue growth indicates margin compression and operational headwinds
- EPS down 1.1% YoY suggests profitability challenges despite revenue growth acceleration
- Automotive sector exposure creates cyclical downside risk and customer concentration with major OEMs
- Auto-cycle exposure and OEM/customer concentration risk
- Margin pressure from input costs, pricing, or product mix shifts
- Technology/competition risk in mirrors/electronics impacting content per vehicle
Key Metrics to Watch
- Gross margin trend - whether compression stabilizes or expands
- Operating margin sustainability - critical to confirm earnings inflection
- Free cash flow conversion ratio - monitor if FCF generation sustains amid earnings pressure
- Gross margin
- Free cash flow margin
GNTX Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 2.91x current ratio provides a solid financial cushion.
GNTX Profitability Ratios
GNTX vs Default Sector
How GENTEX CORP compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is GNTX Overvalued or Undervalued?
Based on fundamental analysis, GENTEX CORP has mixed fundamental signals relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
GNTX Balance Sheet & Liquidity
GNTX 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: GENTEX CORP's revenue has grown significantly by 36% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.84 reflects profitable operations.
GNTX Growth Metrics (YoY)
GNTX Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $608.5M | $101.0M | $0.46 |
| Q2 2025 | $572.9M | $86.0M | $0.37 |
| Q1 2025 | $576.8M | N/A | $0.42 |
| Q3 2024 | $575.8M | $104.7M | $0.45 |
| Q2 2024 | $572.9M | $86.0M | $0.37 |
| Q1 2024 | $550.8M | $97.6M | $0.42 |
| Q3 2023 | $493.6M | $72.7M | $0.31 |
| Q2 2023 | $463.4M | $72.4M | $0.31 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
GNTX Capital Allocation
GNTX SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for GENTEX CORP (CIK: 0000355811)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GNTX
What is the AI rating for GNTX?
GENTEX CORP (GNTX) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 78% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GNTX's key strengths?
Claude: Fortress balance sheet with 0.01x debt/equity ratio and 789.9x interest coverage. Exceptional free cash flow generation of $458M with strong 18.1% FCF margin. ChatGPT: Strong operating and net margins with high ROE/ROA. Robust free cash flow and high cash conversion.
What are the risks of investing in GNTX?
Claude: Net income declining 4.9% YoY despite 9.6% revenue growth indicates margin compression and operational headwinds. EPS down 1.1% YoY suggests profitability challenges despite revenue growth acceleration. ChatGPT: Auto-cycle exposure and OEM/customer concentration risk. Margin pressure from input costs, pricing, or product mix shifts.
What is GNTX's revenue and growth?
GENTEX CORP reported revenue of $2.5B.
Does GNTX pay dividends?
GENTEX CORP pays dividends, with $106.9M distributed to shareholders in the trailing twelve months.
Where can I find GNTX SEC filings?
Official SEC filings for GENTEX CORP (CIK: 0000355811) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GNTX's EPS?
GENTEX CORP has a diluted EPS of $1.74.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GNTX a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, GENTEX CORP has a BUY rating with 78% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is GNTX stock overvalued or undervalued?
Valuation metrics for GNTX: ROE of 15.5% (sector avg: 15%), net margin of 15.2% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.
Should I buy GNTX stock in 2026?
Our dual AI analysis gives GENTEX CORP a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is GNTX's free cash flow?
GENTEX CORP's operating cash flow is $587.1M, with capital expenditures of $129.1M. FCF margin is 18.1%.
How does GNTX compare to other Default stocks?
Vs Default sector averages: Net margin 15.2% (avg: 12%), ROE 15.5% (avg: 15%), current ratio 2.91 (avg: 1.8).