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Strattec Security Corp. (STRT) Fundamental Analysis & AI Grade 2026

STRT Nasdaq Motor Vehicle Parts & Accessories WI CIK: 0000933034
Updated This Month • Analysis: May 9, 2026 • SEC Data: 2026-03-29
Combined AI Grade
B
75% Confidence
N/A
B
75% Conf
Pending
Analysis scheduled

📊 STRT Key Takeaways

Revenue: $427.6M
Net Margin: 3.9%
Free Cash Flow: $30.7M
Current Ratio: 2.63x
Debt/Equity: 0.00x
EPS: $4.04
AI Grade: B with 75% confidence
Strattec Security Corp. (STRT) receives a B fundamental grade with 75% confidence from our AI analysis based on SEC 10-K filings. With revenue of $427.6M, net profit margin of 3.9%, and return on equity (ROE) of 7.0%, Strattec Security Corp. demonstrates mixed fundamentals in the Automotive sector. Below is our complete STRT stock analysis for 2026.

Is Strattec Security Corp. (STRT) a Good Investment?

Claude

STRATTEC maintains a fortress balance sheet with zero debt and strong liquidity, generating solid free cash flow of $30.7M. However, declining net income and razor-thin profit margins (3.9% net, 4.8% operating) reflect the challenging economics of automotive supply, limiting fundamental investment appeal.

Strattec Security Corp. Key Strengths (STRT)

Claude
  • + Zero long-term debt with exceptional balance sheet strength (Debt/Equity 0.00x)
  • + Strong liquidity ratios (Current 2.63x, Quick 1.99x) and substantial cash reserves ($107M)
  • + Positive free cash flow generation ($30.7M) with 7.2% FCF margin

STRT Stock Risks: Strattec Security Corp. Investment Risks

Claude
  • ! Net income declining 1.2% YoY despite stable revenue, signaling deteriorating profitability
  • ! Extremely thin profit margins (3.9% net margin, 4.8% operating margin) typical of struggling supplier
  • ! Poor capital efficiency with low ROE (7%) and ROA (4.2%) in cyclical automotive industry

Key Metrics to Watch

Claude
  • * Operating margin recovery and gross margin expansion trends
  • * Year-over-year net income growth stabilization
  • * Free cash flow sustainability and capital deployment decisions

Strattec Security Corp. (STRT) Financial Metrics & Key Ratios

Revenue
$427.6M
Net Income
$16.7M
EPS (Diluted)
$4.04
Free Cash Flow
$30.7M
Total Assets
$399.5M
Cash Position
$107.0M

💡 AI Analyst Insight

Strong liquidity with a 2.63x current ratio provides a solid financial cushion.

STRT Profit Margin, ROE & Profitability Analysis

Gross Margin 16.8%
Operating Margin 4.8%
Net Margin 3.9%
ROE 7.0%
ROA 4.2%
FCF Margin 7.2%

STRT vs Automotive Sector: How Strattec Security Corp. Compares

How Strattec Security Corp. compares to Automotive sector averages

Net Margin
STRT 3.9%
vs
Sector Avg 6.0%
STRT Sector
ROE
STRT 7.0%
vs
Sector Avg 12.0%
STRT Sector
Current Ratio
STRT 2.6x
vs
Sector Avg 1.2x
STRT Sector
Debt/Equity
STRT 0.0x
vs
Sector Avg 1.0x
STRT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Strattec Security Corp. Stock Overvalued? STRT Valuation Analysis 2026

Based on fundamental analysis, Strattec Security Corp. has mixed fundamental signals relative to the Automotive sector in 2026.

Return on Equity
7.0%
Sector avg: 12%
Net Profit Margin
3.9%
Sector avg: 6%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 1x

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.

Strattec Security Corp. Balance Sheet: STRT Debt, Cash & Liquidity

Current Ratio
2.63x
Quick Ratio
1.99x
Debt/Equity
0.00x
Debt/Assets
33.1%
Interest Coverage
63.21x
Long-term Debt
N/A

STRT Revenue & Earnings Growth: 5-Year Financial Trend

STRT 5-year financial data: Year 2021: Revenue $485.3M, Net Income -$7.6M, EPS $-2.04. Year 2022: Revenue $485.3M, Net Income $22.5M, EPS $5.85. Year 2023: Revenue $492.9M, Net Income $7.0M, EPS $1.79. Year 2024: Revenue $537.8M, Net Income -$6.7M, EPS $-1.70. Year 2025: Revenue $565.1M, Net Income $16.3M, EPS $4.07.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Strattec Security Corp.'s revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.07 reflects profitable operations.

STRT Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
7.2%
Free cash flow / Revenue

STRT Quarterly Earnings & Performance

Quarterly financial performance data for Strattec Security Corp. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2026 $137.6M $3.2M $0.78
Q2 2026 $129.9M $1.3M $0.32
Q1 2026 $139.1M $3.7M $0.92
Q3 2025 $140.8M $1.5M $0.37
Q2 2025 $118.5M $1.0M $0.26
Q1 2025 $135.4M $3.7M $0.92
Q3 2024 $127.2M $1.5M $0.37
Q2 2024 $113.2M $1.0M $0.26

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Strattec Security Corp. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$36.7M
Cash generated from operations
Capital Expenditures
$5.9M
Investment in assets
Dividends Paid
$1.6M
Returned to shareholders

STRT SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Strattec Security Corp. (CIK: 0000933034)

📋 Recent SEC Filings

Date Form Document Action
May 28, 2026 8-K strt-20260528.htm View →
May 14, 2026 4 xslF345X06/ownership.xml View →
May 14, 2026 4 xslF345X06/ownership.xml View →
May 14, 2026 4 xslF345X06/ownership.xml View →
May 8, 2026 10-Q strt-20260329.htm View →

Frequently Asked Questions about STRT

What is the AI rating for STRT?

Strattec Security Corp. (STRT) has an AI grade of B with 75% confidence, based on fundamental analysis of SEC EDGAR filings.

What are STRT's key strengths?

Claude: Zero long-term debt with exceptional balance sheet strength (Debt/Equity 0.00x). Strong liquidity ratios (Current 2.63x, Quick 1.99x) and substantial cash reserves ($107M).

What are the risks of investing in STRT?

Claude: Net income declining 1.2% YoY despite stable revenue, signaling deteriorating profitability. Extremely thin profit margins (3.9% net margin, 4.8% operating margin) typical of struggling supplier.

What is STRT's revenue and growth?

Strattec Security Corp. reported revenue of $427.6M.

Does STRT pay dividends?

Strattec Security Corp. pays dividends, with $1.6M distributed to shareholders in the trailing twelve months.

Where can I find STRT SEC filings?

Official SEC filings for Strattec Security Corp. (CIK: 0000933034) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is STRT's EPS?

Strattec Security Corp. has a diluted EPS of $4.04.

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 grade reflects both perspectives for balanced insights.

What is STRT's fundamental grade?

Based on our AI fundamental analysis in May 2026, Strattec Security Corp. has a B grade with 75% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is STRT stock overvalued or undervalued?

Valuation metrics for STRT: ROE of 7.0% (sector avg: 12%), net margin of 3.9% (sector avg: 6%). Compare these metrics with sector averages to assess valuation.

What is STRT's AI grade for 2026?

Our dual AI analysis gives Strattec Security Corp. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is STRT's free cash flow?

Strattec Security Corp.'s operating cash flow is $36.7M, with capital expenditures of $5.9M. FCF margin is 7.2%.

How does STRT compare to other Automotive stocks?

Vs Automotive sector averages: Net margin 3.9% (avg: 6%), ROE 7.0% (avg: 12%), current ratio 2.63 (avg: 1.2).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 9, 2026 | Data as of: 2026-03-29 | Powered by Claude AI