CTS Corporation (CTS) AI Stock Analysis

CTS Corporation is a global manufacturer and distributor of sensors, actuators, and connectivity components. Established in 1896 and headquartered in Lisle, Illinois, the company provides sensors and actuators for passenger and commercial vehicles to support performance and safety. It also supplies connectivity components for telecommunications infrastructure, information technology, and high-speed applications. Additionally, CTS offers switches, temperature sensors, potentiometers, and fabricated piezoelectric materials used in medical devices, industrial equipment, aerospace systems, and defense applications. Products are distributed worldwide through sales engineers, independent manufacturers' representatives, and distributors across North America, Europe, and Asia.

Revenue expanded 20.9% in FY2021 to $512.9M and 14.4% in FY2022 to $586.9M, before declining 6.2% to $550.4M in FY2023 and 6.3% to $515.5M in FY2024. In FY2025, revenue recovered with 5.2% growth to $542.2M, alongside a gross margin of 38.5% and net income of $65.3M. TTM revenue reached $564.2M with an operating margin of 17.4% and diluted EPS of $2.39. For the latest quarter ending June 30, 2026, quarterly revenue grew 7.0% year-over-year, while quarterly earnings increased 6.5%.

As of June 30, 2026, CTS held $107.5M in cash and short-term investments against total debt of $115.7M, resulting in net debt of $8.1M. The current ratio stood at 2.61, and debt-to-equity was 0.20 on shareholders' equity of $572.8M. In FY2025, operating cash flow reached $102.1M and free cash flow was $86.4M. Capital expenditures totaled $15.7M, while CTS returned cash to shareholders through $56.2M in share buybacks and $4.8M in dividends paid.

CTS shares closed at $54.95 on October 16, 2026, representing a 1-year return of 34.4% compared to 16.8% for the S&P 500 (SPY). The company trades at a trailing P/E of 23.0x, below the median of its US-listed Technology peers of 28.1x. Its forward P/E of 19.8x sits slightly above the peer median of 18.8x, while its EV-to-EBITDA of 12.4x is lower than the peer median of 16.6x. CTS has an enterprise value of $1.67B and a market cap of $1.57B.

CTS pays a quarterly dividend with an annual forward payout of $0.16 per share, providing a dividend yield of 0.29%. The payout ratio is 6.2%, supported by 41 consecutive years of dividend payments. However, the 5-year annualized dividend growth rate is 0.0%, and total dividends paid in FY2025 amounted to $4.8M.

Wall Street sentiment includes 1 Strong Buy and 1 Buy rating. The mean price target is $70.67, which is 28.6% above the last close of $54.95. For the fiscal year ending December 31, 2026, consensus estimates anticipate revenue of $573.5M and EPS of $2.65, reflecting 19.0% EPS growth. CTS beat EPS estimates in 3 of the last 4 quarters, and its next earnings date is October 27, 2026.

This page is an AI-written research summary of CTS Corporation (CTS). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: CTS income statement, CTS balance sheet, CTS key metrics, CTS analyst forecast, CTS chart. See the CTS stock overview for the latest quote and news.