Dauch Corporation (DCH) AI Stock Analysis
DCH AI stock analysis summary
AI ResearchDauch Corporation (DCH) is an automotive supplier designing driveline and metal forming technologies for internal combustion, hybrid, and electric vehicles. For the trailing twelve months ended June 30, 2026, the company generated $8.22B in revenue but posted a net profit margin of -2.0% and an EPS of -$1.01. With total debt of $5.29B against $880.8M in cash, the company trades at a forward P/E of 5.9x.
- Market cap
- $1.15B
- Revenue (TTM)
- $8.22B
- P/E
- — fwd 5.9x
- 1Y return
- -12.3% S&P 500 16.8%
- Avg. target
- $8.63 78.4% vs last close
Bull case
- The stock trades at a forward P/E of 5.9x and EV/EBITDA of 7.7x, both well below the US-listed Consumer Cyclical median values of 14.1x and 11.1x.
- Wall Street analysts have a mean price target of $8.63, implying 78.4% upside compared to the close of $4.84.
- Quarterly revenue grew 92.4% year-over-year in the period ended June 30, 2026, while the company beat analyst EPS estimates in each of the last 4 quarters.
Bear case
- The company holds $5.29B in total debt and $4.41B in net debt, creating a high debt-to-equity ratio of 3.51.
- Net profitability remains negative with a TTM net profit margin of -2.0% and an annual net loss of -$19.7M in FY2025.
- The stock has underperformed broader markets, dropping 24.5% year-to-date and 54.4% over five years while trading 22.8% below its 200-day moving average.
What Dauch does
Dauch Corporation, formerly known as American Axle & Manufacturing Holdings, Inc. until January 2026, designs, engineers, and manufactures driveline and metal forming technologies for electric, hybrid, and internal combustion vehicles. The company operates in two segments: Driveline and Metal Forming. The Driveline segment provides front and rear axles, driveshafts, differential assemblies, clutch modules, balance shaft systems, disconnecting driveline technology, and electric and hybrid driveline systems. The Metal Forming segment manufactures engine, transmission, driveline, and safety-critical components for light, commercial, and off-highway vehicles, alongside industrial markets. It serves customers across North America, Asia, Europe, and South America.
Growth and profitability
Dauch Corporation generated $5.16B in revenue in FY2021, growing to $5.80B in FY2022, $6.08B in FY2023, and peaking at $6.12B in FY2024 before contracting 4.7% to $5.84B in FY2025. Gross margin shifted from 14.0% in FY2021 to 10.7% in FY2025, while operating margin fell from 4.7% to 4.0%. Net income swung from $64.3M in FY2022 to -$33.6M in FY2023, recovering to $35.0M in FY2024 before posting -$19.7M in FY2025. Over the 5-year span from FY2020 to FY2025, revenue grew at a CAGR of 4.4%. For the trailing twelve months, revenue was $8.22B with an operating margin of 4.9%. In the quarter ended June 30, 2026, quarterly revenue grew 92.4% year-over-year, while quarterly earnings declined 98.8%.
Balance sheet and cash flow
As of June 30, 2026, Dauch Corporation held $880.8M in cash and short-term investments alongside $5.29B in total debt, resulting in net debt of $4.41B. Shareholders' equity stood at $1.51B against total assets of $11.05B, creating a debt-to-equity ratio of 3.51 and a current ratio of 1.40. In FY2025, the company produced $411.6M in operating cash flow and $149.3M in free cash flow, down from $357.2M in FY2021. Capital expenditures were $262.3M and share buybacks totaled $2.8M in FY2025, while the 5-year share count change was 115.2%.
Valuation and performance
At a share price of $4.84, Dauch Corporation trades at a market capitalization of $1.15B and an enterprise value of $5.67B. Its forward P/E of 5.9x, price-to-sales of 0.1x, and EV/EBITDA of 7.7x trade below the median of its US-listed Consumer Cyclical peers, which report a forward P/E of 14.1x, price-to-sales of 0.7x, and EV/EBITDA of 11.1x. Over the past year, the stock fell 12.3%, trailing the S&P 500 return of 16.8%. Over a 5-year horizon, DCH returned -54.4% compared to an 83.0% gain for the S&P 500.
What analysts expect
Dauch Corporation currently carries 3 Strong Buy, 2 Buy, 7 Hold, and 1 Sell ratings from analysts. The mean price target is $8.63, representing a 78.4% premium over the last close of $4.84. For the fiscal year ending December 31, 2026, analysts estimate EPS of $0.92, representing 73.7% growth, on revenue of $10.72B. For the next fiscal year, 12 analysts project EPS of $1.16 on revenue of $11.06B. The company beat EPS estimates in all 4 of the last 4 quarters, with its next earnings announcement scheduled for November 6, 2026.
Key risks and what to watch
- Total debt of $5.29B significantly exceeds cash reserves of $880.8M, posing leverage risks with a debt-to-equity ratio of 3.51.
- Earnings volatility is high, with quarterly earnings falling 98.8% year-over-year in the quarter ended June 30, 2026.
- The stock exhibits high market sensitivity, reflected in its beta of 1.69.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this DCH AI stock analysis
This page is an AI-written research summary of Dauch Corporation (DCH). 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: DCH income statement, DCH balance sheet, DCH key metrics, DCH analyst forecast, DCH chart. See the DCH stock overview for the latest quote and news.
DCH AI stock analysis FAQ
What was Dauch Corporation's previous name?
The company was formerly known as American Axle & Manufacturing Holdings, Inc. and changed its name to Dauch Corporation in January 2026.
What are analysts forecasting for DCH earnings and revenue?
For the fiscal year ending December 31, 2026, analysts estimate EPS of $0.92 and revenue of $10.72B. For the following fiscal year, analysts expect EPS of $1.16 on revenue of $11.06B.
How much debt does Dauch Corporation hold?
As of June 30, 2026, Dauch Corporation had $5.29B in total debt and $880.8M in cash, resulting in a net debt balance of $4.41B.
When is Dauch Corporation's next earnings report?
The company's next earnings date is scheduled for November 6, 2026.