Visteon Corporation (VC) AI Stock Analysis
VC AI stock analysis summary
AI ResearchVisteon Corporation is an automotive technology supplier specializing in cockpit electronics and connected car solutions. While trailing twelve months revenue reached $3.78B, the company has faced top-line contractions with revenue declining 2.5% in FY2025. It maintains a healthy financial position, holding $214.0M in net cash and a forward dividend yield of 1.72%.
- Market cap
- $2.33B
- Revenue (TTM)
- $3.78B
- P/E
- 16.0x fwd 9.1x
- 1Y return
- -23.5% S&P 500 16.8%
- Avg. target
- $121.20 38.9% vs last close
Bull case
- Visteon maintains a solid balance sheet with $214.0M in net cash and a low debt-to-equity ratio of 0.27.
- Analyst consensus price target of $121.20 offers a 38.9% premium over the last closing price of $87.25.
- The stock trades at a discounted forward P/E of 9.1x and EV to EBITDA of 5.7x, both well below US-listed Consumer Cyclical peer medians.
Bear case
- Recent performance has been weak, highlighted by a 30.0% year-over-year earnings decline and a 0.9% revenue drop in the quarter ended June 30, 2026.
- Annual revenue has contracted consecutively, falling 2.2% in FY2024 and 2.5% in FY2025.
- The stock has delivered a negative 1-year return of 23.5%, trailing the S&P 500's positive return of 16.8%.
What Visteon does
Visteon Corporation is a prominent player in the automotive technology sector, specializing in the engineering, design, and manufacture of advanced automotive electronics and connected car solutions for global vehicle manufacturers. Established in 2000 and headquartered in Van Buren, Michigan, the company provides instrument clusters ranging from analog gauges to 2-D and 3-D display-based devices. Its product portfolio features information displays with capabilities like 3-D visualization, active privacy filters, TrueColor enhancement, optics, haptic feedback, and dynamic light effects. Visteon also develops next-generation automotive platforms, including the Phoenix display audio and infotainment solution with an AI voice assistant, SmartCore integrated domain controllers, and DriveCore automation platforms.
Growth and profitability
Visteon generated a 5-year revenue CAGR of 8.1% from FY2020 to FY2025, but sales have slowed recently. Annual revenue peaked at $3.95B in FY2023 before declining 2.2% to $3.87B in FY2024 and 2.5% to $3.77B in FY2025. Operating margin rose to 8.8% in FY2025, while net income fell from $274.0M in FY2024 to $201.0M in FY2025, resulting in an EPS of $9.90. For the trailing twelve months, revenue was $3.78B with a profit margin of 3.8% and an EPS of $5.47. In the latest quarter ending June 30, 2026, quarterly revenue fell 0.9% year-over-year and quarterly earnings declined 30.0%.
Balance sheet and cash flow
As of June 30, 2026, Visteon held $648.0M in cash and short-term investments against total debt of $434.0M, resulting in net cash of $214.0M. The company maintains solid liquidity with a current ratio of 1.78 and a debt-to-equity ratio of 0.27 on shareholders' equity of $1.61B. In FY2025, operating cash flow was $410.0M and free cash flow stood at $277.0M. Cash deployment in FY2025 included $133.0M for capital expenditures, $57.0M for share buybacks, and $15.0M for dividends paid.
Valuation and performance
Visteon trades at a trailing P/E of 16.0x and a forward P/E of 9.1x, both lower than the median of its US-listed Consumer Cyclical peers at 18.0x and 14.1x, respectively. Its EV to EBITDA multiple sits at 5.7x compared to the peer median of 11.1x, with price-to-sales at 0.6x against a peer median of 0.7x. Over the past year, the stock dropped 23.5%, significantly underperforming the S&P 500's gain of 16.8%. Over a 5-year period, Visteon is down 19.9% while the benchmark gained 83.0%.
VC dividend
Visteon pays a quarterly dividend with an annual forward payout of $1.50 per share, yielding 1.72%. The company has paid dividends for 2 consecutive years, maintaining a conservative payout ratio of 16.2%. The last ex-dividend date was September 1, 2026.
What analysts expect
Wall Street sentiment is favorable, with 4 Strong Buy, 3 Buy, and 4 Hold ratings. The mean price target is $121.20, representing an upside of 38.9% from the last close of $87.25. For the current fiscal year ending December 31, 2026, analysts estimate revenue of $3.80B and EPS of $8.41. In FY2027, 11 analysts project revenue to expand 8.3% to $4.11B and EPS to rise 23.0% to $10.34. Visteon beat EPS estimates in 2 of the last 4 quarters, with its next earnings date scheduled for October 22, 2026.
Key risks and what to watch
- Short interest is elevated, with short percent of float standing at 18.0%.
- Net income dropped from $274.0M in FY2024 to $201.0M in FY2025, reflecting operational headwinds.
- Price momentum remains negative, with the stock trading 13.1% below its 200-day average.
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 VC AI stock analysis
This page is an AI-written research summary of Visteon Corporation (VC). 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: VC income statement, VC balance sheet, VC key metrics, VC analyst forecast, VC chart. See the VC stock overview for the latest quote and news.
VC AI stock analysis FAQ
What dividend does Visteon pay?
Visteon pays a quarterly dividend of $1.50 annually, representing a forward dividend yield of 1.72% and a payout ratio of 16.2%.
How does Visteon's valuation compare to its peers?
Visteon trades at a trailing P/E of 16.0x and an EV to EBITDA of 5.7x, which are both lower than the median of its US-listed Consumer Cyclical peers at 18.0x and 11.1x.
What is Visteon's financial liquidity position?
As of June 30, 2026, the company held $648.0M in cash and short-term investments against $434.0M in total debt, giving it a net cash position of $214.0M and a current ratio of 1.78.
When is Visteon's next earnings report?
Visteon's next earnings release is scheduled for October 22, 2026.