Key test remains around growth execution

研报英文原文证据摘录

Key test remains around growth execution

Equity Research

U.S. Autos & Mobility

27 July 2026

Visteon Corp.

Key test remains around growth

execution

Key takes: 1. '26 guide reaffirmed, margins to improve 3Q/4Q - VC OVERWEIGHT

more recoveries + significant 2H performance req'd; 2. Unchanged

'26 GoM now MSD (prior LSD), 2H GoM MSD/HSD amidst U.S. Autos & Mobility UnchangedNEUTRAL

launches, ramps; 3. China HPC expansion incremental Price Target USD 145.00

vs investor day '27 tgts; 4. $200mn ASR, addl buyback ptnl Unchanged

4Q; Reit OW, PT $145 Price (24-Jul-26) USD 103.75 Potential Upside/Downside +39.8%

Source: Bloomberg, Barclays Research

Aside from an ASR announcement, VC's 2Q result provided us with little incremental, with most

datapoints broadly consistent with updates provided at the recent investor day (see our takes + Market Cap (USD mn) 2769

feedback post investor day). Rather, we believe the result focused on the key debates from the Shares Outstanding (mn) 26.70

investor day, with questions on insourcing risk (driven by commentary of declines with F/GM in Free Float (%) 98.78

the coming years), the path to turning around China growth declines, DRAM/margin dynamics, 52 Wk Avg Daily Volume (mn) 0.5

and the path to ramping and visibility with HPC (high performance compute) wins...including an Dividend Yield (%) 1.45

update that another Geely brand will adopt HPC. Return on Equity TTM (%) 13.91

Current BVPS (USD) 60.35

Yet for all the questions on insourcing risk, we reiterate our view that the key focus remains on Source: Bloomberg

growth, and any signs of a return to growth should ease concerns. True – execution is required

on VC’s targets. Yet with guidance for ~8% organic revenue CAGR through the three-year period Price Performance Exchange-NYSE