CTS
CTS Corporation

CTS CorporationCTS

Technology · Electronic Components
57.87USD
+1.72%
Nov 08, 2026
CTS overview ready
Automotive-grade sensing and motion control components supplier
CTS is a diversified engineered-component supplier whose transportation products include sensing and actuation products that can be deployed across internal-combustion, hybrid, and battery-electric vehicle platforms.
Primary theme is lagging
Connectors & Electronic Components is lagging (-11.9pp vs SPY over 21 sessions; 2 of 8 members ahead of SPY).
No clear price read
Longer-term context reads established trend, with a near-term setup of constructive pullback.
Attractive valuation
Current market expectations look undemanding relative to how much growth and cash flow it delivers per turn of revenue multiple.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Cyclicality in automotive and industrial end markets.
Market Nov 6Filing Sep 30Price action Nov 7Research Nov 1

Conviction Level

PriceAction6.9BusinessPerformance5.0BusinessQuality8.1Valuation8.2ThemeMomentum1.0Mixed — Revenue is still growing (+4.6% YoY), but growth has slowed for 2 consecutive quarters, down from +11%. Diluted EPS growth has strengthened to +33% year over year ($0.61), up from +6.5%. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
vs SPY
−11.9pp
Theme return
−16.9%
Beating SPY
2 of 8
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

No clear price read
Longer-term context reads established trend, with a near-term setup of constructive pullback.
EntryReset + recovery

The stock remains extended from its long-term weekly base, but the recent reset toward the daily SMA200 aligned with support at the weekly SMA50. Daily structure is recovering above the fast averages, improving the current entry location.

Key Financials

Market Cap
$1.6B
Avg Volume (60D)
253.5K
60 sessions
Revenue Growth YoY
+5.2%
FY2025 vs FY2024
Gross Margin
+40.6%
Trailing twelve months
Operating Margin
+17.0%
Trailing twelve months
Free Cash Flow Yield
+6.6%
Distance from 200DMA
+0.5%
P/E
22.3x
EV / EBITDA
11.8x
EV / Sales
2.7x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Mixed

Revenue is still growing (+4.6% YoY), but growth has slowed for 2 consecutive quarters, down from +11%. Diluted EPS growth has strengthened to +33% year over year ($0.61), up from +6.5%.

Latest reported: Q3 FY2026, ended Sep 30
Revenue growthSlowing
+4.6%
$150M in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +8.5%
  2. +11%
  3. +7.0%
  4. +4.6%
Earnings growthAccelerating
+33%
Diluted EPS $0.61 vs $0.46 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. n/a
  2. +34%
  3. +6.5%
  4. +33%
Operating marginExpanding
17.1%
+2.4 pp YoY · gross margin 42.2% (+3.5 pp)

Business Quality

8.1 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Two of the three valuation perspectives say cheap; own history is the dissenting view.
CTS Corporation has a Cheap valuation stance because current market expectations look undemanding relative to how much growth and cash flow it delivers per turn of revenue multiple.

Company Research

Thesis
CTS is a diversified engineered-component supplier whose transportation products include sensing and actuation products that can be deployed across internal-combustion, hybrid, and battery-electric vehicle platforms. CTS has a genuine but qualified exposure to vehicle electrification through automotive sensing and actuation.
Opportunity
Moderate opportunity
Rising electronic content and electrified-platform production increase demand for automotive-grade position, pressure, current, pedal, and motion-control components used in vehicle control and safety systems.
Key risk
Cyclicality in automotive and industrial end markets.

Economic classification

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Business & Markets

Technology · Electronic Components
What they do

CTS Corporation designs, manufactures, and sells electronic components including sensors, actuators, and connectivity products across North America, Europe, and Asia, serving multiple industries with engineered hardware solutions.

How it earns

CTS generates revenue primarily through transactional sales of its electronic components and sensing products to industrial and automotive customers.

Products & services
Sensors
Connectivity components
Actuators
EMI/RFI filters
Capacitors
Resistors
RF filters
Frequency control products
Pressure sensing technologies
Customers & end markets
Automotive
Industrial
Medical
Aerospace
Defense
Market position

CTS is a direct automotive-component supplier with a specialized focus on engineered sensing and control hardware.

Demand drivers
Medium cyclicality

Demand is influenced by automotive and industrial production cycles which can fluctuate with economic conditions.

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