Dorman Products Inc. Reports Increase in Q3 Profits
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 28 2025
0mins
Should l Buy DORM?
Source: NASDAQ.COM
Earnings Growth: Dorman Products Inc. reported a profit of $76.42 million, or $2.48 per share, for the third quarter, an increase from $55.25 million, or $1.80 per share, in the same period last year.
Adjusted Earnings: Excluding certain items, the company reported adjusted earnings of $80.757 million, or $2.62 per share.
Revenue Increase: The company's revenue rose by 7.9% to $543.74 million, compared to $503.77 million in the previous year.
Financial Highlights: Key financial figures include earnings of $76.42 million, EPS of $2.48, and revenue of $543.74 million, all showing significant improvement year-over-year.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy DORM?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on DORM
Wall Street analysts forecast DORM stock price to rise
2 Analyst Rating
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 124.130
Low
150.00
Averages
165.00
High
180.00
Current: 124.130
Low
150.00
Averages
165.00
High
180.00
About DORM
Dorman Products, Inc. is a supplier of replacement and upgrade parts in the motor vehicle aftermarket industry, serving passenger cars, light, medium, and heavy-duty trucks, as well as specialty vehicles, including utility terrain vehicles and all-terrain vehicles. Its segments include Light Duty, Heavy Duty, and Specialty Vehicle. The Light Duty segment designs and markets replacement parts and fasteners primarily for passenger cars and light trucks with sales to retailers and wholesale distributors who primarily serve passenger car and light truck customers. The Heavy Duty segment designs and markets replacement parts primarily for medium and heavy trucks with sales to independent distributors, independent component specialists and rebuilders, and auto parts stores that focus on the heavy-duty market. Specialty Vehicle segment designs, markets, and manufactures aftermarket parts and accessories for the powersports market with sales through direct-to-consumer, dealers, and installers.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- New Investment Disclosure: Aurora Investment Counsel disclosed a new position in Dorman Products, acquiring 25,612 shares in the first quarter of 2026, with an estimated trade value of $3.05 million, indicating confidence in the company's prospects.
- Position Value Change: Post-trade, Aurora's stake in Dorman was valued at $2.67 million, reflecting both stock price fluctuations and increased holdings, suggesting investor expectations for future growth.
- Market Performance Comparison: As of May 5, 2026, Dorman's shares were priced at $119.52, up 4.0% over the past year, yet underperforming the S&P 500 by 24.5 percentage points, highlighting competitive pressures in the market.
- Financial Health Overview: Dorman reported a trailing twelve-month revenue of $2.15 billion and a net income of $190.24 million, facing challenges with declining gross margins, yet maintaining a strong position in the automotive parts market.
See More
- Sales Growth Overview: Dorman Products reported Q1 net sales of $529 million, reflecting a 4% year-over-year increase primarily driven by pricing, while volumes decreased compared to the exceptionally strong Q1 2025, indicating market demand volatility.
- Margin Pressure: CEO Kevin Olsen highlighted an adjusted operating margin of 12.1%, which reflects the peak tariff-related costs expected in 2026, although the company is implementing productivity and automation measures to support margin improvement.
- Cash Flow and Buybacks: The company generated operating cash flow of $44 million in the quarter and executed $51 million in share repurchases, marking a record for the company, demonstrating strong capital return and cash performance.
- Future Outlook: Dorman reaffirmed its full-year 2026 guidance, projecting net sales growth of 7% to 9% and adjusted operating margins of 15% to 16%, with expectations for a more normalized high teens rate as the year progresses, while excluding potential impacts from IEEPA tariff refunds.
See More
- Earnings Beat: Dorman Products reported Q1 GAAP EPS of $1.57, exceeding expectations by $0.08, indicating strong market performance that is likely to positively impact stock prices.
- Revenue Growth: The company achieved Q1 revenue of $528.8 million, a 4.2% year-over-year increase, surpassing expectations by $4.29 million, reflecting robust sales and market demand that enhances investor confidence.
- 2026 Guidance: Dorman anticipates net sales growth of 7% to 9% for 2026, with diluted EPS guidance set between $7.57 and $7.97, showcasing an optimistic outlook for future performance that may attract more investor interest.
- Tax Rate Estimate: The estimated tax rate is 23.5%, which will aid in maintaining transparency in the company's future financial planning, further bolstering market confidence in its financial health.
See More
- Morgan Stanley Bullish on Nvidia: Morgan Stanley names Nvidia a top pick, viewing the current stock price at 18x CY27 EPS as an attractive entry point, expecting market concerns about growth durability to shift to enthusiasm in the coming months.
- Barclays Downgrades Blue Owl: Barclays downgrades Blue Owl from overweight to equal weight, citing overly high market estimates and suggesting that the stock is now closer to fairly priced based on earnings growth potential.
- Piper Sandler Upgrades CrowdStrike: Piper Sandler upgrades CrowdStrike from neutral to overweight, maintaining a $520 price target, arguing that the market's bearish sentiment driven by AI narratives is overdone for a leading security platform with a strong track record.
- Goldman Sachs Upgrades Dutch Bros: Goldman Sachs upgrades Dutch Bros from neutral to buy, asserting that the market is underestimating the coffee chain's fundamental strength and competitive positioning amid a challenging coffee landscape.
See More
- Record Sales Performance: Dorman Products achieved consolidated net sales of $2.13 billion in 2025, marking a 6% year-over-year increase, with Q4 sales at $538 million, reflecting a modest 1% growth compared to the previous year, indicating strong performance in new product launches.
- Increased Investment in Development: The company has significantly ramped up investments in complex electronic solutions, with CEO Kevin Olsen noting a robust new product pipeline that is expected to enhance competitive advantages moving forward.
- Supply Chain Strategic Shift: Dorman plans to reduce sourcing from China to approximately 30% in 2026, demonstrating a proactive approach to strengthening supply chain resilience and flexibility in global supply chain management.
- Optimistic Future Outlook: The company anticipates net sales growth of 7% to 9% for 2026, with operating margins expected to normalize to high teens by year-end, reflecting confidence in navigating future market conditions.
See More
- Earnings Performance: Dorman Products reported a Q4 non-GAAP EPS of $2.17, exceeding market expectations by $0.05, indicating the company's resilience and stability in profitability.
- Revenue Growth Challenges: The company's revenue reached $537.9 million in Q4, reflecting a modest year-over-year growth of 0.8%, yet it fell short of the market's expectations by $35.48 million, highlighting challenges from increased competition and demand fluctuations.
- Market Outlook: Analysts maintain a cautious stance on Dorman Products, reaffirming a 'Hold' rating, suggesting that investors should focus on the company's long-term growth potential amidst short-term volatility in the current economic environment.
- Historical Performance Review: Historical financial data for Dorman Products indicates that despite facing challenges, the company has maintained relatively stable profitability over the past few quarters, showcasing its competitive position within the industry.
See More








