The analyst rating was influenced by a slowdown in revenue growth from the traditional auto parts business, leading to a reduction in net profit forecasts for 2026-2027 by 12-14%. Despite this, the overall gross profit margin remained stable due to resilience in the plastic and metal decoration business, and the company generated significant free cash flow. The target price was lowered from $52 to $50, but the rating was maintained at Buy due to improved capital efficiency and increased dividend payout.
