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GTX, Garrett Motion Inc.

Garrett is a cutting-edge technology leader delivering differentiated solutions for emission reduction and energy efficiency.

We design, manufacture and sell highly engineered turbocharging, air and fluid compression, and high-speed electric motor technologies for original equipment manufacturers ("OEMs") and independent aftermarket distributors in the mobility and industrial fields.

We have significant expertise in delivering highly engineered products at scale for internal combustion engines ("ICE") using gasoline, diesel, natural gas and hydrogen, as well as zero-emission vehicles ("ZEV").

Latest annual: FY2025 10-K

GTX · Garrett Motion Inc.

The business

What it sells, where the money comes from, the kind of company it is.

Revenue · FY2025

$3.6B

+3.1% YoY · 3% 5-yr CAGR

Vital signs · TTM, with 5-yr average

Revenue $3.7B 5-yr avg $3.6B

Gross margin 20% 5-yr avg 20%

Operating margin 15.9% 5-yr avg 13.0%

ROIC 96% 5-yr avg 83%

Owner-earnings margin 10% 5-yr avg 5%

Free cash flow margin 10% 5-yr avg 5%

The business in brief

read the 10-K →

What this business is and what moves its needle, from its own SEC filings.

What moves the needle: Gross margin has run about 20% and operating margin about 12% through the cycle, a thin spread that turns the result on volume and the cost of what it sells far more than on the price it sets. Read this kind of business on volume, mix and the cost of the platform. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
Is it a good business?: Return on capital has run high across the record (median 58%, above 15% in 5 of 5 years), though buybacks and expensed R&D and brands shrink the capital base, so the figure overstates the underlying economics. The steadier read is owner earnings: roughly 8% of revenue reaches owners as cash, though it swings. Whether these returns reflect real pricing power or an accounting artifact is the judgment the 10-K is for.

Every line is arithmetic on the company's filings, shown in full in the sections below.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2025

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	2025’25	TTMTTMMar 2026
											Income statement
$3.0B	$3.1B	$3.4B	$3.2B	$3.0B	$3.6B	$3.6B	$3.9B	$3.5B	$3.6B	$3.7B	RevenueRevenue
21%	24%	23%	21%	18%	19%	19%	19%	20%	20%	20%	Gross marginGross mgn
7%	8%	7%	7%	9%	6%	6%	6%	7%	7%	6%	SG&A / revenueSG&A/rev
$257M	$374M	$415M	$414M	$198M	$621M	$504M	$506M	$343M	$392M	$588M	Operating incomeOp. inc.
8.6%	12.1%	12.3%	12.7%	6.5%	17.1%	14.0%	13.0%	9.9%	10.9%	15.9%	Operating marginOp. mgn
$199M	($983M)	$1.2B	$313M	$80M	$495M	$390M	$261M	$282M	$310M	$343M	Net incomeNet inc.
20%	—	—	10%	33%	8%	21%	25%	18%	21%	19%	Effective tax rateTax rate
											Cash flow & returns
$305M	$71M	$373M	$242M	$25M	($310M)	$375M	$465M	$408M	$413M	$455M	Operating cash flowOp. cash
$59M	$64M	$72M	$73M	$86M	$92M	$84M	$90M	$90M	$99M	$102M	DepreciationDeprec.
$35M	$975M	($926M)	($162M)	($151M)	($904M)	($110M)	$100M	$13M	($23M)	($18M)	Working capital & otherWC & other
$84M	$103M	$95M	$102M	$80M	$72M	$91M	$83M	$91M	$72M	$75M	CapexCapex
2.8%	3.3%	2.8%	3.1%	2.6%	2.0%	2.5%	2.1%	2.6%	2.0%	2.0%	Capex / revenueCapex/rev
$246M	$7M	$301M	$169M	($55M)	($382M)	$284M	$382M	$317M	$341M	$380M	Owner earningsOwner earn.
8.2%	0.2%	8.9%	5.2%	−1.8%	−10.5%	7.9%	9.8%	9.1%	9.5%	10.3%	Owner earnings marginOE mgn
$221M	($32M)	$278M	$140M	($55M)	($382M)	$284M	$382M	$317M	$341M	$380M	Free cash flowFCF
7.4%	−1.0%	8.2%	4.3%	−1.8%	−10.5%	7.9%	9.8%	9.1%	9.5%	10.3%	Free cash flow marginFCF mgn
—	—	—	—	$0	$0	$83M	$42M	$0	$52M	$56M	Dividends paidDiv. paid
—	—	—	$0	$0	$4M	$0	$213M	$296M	$208M	—	BuybacksBuybacks
—	—	—	—	—	192%	50%	58%	42%	71%	96%	ROICROIC
											Balance sheet
$119M	$300M	$196M	$187M	$592M	$423M	$246M	$259M	$125M	$177M	$142M	Cash & investmentsCash+inv
—	$188M	$172M	$220M	$235M	$244M	$270M	$263M	$286M	$339M	$313M	InventoryInvent.
—	$860M	$916M	$1.0B	$1.0B	$1.0B	$1.0B	$1.1B	$972M	$1.1B	$1.1B	Accounts payablePayables
—	($672M)	($744M)	($789M)	($784M)	($762M)	($778M)	($811M)	($686M)	($722M)	($764M)	Operating working capitalOper. WC
—	$2.1B	$1.2B	$1.2B	$1.9B	$1.5B	$1.4B	$1.4B	$1.2B	$1.3B	$1.4B	Current assetsCur. assets
—	$2.5B	$1.4B	$1.4B	$1.8B	$1.5B	$1.4B	$1.4B	$1.3B	$1.4B	$1.4B	Current liabilitiesCur. liab.
—	0.8×	0.8×	0.9×	1.0×	1.0×	1.0×	1.0×	0.9×	1.0×	1.0×	Current ratioCurr. ratio
—	$193M	$193M	$193M	$193M	$193M	$193M	$193M	$193M	$193M	$193M	GoodwillGoodwill
—	$3.0B	$2.1B	$2.3B	$3.0B	$2.7B	$2.6B	$2.5B	$2.3B	$2.4B	$2.4B	Total assetsAssets
—	—	$1.6B	$1.4B	$1.1B	$1.2B	$1.2B	$1.6B	$1.5B	$1.4B	$1.4B	Total debtDebt
—	—	$1.4B	$1.2B	$490M	$765M	$909M	$1.4B	$1.3B	$1.2B	$1.3B	Net debt / (cash)Net debt
36.7×	46.8×	21.8×	6.1×	2.5×	7.5×	63.0×	3.2×	—	—	3.6×	Interest coverageInt. cov.
($1.2B)	($2.2B)	($2.5B)	($2.1B)	($2.3B)	($468M)	($116M)	($735M)	($673M)	($802M)	($781M)	Shareholders’ equityEquity
0.4%	0.5%	0.6%	0.6%	0.3%	0.2%	0.3%	0.4%	0.7%	0.8%	0.8%	Stock comp / revenueSBC/rev
											Per share
296M	296M	298M	304M	304M	318M	65.1M	167M	224M	204M	193M	Shares out (diluted)Shares
$10.12	$10.45	$11.34	$10.69	$9.97	$11.44	$55.37	$23.33	$15.51	$17.60	$19.10	Revenue / shareRev/sh
$0.67	$-3.32	$4.05	$1.03	$0.26	$1.56	$5.99	$1.57	$1.26	$1.52	$1.78	EPS (diluted)EPS
$0.83	$0.02	$1.01	$0.56	$-0.18	$-1.20	$4.36	$2.29	$1.41	$1.67	$1.97	Owner earnings / shareOE/sh
$0.75	$-0.11	$0.93	$0.46	$-0.18	$-1.20	$4.36	$2.29	$1.41	$1.67	$1.97	Free cash flow / shareFCF/sh
—	—	—	—	$0.00	$0.00	$1.28	$0.25	$0.00	$0.26	$0.29	Dividends / shareDiv/sh
$0.28	$0.35	$0.32	$0.34	$0.26	$0.23	$1.40	$0.50	$0.41	$0.35	$0.39	Cap. spending / shareCapex/sh
$-4.12	$-7.41	$-8.46	$-7.02	$-7.58	$-1.47	$-1.78	$-4.41	$-3.00	$-3.94	$-4.04	Book value / shareBVPS

Share counts before 2021 are restated ×4 for a stock split, so per-share figures sit on one basis.

The diluted share count moved ×1/4.88 into 2022 — shares retired, not a split the totals corroborate — and the per-share figures carry the counts as filed.

The diluted share count moved ×2.56 into 2023 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	+6.3%/yr	+12.0%/yr
Owner earnings / share	+8.1%/yr	—
EPS	+9.5%/yr	+42.1%/yr
Capital spending / share	+2.5%/yr	+6.1%/yr

The record, charted

FY2016–2025

Each measure over its full record; the current point and the worst year marked. Share counts on the current split basis.

Share count

204Mpeak FY2021

ROIC

71%low FY2024

Gross margin

20%low FY2020

Net debt ÷ owner earnings

3.6×peak FY2019

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

$341Mowner earningsvs.$310Mnet incomelow FY2021

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetained

Each year's operating cash, by what management did with it: the mix, and how it drifts.

FY2016FY2025

Owner-earnings bridge

FY2021–FY2025cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2025 the business turned $310M of profit into $341M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.

Reported net income$310M

Owner earnings$341M · 10% of revenue

	FY2025	FY2024	FY2023	FY2022	FY2021
Reported net income	$310M	$282M	$261M	$390M	$495M
Depreciation & amortizationnon-cash charge added back	+$99M	+$90M	+$90M	+$84M	+$92M
Stock-based compensationreal costnon-cash, but a real cost	+$27M	+$23M	+$14M	+$11M	+$7M
Working capital & othertiming of cash in and out, other non-cash items	−$23M	+$13M	+$100M	−$110M	−$904M
Cash from operations	$413M	$408M	$465M	$375M	($310M)
Capital expenditurecash put back in to keep running and to grow	−$72M	−$91M	−$83M	−$91M	−$72M
Owner earnings	$341M	$317M	$382M	$284M	($382M)
Owner-earnings marginowner earnings ÷ revenue	10%	9%	10%	8%	-11%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $27M), owner earnings is nearer $314M.

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2025 10-K · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 3.5×

Adequate

Operating income $551M ÷ interest expense $159M

What this means
Comfortable in a normal year, but below the margin of safety Graham looked for. Worth checking how stable the coverage has been across a full cycle.
How heavy is the debt, net of cash? $1.2B · 2.3× operating profit

Meaningful net debt

Cash $177M − debt $1.4B

What this means
Netting $177M of cash and short-term investments against $1.4B of debt leaves $1.2B owed, about 2.3× a year's operating profit (2.6× on the gross debt, before the cash). Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? —

Not enough data

What this means
The filing data didn't include the inputs for this check.

Is it a good business?

Return on invested capital 58%

Very high (≥25%) through the cycle

5-yr median, range 42%–192%; 99% latest = NOPAT $436M ÷ invested capital $439M

Industry peers: median 12%

What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 5 years (it ran 99% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
Owner-earnings margin 8%

Solid through the cycle

10-yr median margin, range -11%–10%; latest $341M = operating cash $413M − maintenance capex $72M

Industry peers: median 5%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 10% of revenue this year, a 8% median across 10 years. Treating stock comp as the real expense it is (less $27M of SBC) leaves $314M.
Are earnings backed by cash? 1.33×

Cash-backed

Cash from ops $413M ÷ net income $310M

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? 76%

Returns about half

Dividends + buybacks $260M ÷ Owner Earnings $341M

What this means
Of $341M Owner Earnings, $260M (76%) went back to shareholders, $52M dividends, $208M buybacks. Net of $27M stock comp, the real buyback was about $181M. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
Investing or harvesting? 0.73×

Harvesting

Capex $72M ÷ depreciation $99M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 2 of 6 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size Pass

Revenue ≥ $2B · $3.6B

What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
Strong liquidity Miss

Current ratio ≥ 2× · 0.97×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Conservative debt Miss

Debt ≤ working capital · $1.4B vs ($44M) WC

What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
Earnings stability Near

A profit every year (10-yr record) · 1 loss year

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · 3 of 10 yrs

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth Pass

Earnings +33% over the record · +102%

What this means
At least a third more earnings than a decade ago, averaging three years at each end. Net income (not per-share), so stock splits don't distort it, buybacks and dilution show up in the share-count line instead.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $1.52/share (latest year $1.66), the averaged base the calculator's gate runs on, and book value is $-4.28/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2025

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 9 of 10

What this means
Lost money in 1 year(s), look at what happened there before trusting the average.
Return on capital ≥ 15% 5 of 5 yrs

What this means
A moat shows up as a high return on invested capital that holds year after year, not one good vintage.
Operating margin 11% → 11% (3-yr avg ends)

In the filing’s words The margin has held, but the filing names price competition — the pressure is present even where the margin has absorbed it so far.

What this means
Through the cycle the operating margin held roughly steady — about 11% early, 11% lately, median 12%.
Reinvestment, incremental ROIC returns capital

What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
Owner earnings growth +11%/yr

What this means
Owner earnings grew about 11% a year over the record.
Worst year 2020 · 6.5% op. margin

What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
Dividend record paid

What this means
Paid a dividend in 3 of the years on record.

Does AI threaten the moat?

Low contestability

The moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.

In its own filing A competitive risk, new this year

Its FY2025 10-K names artificial intelligence as a competitive threat, in language that was not in the prior year's filing.

“This risk is heightened with the broad adoption of artificial intelligence tools, which is expected to enhance intellectual property creation by our competition.”

AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of the latest quarter, Mar 31, 2026

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assets$1.4B

Cash & short-term investments$142M
Inventory$313M
Other current assets$920M

Current liabilities$1.4B

Debt due within a year$7M
Accounts payable$1.1B
Other current liabilities$322M

Current ratio0.98×all current assets ÷ what's due · Graham looked for 2×

Quick ratio0.76×stricter: inventory excluded

Cash ratio0.10×strictest: cash alone against what's due

Working capital($31M)the cushion left after near-term bills

Its current ratio is below 1, which usually reads as strain; here it is likely structural strength. What it owes in the near term is money to suppliers and customers (payables and deferred revenue), not to lenders, so the balance sheet is funded by operating float, the way Costco's and Amazon's are. The low ratio can be the edge, not the risk; the cash-conversion cycle and the debt due above say which.

Debt due this year vs. cash$7M due · $142M cash covered by cash on hand, no refinancing forced · both figures from the Mar 31, 2026 balance sheet

Revenue, latest quarter vs. a year ago+12.2%the freshest read on whether the business is still growing

Current ratio, recent quarters0.9× → 1.0×

Deeper floors

Tangible book value($974M)equity stripped of goodwill & intangibles

Net current asset value($1.8B)Graham's net-net: current assets less all liabilities

Debt incl. operating leases$1.5B$52M of it operating leases

Deferred revenue$15Mcustomer cash collected before delivery; operating float

From the company's latest filing.

Debt maturity

the debt note, SEC EDGAR →

Not how much it owes, but when it falls due, and against what. The ladder the company files, beside cash on hand and a year's owner earnings.

'26$7M

'27$7M

'28$9M

'29$7M

'30$7M

later$1.4B

Bars scaled to the largest single year; “later” is everything due after 2030, shown apart since it dwarfs the years.

Due in the next 12 months$7Mthe first rung: what must be repaid or rolled over within the year

Within two years$14Mthe near wall, the part most exposed to today’s credit conditions

Biggest single year$9Min 2028the lumpiest maturity, where a refinancing, if needed, is largest

Total scheduled principal$1.4Bevery year plus what lies beyond, as the footnote totals it

Against what the business has and earns

Cash & short-term investments, Mar 31, 2026$142M

One year of owner earnings (FY2025)$341M

Together, against $7M due next year69.0×

Cash on hand as of Mar 31, 2026 plus a year’s owner earnings comes to $483M against the $7M due in the twelve months after the Dec 31, 2025 schedule: 69 times it.

Maturity schedule extracted from the company’s Dec 31, 2025 annual report and reconciled to the total the table states.

How the cash was used, 2016–2025

Over the record, the business generated $2.4B of operating cash; how management split it reads as a balanced allocator, splitting cash between the business, owners, and the balance sheet.

Reinvested$873M · 37%
Dividends$177M · 7%
Buybacks$721M · 30%
Retained (debt / cash)$596M · 25%

Returned to owners$898M
56% of the owner earnings the business produced over the span, $177M as dividends and $721M as buybacks.
Average price paid for buybacks$8.26
Across the years where the filing reports a share count, 62M shares were bought for $509M, about $8.26 each.
Net change in share count−34.8%
The diluted count fell from 296M to 193M, so the buybacks outran the stock issued to staff.
Dividend record$0.26/sh
Paid in 3 of the years on record. It was cut at least once along the way.
Return on what it retained10%
Of the earnings it kept rather than paid out ($1.7B over the span), annual owner earnings (first three years vs last three) grew $162M, so each retained $1 added about 0.10 of yearly owner earnings. Buffett's test, run on owner earnings instead of market value.

Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.

Management, ownership & pay

read the proxy →

From the proxy: how much of the business the people running it own, and how they are paid, beside what the business earned for its owners in the same years.

Fiscal year	Chief executive	Pay, as filed	“Actually paid”	Owner earnings
2021	Mr. Rabiller	$11.0M	$11.2M	($382M)
2022	Mr. Rabiller	$2.1M	$1.4M	$284M
2023	Mr. Rabiller	$7.8M	$9.2M	$382M
2024	Mr. Rabiller	$8.7M	$8.3M	$317M
2025	Mr. Rabiller	$9.4M	$28.1M	$341M

Both pay figures are the company’s own, from the pay-versus-performance table its proxy statement files. “As filed” is the Summary Compensation Table total: salary, bonus, and equity awards at their value on the day of grant. “Actually paid” is the SEC’s prescribed recalculation, which re-marks those equity awards to what they became as they vested; it can swing far above or below the filed figure in either direction, and negative years occur. Owner earnings are the whole business's, from the record above, for the same fiscal years.

Stock-based compensation$27M
The slice of the business handed to employees in shares this year, 1% of revenue, equal to 5% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.

Inverting the record

Invert: instead of why Garrett Motion Inc. is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2016–2025.

None of the 3 tests turned up a mark; each came back clean. A clean panel says only that these particular ways of being wrong are not written into the record.

Each test came back clean

Is it less profitable than it was?
Did the share count rise anyway?
Did reported profit become cash?

Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.

What an owner would ask, FY2025

read the 10-K →

Which reported numbers are a judgment call?
Management names Revenue recognition, Pension & retirement, Income taxes as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →

The questions the record and the charts do not answer on their own; each carries the figure and the place to look.

Peers, Auto Components

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
LCIILCI Industries	$4.1B	23%	8.2%	12%	8%
PATKPatrick Industries Inc.	$4.0B	19%	7.4%	12%	7%
VCVisteon Corporation	$3.8B	13%	5.7%	28%	3%
GTXGarrett Motion Inc.	$3.6B	20%	12.2%	58%	8%
PHINPHINIA Inc.	$3.5B	22%	7.3%	8%	5%
MODModine Manufacturing Company	$3.2B	17%	5.4%	12%	3%
ALSNAllison Transmission Holdings Inc.	$3.0B	48%	29.0%	21%	23%
CPSCooper-Standard Holdings Inc.	$2.7B	12%	3.2%	7%	1%
Group median	—	20%	7.4%	12%	6%

The price

What a price has to assume.

What the price implies

reverse-DCF

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Garrett Motion Inc. has delivered.

Garrett Motion Inc.’s latest year runs above its own through-cycle margin — the reported figure may flatter a peak. So the tool opens on the through-cycle base, Graham’s averaging cutting both ways; clear the toggle below to read the latest year exactly as reported.

Today’s price $

Through the cycle, Garrett Motion Inc. earns about $288M on its 8.0% median owner-earnings margin. This year’s 9.5% margin runs above that; the reported figure may flatter a peak you'd be paying on. Normalize, below, values the price on that through-cycle figure rather than the latest year. It comes pre-checked here for that reason, the same rule that already normalizes a trough; clear it to price the year as filed.

Base Normalize · through-cycle ($288M) Net of stock comp (−$28M)

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The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth · ’16→’25+15%/yr

Owner-earnings yield—

P/E (3-yr earnings ’23–’25)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings $380M on 187M shares outstanding, per the 10-Q cover, as of 2026-04-24; net debt $1.3B. The if-converted diluted count is 193M, 3% above the shares outstanding: the dilution overhang (convertibles, options) a buyer inherits. The base opens on the through-cycle figure (the latest year sits above the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh GTX against another business →

The owners of GTX: the meeting and the votes →

Cite: Owner Scorecard, "Garrett Motion Inc. (GTX), the owner's record," https://ownerscorecard.com/c/GTX, data as of 2026-07-09.

Manual order: ← GTN its page in the Manual GTY →

Industry order: ← GT the Auto Components chapter HLLY →