CTS Profitability Analysis
| CTS Stock | USD 56.77 1.24 2.23% |
Net Income | First Reported 1985-12-31 | Previous Quarter 13.7 M | Current Value 19.7 M | Quarterly Volatility 10 M |
Macro event markers
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.22 | 0.3843 |
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| Operating Profit Margin | 0.16 | 0.1552 |
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CTS's profitability metrics reflect a balanced earnings structure, where margins are neither thin enough to signal fragility nor wide enough to suggest pricing dominance. The relatively narrow gap between gross margin of 22.0% and net margin of 13.0% suggests an efficient cost structure with limited margin erosion below the gross profit line. Return on equity of 12.0% alongside return on assets of 8.97% reflects how efficiently CTS's capital and asset base are converting into earnings. Figures reflect CTS's last reported annual data.
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Revenue by Business Segment
CTS generates revenue across 2 reported product segments. CTS's revenue is anchored by Components And Sensors Segment (103.63 Million, 64.9%), followed by Ems Segment (55.93 Million, 35.1%). With the top segment exceeding 60% of revenue, CTS's earnings are heavily concentrated in a single product line.
CTS has a market cap of 1.63 B, an operating margin of 16.63% on a trailing twelve-month basis, compared to 16.0% in the last reported annual period, current ratio of 2.68. Allocation models determine the relative weighting of each position in the portfolio. Broader economic conditions can influence CTS Corporation's company valuation - related indicators include signals in manufacturing.
Macro event markers
CTS Revenue Breakdown by Earning Segment Overview
The breakdown below shows how CTS's revenue is split across product segments for the most recent reporting period. Ems Segment rounds out the mix at 35.1%, representing CTS's smallest reported product line.
Consensus EPS projections for CTS are based on current analyst assumptions and may be revised. Revisions to consensus estimates often cluster around earnings dates, reflecting new information absorbed by analysts.
Quarterly Earnings Growth 76.3% | Dividend Share 0.16 | Earnings Share 2.19 | Revenue Per Share | Quarterly Revenue Growth 8.5% |
Market capitalization and book value offer complementary views of CTS Corporation - the first driven by investor sentiment, the second by accounting standards.
Distinguishing between CTS's value and market price helps frame analytical expectations. In practice, CTS price is set by the continuous auction process on its listing exchange.
CTS Corporation Return On Asset vs. Return On Equity Fundamental Analysis
Return On Equity stood at 12.00% as of December 31, 2025. Related reported metric: Return On Asset at 8.97% as of December 31, 2025.
CTS Return On Asset vs. Return On Equity
CTS's Return on Equity of 12.0% reflects a healthy level of efficiency in converting shareholder capital into profit. This range generally supports both reinvestment capacity and shareholder distributions without relying excessively on financial leverage to inflate the return.
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| = | 0.12 |
CTS's Return on Assets of 8.97% falls within a moderate range, consistent with many established businesses. This level of asset productivity is typical for companies that maintain substantial physical or financial assets as part of their operating model.
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| = | 0.09 |
CTS's ROE and ROA are relatively close, indicating limited financial leverage. Equity returns are driven primarily by operational performance rather than capital structure.
CTS Return On Asset Comparison
CTS is currently under evaluation in return on asset relative to competitors.
CTS Profitability Projections
For CTS, profitability metrics reveal whether the business model is converting revenue into earnings or operating at a loss. Margin trends for CTS show whether the company is gaining or losing pricing power and cost discipline. CTS currently maintains a profit margin of 13.0%. The spread between revenue growth and margin expansion at CTS reveals whether scale is translating into earnings power. The operating margin stands at 16.0%. Whether CTS's profit levels reflect operational strength or temporary tailwinds requires tracking margin trends across business conditions. Recent net income of 65.3 M reflects the bottom-line result of these profitability dynamics.
| Last Reported | End Of Year Estimate | ||
| Accumulated Other Comprehensive Income | 13.7 M | 14.4 M | |
| Operating Income | 84 M | 88.2 M | |
| Income Before Tax | 83.8 M | 88 M | |
| Total Other Income Expense Net | -267 K | -280.4 K | |
| Net Income | 65.3 M | 68.6 M | |
| Income Tax Expense | 18.5 M | 9.2 M | |
| Net Income Applicable To Common Shares | 65.3 M | 68.6 M | |
| Net Income From Continuing Ops | 65.3 M | 41.4 M | |
| Non Operating Income Net Other | -9.1 M | -9.5 M | |
| Interest Income | 875 K | 831.2 K | |
| Net Interest Income | -2.2 M | -2.3 M | |
| Change To Netincome | 9.5 M | 12.3 M | |
| Net Income Per Share | 2.21 | 2.32 | |
| Income Quality | 1.56 | 1.49 | |
| Net Income Per E B T | 0.78 | 0.54 |
CTS Profitability Driver Comparison
Profitability driver analysis for CTS identifies which financial variables are most tightly linked to earnings outcomes. Cyclical pressure on CTS's revenue or costs can temporarily distort driver relationships that are otherwise structurally stable. Tracking CTS's profitability drivers over multiple quarters reveals the direction of its financial trajectory.
CTS Profitability Trends
Analyzing CTS's profitability trend shows how margin structure has evolved across reporting periods. Comparing CTS's profit trends across gross, operating, and net levels isolates where margin pressure or improvement originates. Gross margin direction typically reflects changes in pricing power, input costs, and product mix.
CTS Profitability Drivers Correlations
Understanding how CTS's revenue, cost, and profit metrics correlate isolates which drivers have the most influence on earnings. The strongest correlations in CTS's financial data identify the cost and revenue relationships that most directly determine margin behavior. Cells with correlation above 0.8 represent near-lockstep relationships that reduce independent analytical value.
Click cells to compare fundamentals
Overall, CTS's profitability trajectory is positive, with margins widening across multiple levels. The question is whether this improvement is sustainable or driven by temporary tailwinds.
Earnings History
Quarterly gross profit history for CTS is shown below using reported financial data.
CTS Quarterly Gross Profit | 53.71 Million |
The concept of mean reversion suggests that CTS's price will eventually return toward its long-run average. Positions sized too aggressively against the trend often suffer sustained losses before reversion occurs in CTS. The mean reversion framework for CTS is built on the premise that markets are not perfectly efficient.
Estimated Months Earnings per Share
This chart shows the estimate series used for upcoming reporting periods.
Detailed Analysis of Earnings Estimates
Latest Earning Estimates and Surprises
The table below lists reported EPS, estimated EPS, and the reported surprise for each available quarter.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
null | null | null | null | null | 0 | ||
2026-02-10 | 2025-12-31 | 0.61 | 0.62 | 0.01 | 1 | ||
2025-10-28 | 2025-09-30 | 0.61 | 0.6 | -0.01 | 1 | ||
2025-07-24 | 2025-06-30 | 0.55 | 0.57 | 0.02 | 3 | ||
2025-04-30 | 2025-03-31 | 0.49 | 0.44 | -0.05 | 10 | ||
2025-02-04 | 2024-12-31 | 0.54 | 0.53 | -0.01 | 1 | ||
2024-10-29 | 2024-09-30 | 0.54 | 0.63 | 0.09 | 16 |