olivLaw · US equity research
Sensata Technologies Holding plc ST
Industrial Instruments For Measurement, Display, and Control · SIC 3823 · Vertical: Industrial Instruments For Measurement, Display, and Control (SIC 3823)
Sensata Technologies is a global maker of sensors, electrical protection components and sensor-rich systems, serving automotive, industrial and aerospace customers. In the second quarter of 2026 the company reported revenue of 990.6 million USD and organic growth of 4.4%, and guided third-quarter revenue to a range of 957 to 987 million USD.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Sensata Technologies Holding plc (ST) stock was 41.12 USD (−1.25% on the day), with market capitalisation 6.0 bn USD, P/E 16.5 on diluted EPS of 2.50 USD over the last 12 months, dividend yield 0.80%, beta 1.79, 52-week range 28.53–53.55 USD. Latest reported quarter (Q3 2026): revenue of 1.0 bn USD (+7.7% YoY), net income of 114.2 m USD, diluted EPS 0.78 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 47.5
- neutral
- Bollinger (20, 2)
- 39.98 – 42.80
- in the lower half of the band · %B 0.40 · band width 6.8%
- SMA 50 / 200
- 41.84 / 42.01
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.30 / -0.34
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −4.7% | −1.1% | −3.7 pp | — |
| 3 months | −13.6% | −0.5% | −13.1 pp | — |
| 6 months | −10.1% | +4.4% | −14.5 pp | — |
| Year to date | +23.5% | +12.3% | +11.2 pp | — |
| 1 year | +33.3% | +13.5% | +19.7 pp | +24.7% |
| 3 years | +26.7% | +76.4% | −49.7 pp | +5.2% |
| 5 years | −31.2% | +63.7% | −94.8 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 907.7 m | 911.3 m | 943.4 m | 932.0 m | 917.9 m | 934.8 m | 990.6 m | 1.0 bn |
| Cost of revenue | 661.8 m | 638.7 m | 657.1 m | 672.6 m | 651.8 m | 648.5 m | 688.8 m | 671.7 m |
| Research & development | 36.0 m | 36.8 m | 32.6 m | 33.0 m | 31.4 m | 31.9 m | 31.9 m | 33.4 m |
| SG&A | 108.4 m | 86.0 m | 87.8 m | 85.8 m | 96.6 m | 93.4 m | 90.5 m | 95.9 m |
| Operating income | 73.8 m | 122.2 m | 138.1 m | -122.9 m | 100.1 m | 141.6 m | 165.4 m | 175.3 m |
| Depreciation & amortisation | 89.8 m | 61.6 m | 54.5 m | 73.0 m | 67.4 m | 49.8 m | 49.3 m | 50.2 m |
| Interest expense | 37.6 m | 38.0 m | 37.7 m | 37.7 m | 35.7 m | 34.1 m | 32.8 m | 30.0 m |
| Pre-tax income | 35.2 m | 90.6 m | 105.8 m | -148.4 m | 75.3 m | 115.5 m | 132.5 m | 154.0 m |
| Income tax | 29.4 m | 20.7 m | 45.1 m | 14.1 m | 12.1 m | 28.4 m | 30.3 m | 39.8 m |
| Net income | 5.8 m | 69.9 m | 60.7 m | -162.5 m | 63.2 m | 87.1 m | 102.1 m | 114.2 m |
| Diluted EPS | 0.04 ≈ | 0.47 | 0.41 | -1.12 | 0.43 ≈ | 0.59 | 0.70 | 0.78 |
| Operating cash flow | 170.7 m | 119.2 m | 140.9 m ≈ | 159.9 m ≈ | 201.5 m | 122.5 m | 210.0 m ≈ | 225.3 m ≈ |
| Capex | 31.8 m | 32.6 m | 25.4 m ≈ | 23.6 m ≈ | 49.6 m | 17.9 m | 23.6 m ≈ | 27.0 m ≈ |
| Dividends paid | 17.9 m | 17.9 m | 17.6 m | 17.5 m | 17.5 m | 17.5 m | 17.5 m | 17.5 m |
| Share repurchases | 21.6 m | 100.5 m | 20.1 m ≈ | 0 ≈ | 0 | 25.1 m | 0 ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 8 percentile of its own 36-quarter history (min 12.6, median 25.3, max 1,300.5; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 3.5 bn | 3.5 bn | 3.0 bn | 3.8 bn | 4.0 bn | 4.1 bn | 3.9 bn | 3.7 bn |
| Revenue YoY | +6.5% | −2.0% | −11.7% | +25.5% | +5.5% | +0.6% | −3.0% | −5.8% |
| Net income | 599.0 m | 282.7 m | 164.3 m | 363.6 m | 310.7 m | -3.9 m | 128.5 m | 31.3 m |
| Net income YoY | +46.7% | −52.8% | −41.9% | +121.3% | −14.5% | −101.3% | unavailable | −75.6% |
| Diluted EPS | 3.53 | 1.75 | 1.04 | 2.28 | 1.99 | -0.03 | 0.85 | 0.21 |
| Diluted EPS YoY | +48.9% | −50.4% | −40.6% | +119.2% | −12.7% | −101.5% | unavailable | −75.3% |
| net % | 17.0% | 8.2% | 5.4% | 9.5% | 7.7% | -0.1% | 3.3% | 0.8% |
| Free cash flow | 460.8 m | 458.3 m | 453.1 m | 409.7 m | 310.5 m | 272.1 m | 392.9 m | 490.3 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 573.0 m USD
- Financial debt
- 2.8 bn USD
- Net debt
- 2.3 bn USD
- Equity
- 2.8 bn USD
- Total assets
- 6.8 bn USD
- Debt / equity
- 1.02x
- Current ratio
- 2.57x
- ROE
- 1.1%
- ROA
- 0.5%
- FCF margin
- 13.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 3.0 bn | 3.8 bn | 4.0 bn | 4.1 bn | 3.9 bn | 3.7 bn | SEC (XBRL)· 27 Feb 2026verified |
| Cost of revenue | 2.1 bn | 2.5 bn | 2.7 bn | 2.8 bn | 2.8 bn | 2.6 bn | SEC (XBRL)· 27 Feb 2026verified |
| Gross profit | 926.5 m ≈ | 1.3 bn ≈ | 1.3 bn ≈ | 1.3 bn ≈ | 1.2 bn ≈ | 1.1 bn ≈ | SEC (XBRL)· 27 Feb 2026derived |
| Research & development | 131.4 m | 159.1 m | 189.3 m | 178.9 m | 169.3 m | 133.8 m | SEC (XBRL)· 27 Feb 2026verified |
| SG&A | 294.7 m | 337.0 m | 370.6 m | 350.7 m | 392.2 m | 356.2 m | SEC (XBRL)· 27 Feb 2026verified |
| Operating income | 337.7 m | 633.2 m | 670.1 m | 181.7 m | 149.3 m | 237.5 m | SEC (XBRL)· 27 Feb 2026verified |
| Depreciation & amortisation | 255.2 m | 259.1 m | 281.0 m | 307.0 m | 312.8 m | 256.4 m | SEC (XBRL)· 27 Feb 2026verified |
| EBITDA | 593.0 m ≈ | 892.3 m ≈ | 951.1 m ≈ | 488.7 m ≈ | 462.1 m ≈ | 493.9 m ≈ | SEC (XBRL)· 27 Feb 2026derived |
| Interest expense | — | 182.6 m | 195.6 m | 182.2 m | 155.8 m | 149.1 m | SEC (XBRL)· 27 Feb 2026verified |
| Pre-tax income | 165.6 m | 413.9 m | 396.7 m | 17.8 m | -11.8 m | 123.3 m | SEC (XBRL)· 27 Feb 2026verified |
| Income tax | 1.4 m | 50.3 m | 86.0 m | 21.8 m | -140.3 m | 92.0 m | SEC (XBRL)· 27 Feb 2026verified |
| Net income | 164.3 m | 363.6 m | 310.7 m | -3.9 m | 128.5 m | 31.3 m | SEC (XBRL)· 27 Feb 2026verified |
| Diluted EPS | 1.04 | 2.28 | 1.99 | -0.03 | 0.85 | 0.21 | SEC (XBRL)· 27 Feb 2026verified |
| Weighted average diluted shares | 158.1 m | 159.4 m | 155.9 m | 152.1 m | 150.7 m | 147.1 m | SEC (XBRL)· 27 Feb 2026verified |
| Dividend per share | — | — | 0.33 | — | — | — | SEC (XBRL)· 13 Feb 2023verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 1.9 bn | 1.7 bn | 1.2 bn | 508.1 m | 593.7 m | 573.0 m | SEC (XBRL)· 27 Feb 2026verified |
| Receivables | 576.6 m | 653.4 m | 742.4 m | 744.1 m | 660.2 m | 657.4 m | SEC (XBRL)· 27 Feb 2026verified |
| Inventories | 451.0 m | 588.2 m | 644.9 m | 713.5 m | 614.5 m | 617.8 m | SEC (XBRL)· 27 Feb 2026verified |
| Current assets | 3.0 bn | 3.1 bn | 2.8 bn | 2.1 bn | 2.0 bn | 2.0 bn | SEC (XBRL)· 27 Feb 2026verified |
| Property, plant & equipment, net | 803.8 m | 820.9 m | 840.8 m | — | — | — | SEC (XBRL)· 02 May 2023verified |
| Goodwill | 3.1 bn | 3.5 bn | 3.9 bn | 3.5 bn | 3.4 bn | 3.2 bn | SEC (XBRL)· 27 Feb 2026verified |
| Intangibles (excl. goodwill) | 691.5 m | 946.7 m | 999.7 m | 883.7 m | 492.9 m | 411.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Total assets | 7.8 bn | 8.6 bn | 8.8 bn | 7.7 bn | 7.1 bn | 6.8 bn | SEC (XBRL)· 27 Feb 2026verified |
| Accounts payable | 393.9 m | 459.1 m | 531.6 m | 482.3 m | 362.2 m | 413.0 m | SEC (XBRL)· 27 Feb 2026verified |
| Short-term debt | 757.2 m | 4.6 m | 254.6 m | 0 | — | — | SEC (XBRL)· 29 Feb 2024verified |
| Long-term debt | 3.2 bn | 4.2 bn | 4.0 bn | 3.4 bn | 3.2 bn | 2.8 bn | SEC (XBRL)· 27 Feb 2026verified |
| Current liabilities | 1.5 bn | 836.3 m | 1.2 bn | 823.7 m | 711.4 m | 775.1 m | SEC (XBRL)· 27 Feb 2026verified |
| Total liabilities | 5.1 bn | 5.5 bn | 5.6 bn | 4.7 bn | 4.3 bn | 4.0 bn | SEC (XBRL)· 27 Feb 2026verified |
| Equity | 2.7 bn † | 3.1 bn † | 3.1 bn † | 3.0 bn † | 2.9 bn † | 2.8 bn † | SEC (XBRL)· 27 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 559.8 m | 554.2 m | 460.6 m | 456.7 m | 551.5 m | 621.5 m | SEC (XBRL)· 27 Feb 2026verified |
| Capex | 106.7 m | 144.4 m | 150.1 m | 184.6 m | 158.6 m | 131.2 m | SEC (XBRL)· 27 Feb 2026verified |
| Free cash flow | 453.1 m ≈ | 409.7 m ≈ | 310.5 m ≈ | 272.1 m ≈ | 392.9 m ≈ | 490.3 m ≈ | SEC (XBRL)· 27 Feb 2026derived |
| Investing cash flow | -182.1 m | -882.1 m | -590.6 m | -165.0 m | -19.2 m | -95.8 m | SEC (XBRL)· 27 Feb 2026verified |
| Financing cash flow | 710.2 m | 174.9 m | -353.5 m | -1.0 bn | -442.8 m | -550.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Dividends paid | 0 | 0 | 51.1 m | 71.5 m | 72.2 m | 70.4 m | SEC (XBRL)· 27 Feb 2026verified |
| Share repurchases | 35.2 m | 47.8 m | 292.3 m | 88.4 m | 68.9 m | 120.6 m | SEC (XBRL)· 27 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 58 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 6.0 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet58
- Valuation81
- Quality75
- Growth0
- Returns54
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 4.34 – 101.80 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)54.97 – 101.80 (Mid 71.99)WACC 8.0% · starting FCFF 743.1 m USD · terminal value share of EV 77%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -20.4%
- Peers: EV/EBITDA83.11 – 93.25 (Mid 85.34)4 companies used · median multiple 17.8x · quartiles 17.4x – 19.3xAME, FTV, MKSI, ROP
- Peers: P/E81.26 – 95.96 (Mid 83.50)5 companies used · median multiple 33.4x · quartiles 32.5x – 38.4xAME, DHR, FTV, KEYS, MKSI
- Dividend discount (DDM)4.34 – 5.83 (Mid 4.97)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 58/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 8.9% | 73 (vs peers) | 10% |
| Net margin · Quality | 9.5% | 53 (vs peers) | 6% |
| FCF conversion · Quality | 174.9% | 100 (on a fixed band) | 6% |
| Revenue CAGR 3Y · Growth | -2.8% | 0 (on a fixed band) | 8% |
| EPS CAGR 3Y · Growth | -52.7% | 0 (on a fixed band) | 8% |
| Net debt / EBITDA · Balance sheet | 2.3x | 49 (on a fixed band) | 10% |
| Interest coverage · Balance sheet | 4.4x | 44 (on a fixed band) | 6% |
| Current ratio · Balance sheet | 2.4x | 100 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 16.5x | 100 (vs peers) | 10% |
| EV/EBITDA · Valuation | 9.8x | 47 (on a fixed band) | 10% |
| FCF yield · Valuation | 10.7% | 100 (on a fixed band) | 8% |
| Shareholder yield (distributions) · Returns | 1.6% | 23 (on a fixed band) | 6% |
| Payout ratio (FCF) · Returns | 10.9% | 100 (on a fixed band) | 4% |
Score groups
- Balance sheet58/100 · 3/3 factors with a value
- Growth0/100 · 2/2 factors with a value
- Quality75/100 · 3/3 factors with a value
- Returns54/100 · 2/2 factors with a value
- Valuation81/100 · 3/3 factors with a value
Memo
SENSATA TECHNOLOGIES HOLDING PLC (ST). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 3.7 bn USD in 2025; YoY growth -5.8%; net margin 9.5%; ROE 12.7%; net debt/EBITDA 2.3x.
The estimated value range is 68.12–94.61 USD per share (median of 4 methods, agreement: high); assumptions are illustrative. Against the central value of 77.74 USD, the price of 41.12 USD leaves a potential of 89.1% (value / price − 1) and a margin of safety of 47.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 58/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 8.9%
- FCF conversion: 174.9%
- Current ratio: 2.4x
- P/E (TTM): 16.5x
- FCF yield: 10.7%
- Payout ratio (FCF): 10.9%
- The price is below the estimated value range
What contradicts it
- Revenue CAGR 3Y: -2.8%
- EPS CAGR 3Y: -52.7%
- Shareholder yield (distributions): 1.6%
Versus the vertical median
Industrial Instruments For Measurement, Display, and Control (SIC 3823) · same industry (4-digit SIC) · compared with 15 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| DHRDanaher Corporation | 165.3 bn | 38.4 | 8.3% | 16.9% | +2.9% | +4% / +5% |
| AMEAMETEK, Inc. | 54.4 bn | 33.4 | 14.7% | 19.9% | +6.6% | +20% / +53% |
| ROPRoper Technologies, Inc. | 48.7 bn | 19.4 | 13.2% | 30.7% | +12.3% | +10% / −9% |
| KEYSKeysight Technologies, Inc. | 48.7 bn | 39.2 | 20.6% | 19.1% | +8.0% | +44% / +110% |
| FTVFortive Corporation | 20.3 bn | 32.5 | 10.5% | 14.8% | +1.9% | +28% / +31% |
| MKSIMks Inc. | 13.2 bn | 31.1 | 15.9% | 10.1% | +9.6% | +25% / +136% |
| CGNXCognex Corp | 8.9 bn | 51.3 | 11.1% | 16.1% | +8.7% | +39% / +41% |
| RALRalliant Corporation | 7.9 bn | — | -51.8% | -52.1% | −4.0% | +45% / unavailable |
| STSensata Technologies Holding PLC | 6.0 bn | 16.5 | 12.7% | 9.5% | −5.8% | +33% / +27% |
| MLABMesa Laboratories Inc | 706.1 m | 148.1 | 2.7% | 1.9% | +3.4% | +57% / +48% |
| SENSSenseonics Holdings, Inc. | 476.9 m | — | -118.2% | -225.3% | +56.9% | +46% / −24% |
| HURCHurco Companies, Inc. | 137.6 m | — | -3.3% | -3.6% | −4.3% | +31% / +1% |
| SYPRSypris Solutions, Inc. | 29.2 m | — | -69.9% | -9.2% | −14.5% | −42% / −33% |
| CLIRClearsign Technologies Corporation | 16.5 m | — | -51.7% | -96.1% | +45.6% | −67% / −80% |
| FCUVFocus Universal Inc. | 2.2 m | — | -106.0% | -637.2% | −35.9% | −98% / −99% |
| POASPhaos Technology Holdings (Cayman) Limited | — | — | -363.8% | -4,662.3% | −19.3% | −98% / unavailable |
1- and 3-year price returns: for ST from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 22.73 Total return -45% · Per year -45% | 40.33 Total return -2% · Per year -2% | 60.95 Total return 48% · Per year 48% |
| 3 years | 18.95 Total return -54% · Per year -23% | 38.13 Total return -7% · Per year -2% | 63.71 Total return 55% · Per year 16% |
| 5 years | 15.81 Total return -62% · Per year -17% | 36.05 Total return -12% · Per year -3% | 66.59 Total return 62% · Per year 10% |
- Exit P/E± 9.53
- Net margin± 6.67
- Annual revenue growth± 5.89
- Annual dilution± 0.56
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 8-K (27 Oct 2026 · results), 10-Q (27 Oct 2026).
In brief
Sensata Technologies is a global maker of sensors, electrical protection components and sensor-rich systems, serving automotive, industrial and aerospace customers. In the second quarter of 2026 the company reported revenue of 990.6 million USD 2 and organic growth of 4.4% 2, and guided third-quarter revenue to a range of 957 to 987 million USD 3.
SWOT
Strengths
- The company has long relationships with its main customers and is often the established supplier on vehicle platforms, helped by high switching costs 1.
- The portfolio covers sensors, electrical protection and power management, allowing integrated solutions for customers across several industries 1.
- Recent results show higher operating profitability and strong cash generation, supported by cost discipline 23.
Weaknesses
- Dependence on the automotive market remains very large, which makes the company sensitive to industry cycles 1.
- The company has historically found it hard to pass material cost increases to customers, which compresses margins during inflationary periods 1.
- Debt remains significant, although it has been reduced, and this limits financial flexibility 1.
Opportunities
- Rising sensor content per vehicle and electrification could add revenue if the company keeps its position as established supplier 1.
- Demand from data centers and energy infrastructure could open new markets for the Industrials segment 1.
- Lower debt and higher free cash flow could allow further share repurchases or investment if results hold 3.
Risks
- Dependence on the automotive industryhigh
A large share of revenue comes from the automotive market, and falling demand or customer bankruptcies could affect results and covenant compliance 1.
- Product liability and warrantyhigh
Defects or recalls could generate large costs, and warranty periods for electric vehicle components can last eight to ten years 1.
- Material cost pressuremedium
Semiconductors, resins and metals have volatile prices, and the company cannot always pass increases on to customers 1.
- Trade policy and tariffsmedium
Tariffs and export restrictions can change costs and demand, and the company's guidance depends on policies in effect at the date of the release 13.
- Restructuring and divestitureslow
Business sales and reorganizations can lead to goodwill write-offs and divert management attention 1.
Investment thesis
What would need to be true (bull case)
- If the organic recovery holds and margins keep rising, the company could turn recent results into steadier cash flow 23.
- Its established position on automotive platforms, with high customer switching costs, may protect market share over a platform cycle 1.
- Lower debt could leave more room for share repurchases and investment in segments with growing demand 13.
What would break the thesis
- If electrification slows, demand for traditional products could fall faster than new products can make up for it 1.
- Tariff costs and material inflation could compress margins if customer recovery stays partial 13.
- The cyclicality of aerospace and commercial equipment markets can create volatility in quarterly revenue 1.
What to watch
- Delivery of third-quarter revenue and adjusted EPS guidanceQ3 2026
- Trend in adjusted operating margin and the effect of tariff recoveryQ3 2026
- Pace of debt reduction and level of free cash flow2026
- Automotive segment results and electric vehicle demand in the annual reportnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 8-K (27 Oct 2026 · results), 10-Q (27 Oct 2026).
The business
Sensata Technologies Holding plc, legally based in England and Wales, develops, manufactures and sells sensors and sensor-rich solutions, electrical protection components and systems, and other products that translate physical parameters such as pressure or temperature into electronic signals 1. It reports three segments: Automotive, Industrials, and Aerospace, Defense, and Commercial Equipment 1. Customers include automotive OEMs, Tier 1 suppliers and aftermarket distributors, and no customer exceeded 10% of net revenue in 2023 through 2025 1.
The stated strategy rests on improving operational performance, optimizing capital allocation and returning to growth 1. The company has reduced gross debt and repurchased shares, while management says its primary focus is growing the core business, which generates strong cash flows 1. In the second quarter of 2026 free cash flow was 186.4 million USD 3.
Results in 2026 show a recovery in profitability: operating income for the second quarter rose 19.8% year on year 2, and Sensata completed a cash tender offer to retire debt during the quarter 3. The third-quarter guidance includes roughly 10 million USD of expected tariff recovery from customers 3, which shows how sensitive the company remains to trade policy.
Segments
Market context
The company argues that automotive sensor content grows with emissions, efficiency and safety rules as well as electrification 1. Demand in industrial markets is linked to cleaner heating sources and data centers, where the company sees opportunities in cooling, electrical protection and energy storage 1. Aerospace and commercial equipment markets are described as cyclical 1.
Management uses light vehicle production as a proxy for automotive growth and the Purchasing Managers' Index for short-term industrial trends 1. The company says a slower pace of electric vehicle adoption could affect revenue if demand is not replaced by traditional internal combustion vehicle demand 1.
Trends
- Vehicle electrificationmixed
The shift to hybrid and electric powertrains raises the need for contactors, fuses and high-voltage distribution units, where Sensata has a portfolio 1. A slower pace of electric vehicle adoption could, however, reduce demand for components used in internal combustion engines 1.
- Emissions and efficiency rulestailwind
Standards such as the US CAFE requirements and emissions rules call for advanced sensors, which raises content per platform for suppliers like Sensata 1.
- Tariff and material cost pressureheadwind
Tariffs, material inflation and logistics costs have raised production costs, and the company has not always been able to pass increases fully to customers 1. In the second quarter of 2026 management noted the net impact of these costs on cost of revenue 2.
- Data centers and energy infrastructuretailwind
Demand for liquid cooling, electrical protection and energy storage in data centers opens opportunities for the Industrials segment 1. This demand is still developing and may be influenced by infrastructure investment cycles 1.
Competitive position
In each principal automotive product category the company faces three to four suppliers per application, ranging from local players to large groups 1. In Industrials, competitors include divisions of large multinational industrial corporations and smaller firms focused on niches 1.
The company says its advantage rests on product performance in mission-critical environments, quality, reliability, global footprint and innovation transferred from automotive to other segments 1. Some transportation sensor competitors are controlled by major OEMs or suppliers, which limits access to certain customers 1.
- Local and regional automotive sensor suppliers
Suppliers with local presence, cited in the filing as part of the three to four competitors per application in Automotive 1.
- Divisions of multinational industrial corporations
In Industrials the company faces divisions of large industrial groups, not named in the source 1.
- Low-cost manufacturers in China in Industrials
Low-cost suppliers, cited in the filing as adding price pressure in industrial markets 1.
- Automakers producing components in-house
Customers may develop internal capacity or relationships with other suppliers, which can compete with the company 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report27 Oct 2026
- Current report27 Oct 2026Results of operations · Financial statements and exhibits
- Quarterly report29 Jul 2026
- Current report29 Jul 2026Results of operations · Financial statements and exhibits
- Current report11 Jun 2026Shareholder vote
- Current report01 Jun 2026Other events · Financial statements and exhibits
- Current report15 May 2026Other events · Financial statements and exhibits
- Proxy statement29 Apr 2026
- Quarterly report28 Apr 2026
- Current report28 Apr 2026Results of operations · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Sensata Technologies Holding plc · 27 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Sensata Technologies Holding plc · 29 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Sensata Technologies Holding plc · 29 Jul 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.