Dana Incorporated (NYSE: DAN) saw its stock surge 5.39% in Wednesday's pre-market trading session, despite reporting mixed first-quarter results. The automotive parts manufacturer's resilient outlook for 2025 appears to have overshadowed the earnings miss, boosting investor confidence.

For the first quarter of 2025, Dana reported adjusted earnings of $0.13 per share, falling short of the analyst consensus estimate of $0.17. However, the company's quarterly sales of $2.35 billion surpassed expectations of $2.30 billion. While earnings declined compared to the same period last year, Dana's ability to beat revenue projections in a challenging market environment seems to have resonated positively with investors.

Dana's maintained guidance for 2025 likely played a significant role in driving the stock's upward movement. The company expects full-year sales to be above the midpoint of its previously announced range of $9.525 billion to $10.025 billion. Additionally, Dana projects adjusted EBITDA of $925 million to $1.025 billion and diluted adjusted EPS of $1.15 to $1.65 for the year.

The company's focus on cost-savings initiatives appears to be gaining traction, with management highlighting an accelerated plan targeting $225 million in savings for 2025. This proactive approach to improving operational efficiency may have further bolstered investor confidence in Dana's ability to navigate ongoing industry challenges.