Abstract

CTS Corp will report results on February 10, 2026 Pre-Market, and this preview summarizes last quarter’s performance alongside current-quarter revenue, margin, and EPS expectations with the latest institutional perspectives.

Market Forecast

Consensus points to a modest uptick in top-line and earnings this quarter, with CTS Corp’s revenue estimated at $135.86 million, adjusted EPS around $0.60, and year-over-year growth of 2.30% for revenue and 11.11% for EPS; specific gross margin and net margin forecasts have not been provided. The company’s product portfolio is anchored by Transportation, Industrial, Aerospace & Defense, and Medical, with Transportation expected to remain resilient and mix supporting stable margins into the quarter. Medical shows the most promising trajectory as the company continues to pursue higher-value engineered solutions; last quarter’s Medical revenue was $21.96 million, implying a constructive setup for year-over-year improvement as backlog normalizes.

Last Quarter Review

CTS Corp’s previous quarter delivered revenue of $142.97 million, a gross profit margin of 38.71%, GAAP net profit attributable to the parent company of $13.69 million, a net profit margin of 9.57%, and adjusted EPS of $0.60, with year-over-year revenue growth of 7.96%. A key highlight was the company’s ability to sustain a near-40% gross margin despite input cost variability, while net profit declined quarter-on-quarter by 26.12% due to a less favorable mix and expense timing. By business, Transportation generated $58.55 million, Industrial $37.10 million, Aerospace & Defense $25.36 million, and Medical $21.96 million, with Transportation remaining the largest contributor and Medical continuing to expand its content opportunities.

Current Quarter Outlook (with major analytical insights)

Main business: Transportation, Industrial, Aerospace & Defense, and Medical

The near-term setup suggests stable demand in Transportation with revenue concentration providing scale benefits, though cyclical auto build rates and inventory normalization by Tier-1 customers could modestly temper sequential growth. Industrial demand remains mixed across end-markets, but order stability indicates revenue resiliency, supported by ongoing design-ins and a disciplined pricing posture. Aerospace & Defense demand trends are constructive on the defense side, with content gains in sensing and actuation mitigating civil aerospace variability and providing a margin-supportive mix. Medical continues to benefit from content expansion in specialized sensing and components, which typically carry accretive margin profiles; the company’s operational discipline and supply-chain normalization should help preserve a high-30s gross margin range in aggregate. Across segments, backlog visibility and disciplined pricing provide a buffer against cost headwinds, aligning with the forecast of $135.86 million revenue and $0.60 EPS for the quarter.

Most promising business: Medical solutions with higher-value content

Medical appears best positioned for multi-quarter growth as customers seek increasingly integrated sensing and electromechanical solutions. The last quarter’s $21.96 million in Medical revenue reflects an expanding base of programs, and year-over-year comparisons should remain favorable as product mix tilts toward higher-value assemblies. This business typically drives positive mix effects, sustaining gross margin quality and supporting EPS leverage as overhead absorption improves. The commercialization of recent design wins and incremental content per device underpin a constructive outlook for revenue growth through the current quarter and beyond. Execution risks include longer validation cycles and customer inventory management, but the pipeline and program launches suggest steady progress.

Key stock-price drivers this quarter: Revenue cadence, margin mix, and operating expense discipline

The stock’s performance around the print will hinge on whether revenue lands near the $135.86 million estimate and whether mix supports gross margin preservation near the high-30s level. A shift in sales toward Transportation and Industrial at stable pricing would provide volume leverage, while incremental Medical and Aerospace & Defense mix would be margin-accretive and supportive for EPS near $0.60. Operating expense control remains a lever; disciplined spending and supply chain efficiency can help offset any short-term FX or material cost fluctuations. Investors will watch the book-to-bill dynamic and commentary on demand visibility across Transportation and Medical to assess the durability of mid-single-digit revenue growth and low double-digit EPS growth year over year. Any sign of sequential stabilization following the prior quarter’s net profit step-down would be taken as validation that margins can hold the current range.

Analyst Opinions

The prevailing view among institutions is cautiously positive, leaning on steady demand signals and mix quality that support the revenue estimate of $135.86 million and EPS of $0.60 for the quarter. Analysts emphasize consistency in execution and sticky content across Transportation and Medical as key supports for mid-single-digit revenue growth year over year and an 11.11% EPS expansion. Commentary indicates that pricing discipline and backlog coverage should keep gross margins resilient, while operating expense control helps mitigate volatility in end-market demand. On balance, institutions expect CTS Corp to meet or modestly exceed revenue and EPS estimates if mix skews toward higher-margin Medical and Aerospace & Defense programs, with the majority recommending a constructive near-term stance predicated on stable execution and prudent cost management.