Abstract

Dana Incorporated will report results on February 18, 2026 Pre-Market. This preview summarizes consensus expectations for revenue, gross margin, net margin, net profit, and adjusted EPS, highlights last quarter’s print and segment dynamics, and details the majority analyst stance over the past six months.

Market Forecast

For the current quarter, Dana Incorporated’s revenue is forecast at $1.86 billion with year-over-year change of -20.24%, EBIT at $103.65 million with a year-over-year change of 44.19%, and adjusted EPS at $0.38 with a year-over-year change of 247.73%. Profitability metrics implied by the last quarter suggest a gross profit margin around the high single digits and a net margin in the low single digits; the company is projected to sustain margin resilience on lower revenues. The main business is expected to remain concentrated in Light Vehicle and Commercial Vehicle driveline and propulsion systems with stable execution, while the most promising area is the Light Vehicle segment, driven by new program launches and cost actions, contributing $1.35 billion last quarter and indicating improving mix year over year.

Last Quarter Review

In the previous quarter, Dana Incorporated delivered revenue of $1.92 billion, a gross profit margin of 8.66%, GAAP net profit attributable to shareholders of $83.00 million with quarter-on-quarter change of 207.41%, a net profit margin of 4.33%, and adjusted EPS of $0.81 with year-over-year change of 575.00%. A notable highlight was the sharp improvement in earnings versus internal expectations, underpinned by better cost control and pricing discipline, even as revenue came in slightly below forecasts. By segment, Light Vehicle generated $1.35 billion and Commercial Vehicle delivered $564.00 million, with Light Vehicle the larger contributor and the principal source of mix benefits.

Current Quarter Outlook (with major analytical insights)

Main business trajectory

Management’s projected revenue of $1.86 billion implies a meaningful year-over-year decline but with operating leverage recovering as EBIT is expected to rise. That combination suggests lower volumes in core driveline and e-Propulsion programs, partly offset by better cost absorption and procurement savings. Margin stabilization should be aided by the pricing resets secured in the last fiscal year and ongoing footprint optimization, which filtered through to last quarter’s gross margin of 8.66% and a net margin of 4.33%. The company’s ability to maintain this margin profile on lower sales will likely hinge on program cadence, after-sales demand, and stable commodity and logistics costs. We will also monitor working-capital intensity to gauge cash conversion through seasonally soft periods.

Most promising segment

The Light Vehicle segment appears positioned to carry the most visible upside to profit, given its $1.35 billion revenue base last quarter and improving contribution mix. New platform ramps and content gains in hybrid and high-efficiency driveline systems can expand contribution margins even if unit volumes soften. The forecasted EPS inflection, with year-over-year growth of 247.73%, indicates substantial operating and financial leverage; Light Vehicle’s higher incremental margins make it a key swing factor for consolidated results. Execution risk remains around launch timing and supplier readiness, yet the cost actions realized in the prior quarter provide a buffer. If global light-vehicle production holds near plan, this segment can outperform internal assumptions.

Key stock-price drivers this quarter

The primary stock catalyst is the spread between the expected revenue contraction and the pronounced recovery in profitability metrics. Investors will parse whether the EBIT outlook of $103.65 million can be met alongside the EPS trajectory of $0.38, which embeds disciplined overhead control and a favorable mix. Price/cost balance is another determinant after last quarter’s earnings improvement; sustained commodity and freight moderation would support margin retention, while an adverse swing could quickly compress the gross margin from its recent 8.66%. Finally, order visibility in Commercial Vehicle and the pace of light-vehicle program launches will influence top-line stabilization and guideposts for the second half, framing whether the rebound in profitability is transitory or more durable.

Analyst Opinions

Across recent commentary, the majority stance trends bullish, emphasizing improving earnings power despite lower revenue expectations. Supportive views highlight that last quarter’s adjusted EPS of $0.81 and net margin of 4.33% reflected tangible progress on pricing and cost actions, creating a better starting point for the current quarter’s EBIT and EPS targets. Analysts point to operating discipline and a pipeline of program launches as the main drivers for near-term margin defense and medium-term earnings expansion, while noting that end-market softness and inventory normalization remain monitoring points. The constructive camp contends that the projected 44.19% year-over-year increase in EBIT, coupled with a 247.73% rise in EPS, indicates that management’s restructuring and mix strategies are gaining traction and should underpin outperformance if execution stays on track.