DAN

Dana Incorporated

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Overview

Dana manufactures axles, driveshafts, and cooling systems for trucks and SUVs. Following its off-highway divestiture, the company operates through light vehicle

Dana manufactures axles, driveshafts, and cooling systems for trucks and SUVs. Following its off-highway divestiture, the company operates through light vehicle, commercial truck, and power technology segments. Light vehicles generate over half of its $7.5 billion revenue. Key customers include Ford and Stellantis, who rely on Dana's components to improve vehicle efficiency, heavy towing, and critical battery thermal management systems.

What They Do (Plain English & Analogies): Dana is essentially the 'muscles and circulatory system' for vehicles and heavy machinery. The 'muscles' are their drivetrain products—axles, driveshafts, and transmissions—which take power from the engine or motor and deliver it to the wheels so the vehicle can move. The 'circulatory system' refers to their thermal management products, such as gaskets and cooling plates, which keep batteries and engines from overheating. Analogy: If a Ford Super Duty truck is an athlete, Dana provides the strong joints (axles) that allow it to lift heavy loads and the cooling system (thermal plates) that prevents it from passing out from heat exhaustion.
Very Brief History: Founded in 1904 by Clarence Spicer, the company revolutionized the industry by replacing sprocket-and-chain drives with the first encased universal joint. Originally Spicer Manufacturing, it was renamed Dana Corporation in 1946. Over a century, it evolved into a global leader in drivetrain and thermal technologies. In early 2026, the company completed its most significant structural shift by divesting its Off-Highway business to Allison Transmission, pivoting to a leaner 'New Dana' focused on Light Vehicle, Commercial Vehicle, and Power Technologies.
"Street Stereotype": Dana is often stereotyped as a 'legacy metal-bender'—a traditional auto supplier heavily tied to the cyclical North American truck market. However, the narrative is shifting toward a 'self-help' margin expansion story. Investors now view it as a company aggressively using cost-cutting, factory automation, and massive share buybacks to transform itself into a high-margin technology player, regardless of the pace of the electric vehicle transition.
Subsidiaries On Linked In*: Spicer, Victor Reinz, Long, GWB, Thompson, Graziano (Note: Some brands like Brevini were associated with the divested Off-Highway unit, but Spicer and Victor Reinz remain core to New Dana).
Customer Sectors & Example Clients: Dana serves the Light Truck/SUV, Commercial Vehicle (Medium/Heavy Duty), and Aftermarket sectors. Key clients include Ford (specifically the Super Duty, Bronco, and Ranger programs), Stellantis (Jeep Wrangler and Gladiator), PACCAR (Kenworth and Peterbilt), Volvo Trucks, General Motors, and Jaguar Land Rover.
New Customers / Segments They'Re Targeting: Dana is aggressively targeting the North American Aftermarket (specifically sealing and gaskets, a $250M opportunity), the Defense sector (leveraging drivetrain tech for military applications), and 'Applied Technologies' such as high-end Powersports (large off-road quads). They are also gunning for 'range-extended' hybrid platforms as OEMs shift away from pure battery-electric vehicle (BEV) targets.
How Key Themes May Help/Hurt: Dana is a major beneficiary of 'Internal Industrial Automation,' using AGVs and automated machine loading to drive margins toward 15%. However, they are vulnerable to 'EV Transition Volatility'; while they have a $750M backlog, recent cancellations of EV programs by major OEMs have forced them to pivot R&D back to ICE/Hybrid platforms, creating risks of 'stranded' investment costs.

3 Main Long-Term Bull Details

Dana 2030 Strategy: Management has set clear targets for $10B in revenue and 14-15% EBITDA margins, driven by structural cost takeouts and expansion into adjacent markets like Defense and Powersports. 2) Aggressive Capital Return: The company has a $2B share repurchase authorization through 2030, having already retired a significant portion of its float in 2025, which significantly boosts EPS potential. 3) Fortress Balance Sheet: Following the Off-Highway divestiture and $1.9B debt reduction, Dana operates with <1x net leverage and no near-term maturities, providing extreme financial flexibility.

3 Main Long-Term Bear Details

Cyclical Commercial Vehicle Exposure: The North American Class 8 truck market remains 'historically depressed,' and a delayed recovery could cap growth despite internal cost-saving efforts. 2) Customer Concentration: Dana is heavily reliant on a few 'must-have' platforms like the Ford Super Duty and Jeep Wrangler; any production disruptions or shifts in consumer tastes for these specific models would hit Dana disproportionately. 3) Automation Execution Risk: Management admits the company is currently behind industry standards in factory automation; reaching their 2030 margin targets depends entirely on successfully retooling legacy plants without operational hiccups.

Competitors And Differentiation: Primary competitors include American Axle (AXL), BorgWarner (BWA), and Magna International (MGA). Dana differentiates itself through a 'cost advantage model' in the Commercial Vehicle space and a dominant position in high-margin, heavy-duty truck platforms. Unlike some peers, Dana's heavy exposure to profitable ICE and Hybrid truck platforms provides a stable cash flow bridge to fund its long-term technology pivots.
Recent Performance & What The Market'S Focused On: Dana delivered a strong Q4 2025 with an 11.1% EBITDA margin, exceeding preliminary estimates. For FY2026, the company guided to $7.5B in sales and $800M in EBITDA. The market is currently focused on the 'New Dana' transition post-divestiture, specifically the elimination of $40M in 'stranded costs' and the execution of the $300M share buyback target for 2026.
Brands And Revenue Segments: Brands: Spicer (axles and driveshafts), Victor Reinz (sealing and gaskets), Long (thermal management). Revenue Segments: Light Vehicle Drive Systems (approx. 55% of revenue), Commercial Vehicle Drive and Motion Systems (approx. 25% of revenue), and Power Technologies (approx. 20% of revenue).

Bull / Bear Details

As of February 19, 2026, Dana has successfully transitioned to 'New Dana' following the Off-Highway divestiture, resulting in a de-risked balance sheet with net

Thesis

As of February 19, 2026, Dana has successfully transitioned to 'New Dana' following the Off-Highway divestiture, resulting in a de-risked balance sheet with net leverage below 1.0x. The bull case is strengthened by the 'Dana 2030' strategy targeting $10 billion in revenue and 14-15% EBITDA margins through aggressive factory automation and expansion into high-margin adjacencies like defense. While EV volatility persists, Dana's dominant ICE/Hybrid truck position and massive $2 billion buyback program provide a compelling valuation floor.

Bull case

Dana is delivering significant margin expansion, reaching 11.1% in Q4 2025, driven by a $325 million cost-saving run rate. Management's 'self-help' strategy now shifts toward internal industrial automation and structural cost takeout, targeting 14-15% EBITDA margins by 2030. This expansion is largely independent of market growth, relying instead on closing the automation gap with peers and optimizing manufacturing efficiency across its core ICE and hybrid platforms.
The completed Off-Highway divestiture has transformed Dana's capital structure, reducing debt by $1.9 billion and securing a best-in-sector balance sheet with no near-term maturities. This liquidity supports an aggressive $2 billion capital return plan through 2030, including $300 million in 2026 buybacks. With leverage under 1.0x, Dana can comfortably fund growth investments in automation while returning significant value to shareholders regardless of the broader economic cycle.
Dana is diversifying its revenue base through the 'Applied Technologies' pillar, targeting $400-$500 million in high-margin adjacencies like Defense and Powersports. Additionally, the company is entering the $250 million North American sealing and gasket aftermarket, leveraging its dominant 30-35% European market share. These initiatives, combined with Ford's Super Duty capacity expansion in August 2026, provide a clear path to the company's $10 billion revenue target by 2030.

Bear case

The North American Commercial Vehicle market remains a significant headwind, with volumes expected to remain flat through the first half of 2026. While management hopes for a back-half recovery, the lack of a clear 'pre-buy' ahead of 2027 emissions legislation suggests the cyclical trough could be more prolonged than anticipated. Sustained weakness in Class 8 builds could offset Dana's internal cost-saving gains and pressure the 2026 EBITDA guidance.
Ongoing volatility in the EV sector continues to erode Dana's backlog, as OEMs cancel or defer major electric programs. While the pivot back to ICE and Hybrid platforms provides a temporary hedge, it highlights the risk of stranded R&D and capital investments made during the height of the EV push. If consumer adoption of electric trucks remains stalled, Dana may struggle to recoup its heavy e-propulsion investments.
Achieving the 400-basis-point margin expansion required for the Dana 2030 targets carries high execution risk. The plan relies on a significant step-up in capital expenditure to fund factory automation and ERP standardization. Any delays in retooling plants or failure to capture the projected $100 million in structural savings could leave Dana's margins below the 14% target, especially if labor or commodity costs experience renewed inflationary pressure.

Bull / Bear Case

Bear Case: Dana faces significant cyclical headwinds as the North American Commercial Vehicle market remains 'historically depressed' with no clear recovery until mid-2026. The lack of a 'pre-buy' ahead of 2027 emissions regulations suggests a deeper trough for Class 8 trucks than management anticipates. Furthermore, the company continues to see backlog deterioration due to EV program cancellations, risking stranded R&D and capital investments. Achieving the ambitious 2030 target of 14-15% EBITDA margins requires a 400-basis-point expansion that carries high execution risk, especially since Dana admits it is currently 'way behind' peers in plant automation. High customer concentration with Ford and Stellantis remains a structural vulnerability; any production disruptions at these key OEMs would immediately jeopardize Dana's 2026 free cash flow guidance of $300 million.
Bull Case: Dana is successfully transforming into 'New Dana' following the Off-Highway divestiture, which reduced debt by $1.9 billion and brought net leverage below 1.0x. The company is aggressively pivoting from EV volatility toward high-margin ICE and Hybrid platforms, specifically benefiting from Ford's Super Duty capacity expansion. Management's 'self-help' strategy, centered on factory automation and a $325 million cost-saving run rate, already drove Q4 margins to 11.1%. With a $2 billion share repurchase program through 2030 (targeting 8-9% of shares annually) and a 20% dividend hike, the capital return profile is best-in-sector. New growth pillars in Defense, Powersports, and North American Aftermarket sealing provide a credible path to $10 billion in revenue by 2030, largely independent of a broad macro recovery.
More Compelling & Why: Bull. Anchored by a ~10% FCF yield and a forward EV/EBITDA of approximately 5x, the valuation significantly discounts Dana's de-risked balance sheet and margin trajectory. The strongest argument is the 'self-help' margin expansion (reaching 11.1% in Q4) combined with a massive buyback program that can retire nearly 10% of the float annually. This creates a powerful floor for EPS growth even in a flat volume environment. My view would flip to Bear if North American Class 8 build rates drop below 180,000 units or if Ford delays the Oakville Super Duty expansion, as these are the essential cash flow bridges for the 2030 strategy.

Key Factors5 rows

Key Factor	Why It Matters	What To Watch	What It Signals	Where/How To Track	Free Alt Data	Paid Alt Data
North American Aftermarket Sealing Market Entry ($250M Opportunity)	Dana is entering the North American sealing and gasket market, targeting a $250M opportunity. This high-margin aftermarket business is a key pillar of the Dana 2030 growth strategy and reduces OEM cyclicality.	Announcements of distribution partnerships or contract wins with major North American auto parts retailers (e.g., AutoZone, O'Reilly).	Bullish: Securing a major retail or wholesale distribution contract in 2026. Bearish: Failure to gain traction against established incumbents like Fel-Pro.	Company press releases; Aftermarket industry trade publications (e.g., AMN - Aftermarket News).	ImportYeti: Tracking sea shipment records for sealing and gasket components from Dana's European facilities to North America.	YipitData: Retailer SKU tracking to monitor Dana-branded sealing products appearing in North American retail inventories.
Capital Markets Day: Dana 2030 Roadmap (March 25, 2026)	Management has set aggressive long-term targets of $10B in revenue and 14-15% EBITDA margins. This event is the primary catalyst for investors to see the detailed 'walk' for margin expansion and the $100M in additional structural cost savings.	Detailed breakdown of the 400 bps margin expansion bridge; specific automation CapEx commitments; and the timeline for the $100M ERP/shared services savings.	Bullish: Clear, quantifiable roadmap to 14% EBITDA margin by 2030. Bearish: Vague targets or reliance on high-growth assumptions rather than 'self-help' automation.	Company Investor Relations website; March 25, 2026, webcast at 9:00 AM ET.	Google Trends: Search volume for 'Dana 2030 strategy' or 'Dana automation' post-event.	Thinknum: Tracking job postings for 'Automation Engineer' or 'ERP Implementation' to verify structural shift.
North American Class 8 Truck Build Rates (ACT Research)	The Commercial Vehicle segment is a major driver of the $10B revenue goal. While currently flat, Dana expects a back-half 2026 recovery. Sustained low build rates threaten the cyclical recovery thesis.	Monthly Class 8 net orders and daily build rates. Management is looking for a normalization toward 220,000+ units annually.	Bullish: Monthly orders exceeding 20,000 units indicating pre-buy activity for 2027 emissions. Bearish: Monthly orders falling below 15,000 units.	ACT Research monthly State of the Industry reports; FTR Transportation Intelligence reports.	DAT Freight & Analytics: Spot market rate trends as a leading indicator for carrier equipment demand.	Vertical Knowledge: Scraped data from truck dealership inventories and lead times.
Ford Super Duty Oakville Capacity Expansion (August 2026)	Dana has high content on the Ford Super Duty. The August 2026 start-of-production (SOP) at Oakville is a critical volume catalyst for the Light Vehicle segment to offset EV program cancellations.	Ford's quarterly earnings commentary regarding the Oakville retooling progress and confirmed SOP date of August 2026.	Bullish: Confirmation of August 2026 SOP with planned capacity increases. Bearish: Any delay in retooling or reduction in planned Super Duty volume.	Ford Motor Company (F) SEC filings and earnings transcripts; Dana quarterly 10-Q filings.	Local news reports from Oakville, Ontario regarding plant hiring or construction milestones.	S&P Global Mobility (formerly IHS Markit): Light Vehicle Production Forecasts for the Oakville facility.
Share Repurchase Execution ($300M 2026 Target)	Dana plans to return $2B to shareholders through 2030. For 2026, they targeted $300M in buybacks, with $100M already completed in Q1. This supports EPS growth even in a flat revenue environment.	Quarterly 10-Q share count and 'Effect of Share Repurchases' in the cash flow statement. Watch for the remaining $200M deployment.	Bullish: Completion of the full $300M repurchase by year-end 2026. Bearish: Suspension or significant slowdown in buyback activity due to cash flow constraints.	Dana quarterly earnings releases and 10-Q filings (Q1, Q2, Q3 2026).		VerityData: Real-time tracking of open-market share repurchase programs and insider buying.

Key Reported Metrics3 rows

Metric	Why It Matters	Last Period
Total Sales (Continuing Operations)	Following the Off-Highway divestiture, investors are tracking the 'New Dana' top-line stability. With EV program cancellations acting as a headwind, the market is focused on whether ICE and Hybrid truck platform strength can offset volume softness to meet the $7.5 billion annual revenue target.	5.2%
Commercial Vehicle Segment Revenue	This segment represents the primary cyclical risk, with North American markets described as 'historically depressed.' Investors are watching for a revenue floor and evidence of market share gains at major OEMs to offset the lack of a broader market recovery until mid-2026.	-7.5%
Adjusted EBITDA	This is the primary gauge for Dana's $325 million cost-saving program and factory automation efforts. Investors are looking for Q1 to sustain the double-digit margins achieved in Q4 (11.1%) to validate the 2026 guidance of $800 million and the long-term 2030 margin target of 14-15%.	147.6%

Key Questions

Can Dana sustain double-digit EBITDA margins throughout 2026, proving that its internal automation investments and structural cost reductions can offset continu

Can Dana sustain double-digit EBITDA margins throughout 2026, proving that its internal automation investments and structural cost reductions can offset continued volume softness in the North American Commercial Vehicle market?

Question 2: Is the 'Dana 2030' revenue target of $10 billion credible, or do the new growth pillars in 'Applied Technologies' (Defense and Powersports) and Aftermarket sealing represent high-execution-risk pivots to compensate for deteriorating EV backlogs?
Question 3: Will the upcoming March 25 Capital Markets Day provide a sufficiently detailed and quantifiable roadmap for the 400 basis point margin expansion target to convince investors that 14-15% EBITDA margins are achievable without relying on aggressive market growth?

Rerating Thresholds3 rows

Metric	What'S Needed For Rerating	Why It Matters	Earnings Date
Commercial Vehicle Segment Revenue	To trigger a rerating, the Commercial Vehicle segment must pivot from its current -7.5% decline to positive year-over-year growth of 2% to 5%. This requires beating consensus estimates by at least 300 basis points and demonstrating that the North American Class 8 production cycle has bottomed. Additionally, Dana must show that its e-Propulsion sales are offsetting legacy internal combustion engine (ICE) declines, maintaining segment EBITDA margins above 8% despite volume volatility.	The Commercial Vehicle segment is a primary driver of Dana's cyclical recovery and electrification thesis. Positive revenue growth would signal an end to the destocking phase and validate the company's $3 billion EV backlog conversion. This shift reduces earnings volatility fears, justifying a higher P/E multiple closer to industry peers.	2026-02-19
Adjusted EBITDA (Continuing Operations)	To achieve a positive rerating, Dana needs to deliver Adjusted EBITDA exceeding $950 million annually with a margin threshold of 10% or higher. This requires beating the upper bound of current guidance ($925M) by at least 5% and demonstrating sustained year-over-year growth above 15% to prove that electrification scale is finally offsetting legacy margin compression.	Hitting this threshold validates Dana's ability to profitably transition to electric propulsion (e-Propulsion) without sacrificing legacy ICE margins. It addresses investor concerns regarding high capital intensity and leverage, potentially shifting the valuation multiple from its current depressed levels toward the historical peer average of 6-7x EV/EBITDA.	2026-02-19
Total Sales (Continuing Operations)	Dana needs to achieve annual sales growth in the range of 4% to 6% (approximately $10.7 billion to $11.0 billion), significantly outpacing the current 1.1% growth. This requires a 3-5% beat over consensus estimates and clear evidence that its $2.5 billion electrification backlog is converting to realized revenue despite global EV volatility.	Achieving this growth validates Dana's heavy R&D investment in electrification and proves its ability to outpace underlying vehicle production. This shifts the narrative from cyclical debt concerns to secular growth, justifying a higher EV/EBITDA multiple as the company successfully transitions its portfolio toward high-margin electric propulsion systems.	2026-02-19

Earnings Transcript Summary2 rows

2026-02-18 · 2025Q4 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
1. Dana 2030 Strategic Targets: Management is prioritizing a long-term roadmap to reach $10B in revenue and 14-15% EBITDA margins by 2030, driven by a pivot toward ICE/Hybrid longevity and 'Applied Technologies.' 2. Structural Cost Reduction & Automation: Following the delivery of a $325M cost-saving run rate, focus is shifting to $100M in additional structural savings (ERP/shared services) and significant capital investment in factory automation to drive margin expansion. 3. Capital Return & Deleveraging: With the Off-Highway divestiture closed, management is focused on returning $2B to shareholders through 2030 and maintaining a net leverage ratio below 1.0x.	Takeaway: Dana has successfully transitioned to 'New Dana' following the Off-Highway divestiture, boasting a significantly de-risked balance sheet and a clear path to double-digit margins. The company is successfully pivoting its narrative away from EV volatility toward high-margin ICE/Hybrid platforms and internal industrial automation. Tone: Highly Bullish and Confident; Management repeatedly emphasized their 'utmost confidence' in hitting 2030 targets and their satisfaction with the current capital structure and market positioning.	Total Continuing Operations (Q3 2025): +1.1% Y/Y. Light Vehicle: +1.8% Y/Y. Commercial Vehicle: -5.2% Y/Y. Power Technologies: -1.1% Y/Y. (Comparison: Q4 2025 total revenue growth of 5.2% represents a significant acceleration compared to the 1.1% growth seen in Q3 2025).	1. Revenue Growth Bridge to $10B: Analysts questioned how Dana will grow 33% by 2030 given current market softness; Management responded that growth will come from CV market normalization ($2.3B), entering the North American aftermarket sealing space ($250M), and adjacent markets like Defense and Powersports ($400-500M). 2. Margin Expansion Specifics: Analysts asked for the drivers of the 400 bps margin step-up; Management emphasized that 15% margins are not dependent on high growth but rather on 'self-help' automation and structural cost takeout in manufacturing. 3. Excess Cash Usage: Analysts identified ~$650M in unallocated future cash flow; Management stated they are keeping flexibility for further debt retirement, opportunistic M&A (not currently in the $10B target), or additional shareholder returns.	Total Continuing Operations: +5.2% Y/Y ($1,867M vs. $1,774M baseline). Light Vehicle: Positive Y/Y growth in Q4 (cited as a primary driver of the $93M sales increase). Commercial Vehicle: Negative Y/Y volume/mix impact, largely offset by performance actions and customer recoveries. Power Technologies: Impacted by ongoing softness in EV battery cooling, but benefited from currency translation and commodity recoveries.

2025-10-29 · 2025Q3 Earnings Call

3 Things Management Is Most Focused On	Call Takeaway & Tone	Prior Quarter'S Y/Y Growth By Segment	3 Things Analysts Most Pressed On (And Mgmt Responses)	Revenue Segments
1. Margin Expansion via Cost Savings: Management is laser-focused on achieving a $310 million cost-saving run rate to reach 10-10.5% EBITDA margins by 2026. 2. Portfolio Transformation: Completing the divestiture of the Off-Highway business to Allison Transmission to simplify the business and deleverage. 3. Capital Allocation: Aggressively returning capital to shareholders through a $600 million share repurchase program, citing that the stock is 'on sale' and significantly undervalued.	Takeaway: Dana is aggressively using 'self-help' measures (cost cutting and divestitures) to drive record margins even as its Commercial Vehicle and EV end-markets soften. The company is pivoting its growth narrative back toward high-margin ICE and Hybrid truck components. Tone: Confident and assertive; management expressed frustration with the current valuation and used the call to reinforce their commitment to double-digit margins.	Total Continuing Operations (Q2 2025): -0.4% Y/Y. Light Vehicle: +1.8% Y/Y. Commercial Vehicle: -5.2% Y/Y. Power Technologies: -1.1% Y/Y. (Comparison: Q3 2025 saw a slight acceleration in total revenue growth to +1.1% from the slight contraction in Q2).	1. Q4 Margin Bridge: Analysts questioned the steep sequential margin improvement expected in Q4; Management responded that it is driven by the resolution of magnet supply 'log jams' for high-margin orders and the end of restructuring headwinds. 2. Commercial Vehicle Downturn: Analysts asked for signs of a recovery ('green shoots'); Management stated they see no improvement through mid-2026 but are offsetting the cycle by gaining market share at major OEMs. 3. EV Program Volatility: Analysts pressed on the impact of EV cancellations on the backlog; Management acknowledged the headwinds but emphasized that their exposure to strong ICE platforms like Ford Super Duty and Bronco provides a stable hedge.	Total Continuing Operations: +1.1% Y/Y ($1.917B). Light Vehicle: Positive Y/Y growth driven by strong demand for ICE/Hybrid truck platforms. Commercial Vehicle: Negative Y/Y growth due to volume softness in North America and Brazil. Power Technologies: Negative Y/Y growth primarily due to lower demand for electric vehicle battery cooling systems.

Transcript Tidbits2 rows

2026-02-18

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
Dana is targeting a $250 million opportunity by entering the North American sealing and gasket market, where it already holds a 30-35% share in Europe. The company is also expanding into 'Applied Technologies'—a $400 million to $500 million opportunity targeting adjacent markets like powersports (off-roading quad vehicles) and defense, where it plans to increase sales and technical resources.	Dana is leveraging a new low-cost manufacturing facility in Mexico to gain 'share of wallet' at its main North American commercial vehicle customers. In the powersports market, management noted that current supply chains are largely 'Chinese and old technology,' providing an opening for Dana to enter with superior technology and localized production.	The industry is seeing a dramatic pivot as customers adjust product plans back toward traditional ICE and hybrid vehicles due to consumer demand; Dana's business pursuit activity has reversed from 80% EV-dominated to a heavy mix of traditional powertrains. While the light truck market remains steady, the commercial vehicle sector is currently flat with hopes for a back-half recovery in 2026.	Under the 'Dana 2030' strategy, the company is targeting $10 billion in revenue and EBITDA margins of 14-15%. Capital allocation is shifting toward a $2 billion share repurchase plan through 2030, with $300 million targeted for 2026 alone. The company expects to maintain a strong balance sheet with net leverage below one-times through 2026.	Actuator	A significant 'EV-to-ICE/Hybrid pivot' is occurring across the automotive supply chain; 'Internal Industrial Automation' is being utilized as the primary lever for structural margin expansion; 'Applied Technologies' expansion into non-automotive adjacencies like Defense and Powersports.	“Cash flow is the highest the company has delivered since 2013.”; “We have a strong balance sheet—I would say best-in-sector balance sheet.”; “I would not change places with anybody else.”; “We are targeting close to $10 billion of sales [by 2030].”	“Turmoil in the EV side of our business.”; “Weakening demand across both light vehicle and commercial vehicle sectors.”; “Ongoing softness in electric-vehicle light-vehicle platforms.”; “We have had some deterioration of our backlog due to EV program cancellations.”

2025-10-29

About Expanding Eligible Market	About Competition	About The Broader Industry	Where Things Are Headed	Updates On Theme	Broader Themes Emerging	Bullish-Leaning Quotes (Short)	Bearish-Leaning Quotes (Short)	Hiring
Dana is transitioning to 'New Dana' following the divestiture of its Off-Highway business to Allison, which is on track to close in Q4 2025. The company is seeing market expansion through share gains in the North American Commercial Vehicle (CV) segment and incremental production opportunities, such as Ford's plan to expand Super Duty capacity at the Oakville facility starting in August 2026. Additionally, the company is recovering 'frustrated orders' for high-margin products as magnet supply chains in China, India, and Europe stabilize.	Dana claims to have a 'cost advantage model' in the Commercial Vehicle space, which has allowed them to significantly increase their 'share of wallet' and pick up market share at the 'Big 3' customers over the past 12 months. Management acknowledged that their plant automation levels are currently 'well below what you would see at other well-capitalized suppliers,' identifying this as a major internal catch-up and margin expansion opportunity against peers.	The industry is facing a significant wave of EV program cancellations and deferrals, leading Dana to shift its backlog focus back toward ICE and Hybrid platforms. The North American Commercial Vehicle market is described as 'historically depressed' with an annualized run rate of 200,000 units and no immediate signs of a 'pre-buy' ahead of 2026 emissions legislation. However, the broader industry is benefiting from a policy change regarding MSRP exemptions that reduces tariff headwinds for U.S.-assembled vehicles.	Dana is targeting double-digit EBITDA margins of 10% to 10.5% and a 4% free cash flow yield for 2026. Strategically, the company is pivoting capital toward factory automation (AGVs and automated machine loading) to drive efficiency. The EV business is expected to flip from a margin drag to accretive within the next 6 to 12 months. A comprehensive 'New Dana' backlog review is scheduled for January 2026 to reflect the post-divestiture structure.	In	A clear 'EV-to-ICE/Hybrid pivot' is emerging as OEMs delay electrification targets; 'Internal Industrial Automation' is being used as a primary lever for margin protection against volume softness; 'Regulatory Tariff Mitigation' is becoming a tailwind for domestic manufacturers due to broadening MSRP exemptions.	“We're exiting 2025 at that [double-digit margin] level.”; “Our share at some of these [customers] has increased significantly over the past 12 months.”; “The reason why we bought back our stock so aggressively is because we're highly confident in our number.”; “I don't see 10% or 10.5% as being our high watermark.”	“We're not seeing any light at the end of the tunnel [in Commercial Vehicle].”; “We have had some deterioration of our backlog due to EV program cancellations.”; “We're way behind the automotive standard [in automation].”; “The first half is not going to be -- we're not going to see gains [in CV].”

NotesTable

Date	Comment	Comment Type	Comment Sentiment	Link	IS CHANGE	Price Reaction
2026-02-18	Dana's stock surged 5.78% as investors embraced the "New Dana" transformation. Key takeaways included a $1.9 billion debt reduction, aggressive 2030 targets ($10B revenue, 14-15% margins), and a $2 billion buyback commitment. The market rewarded management's successful execution of cost-saving programs and a strategic pivot toward resilient ICE/Hybrid platforms, which offset EV volatility and flat 2026 volume guidance with significant margin expansion.	Earnings Transcript	Bullish	https://www.dana.com/investors/	False	+5.78% (vs SPY: +5.28%)