The last quarter, 3/31/21, Gentex had their second best quarter of sales in their history. Nice.
They make electronics for cars. Given the current shortage of electronics for cars, I would say that says a lot about how they are managing the company.
This is a company that supplies all major auto manufacturers all over the world. For the last 10 years, their lowest ROE was 15% and usually higher. They have no debt and almost 1/2 billion cash on their balance sheet. That is a great margin of safety. With Covid last year they had a quarter with a slight share loss (no one is perfect), but they kept the bleeding contained well.
With the S&P's P/E over 40, their P/E is only 23.6. As a value guy, it's not as cheap as I like it, but with all their other metrics "kicking up some dust", I would say they are pretty darn good.
I've attached their ROE and earnings per share from their 10k’s and 10Q’s is linked below.
As a value investor, I pay a lot of attention to how businesses have managed in the past (They make high end vision devices - ie rear view cameras). Like baseball,I like to judge things based upon their past performance. The past is an example of the quality of their management. The proof is in the pudding! Moreover, the trajectory into the future is on the right path.
Be smart, be well-read, be aware and be successful.
