Goldman Sachs has raised its rating on Sensata Technologies Holding plc (ST, Financial) from Neutral to Buy, though it has adjusted the price target to $27, down from the previous $31. The decision comes in the wake of a recent market downturn which has affected the company's valuation.
The firm's analysts point to potential growth in Sensata's earnings by 2026 and 2027. This optimism is partly due to an expected recovery in the industrial sector following a period of inventory depletion. Furthermore, Sensata's product offerings, which cater specifically to both combustion and electrification needs, present advantageous opportunities in the hybrid market.
Overall, despite the lowered price target, Goldman Sachs sees long-term growth prospects for Sensata, owing to its strategic positioning and product capabilities in the evolving technological landscape.
