At a glance
CTS Corporation is worth $1.78B, about 29 times its fiscal 2025 earnings. Revenue grew 5.2% to $541.3M in fiscal 2025, with 12.1% kept as profit; over 5 years it has grown 5.0% a year. It pays a 0.26% dividend yield, and returned $194.9M to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +54.7% over the past year with dividends reinvested and +12.5% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 38.5% in the 2020 crash (S&P 500: 33.7%) and 20.6% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 8 months and 2 months after the lows.
The business in plain English
CTS makes electronic components that other companies build into their own products. It groups them as Sense, Connect and Move. Sense products, such as sensors, switches and pedals, feed information into electronic systems. Connect products, such as filters, capacitors and resistors, help systems work in step with each other. Move products are actuators, devices that carry out precise physical movements. CTS was founded in 1896 to make telephone products and is based in Lisle, Illinois.
Its customers are mainly original equipment manufacturers (OEMs, the companies that make finished products) and tier one suppliers (firms that supply parts directly to those manufacturers), plus the U.S. Government. Most parts are engineered for a specific customer's needs. CTS's own sales engineers help design them and generated about 86% of 2025 net sales. Distributors such as Avnet and Digi-Key handled about 7%, and independent sales representatives another 7%.
Transportation was the largest end market in 2025 at 43% of sales, down from 55% in 2023. Industrial made up 26%, medical 16% and aerospace and defense 15%. Toyota accounted for 11.2% of 2025 sales and Cummins for 8.4%. Operations outside the U.S. produced 43.7% of sales, with factories in Mexico, Asia and Europe. Revenue was $541.3 million in 2025, up 5.2% from 2024.
Price history
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CTS +54.7% over the year to Oct 28, 2026, total return with dividends reinvested.
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $149.6M, up 4.6% from a year earlier, and net income was $17.8M (+29.7%).
- For fiscal 2025, revenue was $541.3M (+5.2% year over year; +5.0% a year from FY2020 to FY2025) with a 12.1% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +5.0% good |
|---|---|
| Operating margin | 15.3% good |
| Free cash flow margin | 16% good |
| Return on equity (FY2025) | 11.8% watch |
| Return on assets (FY2025) | 8.5% good |
| Cash and investments | $143.9M (debt isn’t tagged in a standard way in the filings, so net cash can’t be shown) |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $424.1M | $34.7M | $61.9M |
| FY2021 | $512.9M | $-41.9M | $70.5M |
| FY2022 | $586.9M | $59.6M | $106.9M |
| FY2023 | $550.4M | $60.5M | $74.1M |
| FY2024 | $514.8M | $55.5M | $79.6M |
| FY2025 | $541.3M | $65.3M | $86.4M |
Valuation snapshot
| Market value | $1.78B |
|---|---|
| P/E ratio | 28.5 |
| Dividend yield | 0.26% |
Rank among 1514 US companies
Market value at each year end
CTS’s market value went from $733.8M at the end of 2016 to $1.78B on Oct 28, 2026, about 2.4 times as much; since the end of 2025 it is up 43%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $1.78B | +43.0% |
| 2025 | $1.25B | -21.6% |
| 2024 | $1.59B | +16.5% |
| 2023 | $1.36B | +8.4% |
| 2022 | $1.26B | +6.2% |
| 2021 | $1.18B | +6.8% |
| 2020 | $1.11B | +13.2% |
| 2019 | $978.4M | +15.4% |
| 2018 | $847.9M | -0.0% |
| 2017 | $848.1M | +15.6% |
| 2016 | $733.8M |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| CTS price data to Oct 28, 2026 | +46.1% | +54.7% | +19.8% | +12.5% | +14.1% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +46.0% |
| 2025 | -18.4% |
| 2024 | +20.9% |
| 2023 | +11.4% |
| 2022 | +7.8% |
| 2021 | +7.5% |
| 2020 | +15.2% |
| 2019 | +16.5% |
| 2018 | +1.1% |
| 2017 | +15.7% |
| 2016 | +28.1% |
| 2015 | -0.2% |
| 2014 | -9.7% |
| 2013 | +89.5% |
| 2012 | +17.4% |
| 2011 | -15.6% |
| 2010 | +16.4% |
| 2009 | +78.0% |
| 2008 | -43.8% |
| 2007 | -36.1% |
| 2006 | +43.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 83.3% over that stretch · deepest drop along the way 84.2%, back to its old high 51.4 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 35.9% over that stretch · deepest drop along the way 38.5%, back to its old high 7.7 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Gained 10.1% over that stretch · deepest drop along the way 20.6%, back to its old high 1.5 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (23 read): 0 open-market purchases and 4 sales ($9.8M), 4 of them under pre-arranged 10b5-1 trading plans.
| Date | Insider | Type | Value |
|---|---|---|---|
| Jun 2, 2026 | Kieran M O'Sullivan President & CEO, Director | sell (plan) | $4.0M |
| Jun 1, 2026 | Kieran M O'Sullivan President & CEO, Director | sell (plan) | $3.0M |
| Jun 3, 2026 | Kieran M O'Sullivan President & CEO, Director | sell (plan) | $1.5M |
| Feb 2, 2026 | Ashish Agrawal CFO | sell (plan) | $1.3M |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 14.7% | Sep 30, 2025 |
| Wasatch Advisors LP | 12.6% | Jun 30, 2026 |
| EARNEST PARTNERS LLC | 6.7% | Jun 30, 2025 |
| Vanguard Capital Management | 5.06% | Mar 31, 2026 |
| T. Rowe Price Investment Management, Inc. | 1.8% | Sep 30, 2025 |
ETFs with the most weight in CTS
| SURE AdvisorShares Insider Advantage ETF | 0.85% |
| CAFG Pacer US Small Cap Cash Cows Growth Leaders ETF | 0.59% |
| DSMC Distillate Small/Mid Cash Flow ETF | 0.45% |
| SQLV Royce Quant Small‑Cap Quality Value ETF | 0.36% |
| ETHO Amplify Etho Climate Leadership U.S. ETF | 0.31% |
| SMLV SPDR SSGA US Small Cap Low Volatility Index ETF | 0.2% |
| BUYO KraneShares Man Buyout Beta Index ETF | 0.2% |
| JPSE JPMorgan Diversified Return U.S. Small Cap Equity ETF | 0.18% |
What could go wrong
- Two customers drive a big share of sales. Toyota made up 11.2% of 2025 sales and Cummins 8.4%. A major cut in orders, tougher pricing demands or late payment from either could hurt revenue and profits.
- Orders are estimates, not firm commitments. Customers give volume estimates and can cancel, cut or delay orders. Many of CTS's costs are fixed in the short run, so a sudden drop in demand can squeeze margins.
- Exposure to cyclical vehicle and industrial markets. Transportation was 43% of 2025 sales and industrial 26%. Both industries go through sharp downturns, and a slump in either could quickly reduce demand for CTS parts.
- Defense contracts can be cut or delayed. Aerospace and defense grew to 15% of 2025 sales, from 9% in 2023. Government contracts and subcontracts can be suspended, canceled or delayed, which could reduce revenue.
- Tariffs, supply limits and rising costs. CTS sources semiconductors, rare earth elements and conductive inks from a limited number of suppliers and runs factories in Mexico, Asia and Europe. Tariffs, inflation or supply disruptions could raise costs.
- Acquisition and goodwill write-down risk. CTS may acquire or divest businesses, and these deals can go wrong. It also carries substantial goodwill, the premium paid for past acquisitions, and writing that down would reduce reported earnings.
Recent events
- Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
- Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
- Executive or board change
- Shareholder vote results
- Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
- Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
For income and retirement investors
CTS pays a small dividend that has not grown: $0.16 per share in every year from 2020 through 2025, a yield of 0.26% as of October 28, 2026. That used only 7.3% of 2025 earnings and 5.5% of free cash flow (cash left after capital spending). It is easy to afford, but it gives an income investor very little cash, so returns depend mostly on the share price. The company favors buybacks (share repurchases), spending about $170 million on them in 2021–2025 versus about $25 million on dividends. The share count fell 11.6% between October 2021 and October 2026.
The stock has swung hard in downturns. It fell 84% in the 2008 financial crisis and took about 51 months to recover. It dropped 39% in the 2020 COVID crash and recovered in about 8 months. Across the 2022 bear market it rose 10.1%, despite a 21% dip along the way. Single stocks carry more risk than diversified funds.
Questions investors ask
How does CTS make money?
CTS makes money by selling sensors, connectivity components and actuators that other manufacturers build into their products. Its customers are mainly original equipment manufacturers, tier one suppliers and the U.S. Government. Most parts are custom-engineered, and about 86% of 2025 sales came through its own sales engineers. In 2025, transportation made up 43% of sales, industrial 26%, medical 16% and aerospace and defense 15%. Revenue was $541.3 million and net income was $65.3 million, a 12.1% net margin.
Does CTS raise its dividend every year?
No. CTS paid $0.16 per share in every year from 2020 through 2025, so the dividend did not grow over that span. The yield was 0.26% as of October 28, 2026. The dividend used only 7.3% of 2025 earnings, so it is easy to cover. The company has put far more cash into buybacks, though: about $170 million in 2021–2025 versus about $25 million in dividends. Its annual report warns that future dividends may be restricted or eliminated.
Who are CTS's biggest customers?
Toyota and Cummins are CTS's two largest customers. Toyota accounted for 11.2% of 2025 net sales and Cummins 8.4%, both for parts used on specific vehicle platforms. No other customer reached 10%. Cummins' share has fallen from 15.0% in 2023, and CTS says it is working to broaden its customer base. Its annual report lists dependence on a small number of customers as its first risk factor, because a big cut in orders could hurt results.
How much does CTS depend on the car and truck industry?
Transportation is CTS's largest market, but its share is shrinking: 43% of 2025 sales, down from 49% in 2024 and 55% in 2023. Its two biggest customers, Toyota and Cummins, are both transportation customers that use CTS parts on vehicle platforms. Over the same period, industrial grew to 26% of sales, medical to 16%, and aerospace and defense to 15%, up from 9% in 2023.
How has CTS stock performed over the long term?
CTS shares returned about 14.1% a year, based on price, over the 10 years to October 28, 2026. That is a cumulative gain of 273%. Over five years the figure was 12.5% a year. The path was uneven: the shares fell 18.4% in 2025, then rose 46.1% in 2026 through October 28. Their deepest fall in about 21 years of price history was 86.3%. The stock's one-year beta, a measure of swings relative to the market, was 1.45, so it moved more than the market.