Caution Advised Before Purchasing Dana Incorporated (NYSE:DAN) Ahead of Ex-Dividend Date
Ex-Dividend Date: Dana Incorporated's stock will trade ex-dividend on November 7, meaning investors purchasing shares after this date will not receive the upcoming dividend of $0.10 per share, which will be paid on November 28.
Dividend Sustainability: The company's dividend is currently covered by both profit and cash flow, with a payout ratio of 87% of profits and 78% of free cash flow, suggesting that while the dividend is sustainable for now, future growth may be limited due to declining earnings.
Earnings Decline: Dana has experienced a significant 19% annual decline in earnings over the past five years, raising concerns about the future sustainability of its dividend and the potential for cuts if earnings continue to fall.
Investment Consideration: While Dana's dividend appears sustainable, the combination of shrinking earnings and high payout ratios makes it less attractive for long-term buy-and-hold investors, and potential buyers should be aware of the associated risks.
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- Earnings Release Schedule: Dana Incorporated will release its fourth-quarter and full-year financial results for 2025 on February 18, 2026, with a press release expected at 7 a.m. EST, followed by a conference call at 9 a.m. to discuss the results and answer questions.
- Participation Details: The conference call can be accessed via domestic and international dial-in numbers, with Conference ID 9943139; the toll-free number for domestic participants is 1 (888) 440-5873, and the international dial-in number is 1 (646) 960-0319, ensuring easy access for investors.
- Online Access: Audio streaming and slides will be available on Dana's investor website, allowing investors to listen to the conference in real-time, thereby enhancing information transparency and engagement.
- Company Overview: Dana Incorporated is a leader in designing and manufacturing efficient propulsion and energy-management solutions, with projected sales of $7.5 billion in 2025 and a workforce of 28,000 across 24 countries, showcasing its significant market presence and commitment to sustainable progress.
- Earnings Release Schedule: Dana Incorporated is set to announce its fourth-quarter and full-year financial results for 2025 on February 18, 2026, with a press release at 7 a.m. EST followed by a conference call at 9 a.m. EST to discuss the results and answer questions.
- Conference Call Access: Participants can join the call using the provided dial-in information, with a toll-free number for domestic calls at 1 (888) 440-5873 and an international dial-in number at 1 (646) 960-0319, ensuring easy access for investors.
- Online Audio Streaming: During the call, Dana will offer audio streaming and slides via its investor website, enhancing investor engagement and ensuring transparency of information shared during the discussion.
- Company Overview: Dana reported preliminary sales of $7.5 billion in 2025, employing 28,000 people across 24 countries, highlighting its leadership in providing propulsion and energy management solutions globally.

- Successful Business Sale: Dana Incorporated completed the sale of its Off-Highway business for $2.7 billion, resulting in net proceeds of $2.4 billion, which enhances financial flexibility amid tariff challenges and reflects strong strategic execution.
- EBITDA Target Increase: Management raised the 2026 EBITDA target range to 10%-11%, up from the previous 10%-10.5%, indicating confidence in future profitability and potential shareholder returns.
- Cost Reduction Plan: Dana increased its cost reduction target for 2026 to $325 million, exceeding the prior target of $310 million, demonstrating ongoing efforts to optimize operational efficiency and improve margins.
- Stable Market Outlook: While 2026 sales are expected to be flat at around $7.5 billion, the company's robust $750 million backlog and focus on the North American market suggest future growth potential, particularly in the aftermarket segment.
- Strong Performance: Dana's preliminary FY25 sales reached $7.5 billion, exceeding the expected range of $7.3 billion to $7.5 billion, with adjusted operating income of $600 million, showcasing significant financial flexibility during its transformation.
- Share Price Surge: Following robust performance, Dana's shares surged over 10%, reflecting market optimism regarding the company's future growth potential, particularly after the sale of its Off-Highway business.
- Cost-Saving Initiatives: Dana anticipates completing its $325 million cost-reduction program in 2026 while continuing a $1 billion capital return plan, which will further enhance profitability and competitive positioning.
- Long-Term Growth Outlook: The company expects 2026 sales between $7.3 billion and $7.7 billion, surpassing the street consensus of $7.63 billion, with an anticipated $200 million in incremental new business growth from next-generation platforms, indicating sustainable long-term value creation potential.
- Sales Outlook Optimistic: Dana projects FY 2025 sales of approximately $7.5 billion, surpassing the market consensus of $7.42 billion, indicating strong performance and growth potential in the market.
- Profitability Improvement: The company anticipates FY 2025 EBITDA of around $600 million, representing 8% of sales, reflecting significant progress in cost control and profitability enhancement.
- New Business Growth Potential: Dana's three-year new business backlog totals $750 million, driven by new program awards and increased content in both light and commercial vehicle segments, with an expected $200 million incremental growth in 2026.
- Positive Future Outlook: Dana expects FY 2026 sales between $7.30 billion and $7.70 billion, with EBITDA projected between $750 million and $850 million, demonstrating confidence in future market demand.

- Full-Year Performance: Dana Incorporated reported approximately $7.5 billion in sales for 2023 and an adjusted EBITDA of about $600 million, indicating strong market performance and robust financial health.
- 2026 Sales Guidance: The company provided preliminary sales guidance for 2026 in the range of $7.30 billion to $7.70 billion, reflecting confidence in future growth and offering clear financial expectations for investors.
- Margin Improvement: Dana raised its 2026 margin guidance midpoint to 10.5%, which not only demonstrates effective cost control but may also enhance investor confidence in the company's profitability.
- Stock Price Movement: Despite Dana's shares closing down 1.02% at $27.25 on Tuesday, the positive performance and outlook released by the company could attract more investor interest in the near future.







