Knowles: Margin Recovery Is Real, But The Market Still Wants Proof
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Emmanuel Onwusah370 FollowersFollow5ShareSavePlay(8min)CommentsSummaryKnowles Corporation delivered high-quality Q3 2025 earnings, with fundamentals trending positively and no reliance on one-time items or cost relief.Precision Devices is now KN's earnings engine, showing broad-based growth, improved operating leverage, and a 35–40% drop-through on incremental revenue.MedTech & Specialty Audio segment provides stability, maintaining strong 44% EBITDA margins and reducing downside risk despite muted growth.KN's valuation remains reasonable at ~15x EV/EBITDA and ~21x P/E, with upside tied to continued execution and normalization in specialty film margins. 55Ohms/iStock via Getty Images I've spent a fair bit of time reviewing Knowles’ stock performance over the last year, and I'm not too surprised the stock has been up and down all year. The performance doesn't quite line up with the company'sThis article was written byEmmanuel Onwusah370 FollowersFollowI’m Emmanuel Onwusah—a financial analyst, writer, and recovering engineer. I hold FMVA® and BIDA® certifications from the Corporate Finance Institute, and I spend most of my time creating pitch decks, building models, analyzing companies, and trying to make sense of where value meets narrative. My background is in petroleum and gas engineering, but I moved into finance because I’ve always been drawn to how businesses grow, how markets react, and how data tells stories. I focus on tech, infrastructure, and internet services, with a bias for companies that pair strong fundamentals with real potential.I write here to think in public, share investment ideas, and connect with other investors who care about long-term returns, not just short-term noise. If you enjoy thoughtful breakdowns and real conversation around stocks, you’re in the right place. There’ll be charts, jokes, and hopefully, some profitable ideas.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.