Garrett Motion Stays in the Fast Lane with Scuderia Ferrari HP

Rhea-AI Summary

Garrett Motion (Nasdaq: GTX) renewed its technical partnership with Scuderia Ferrari HP to develop and supply the next-generation turbo system for Ferrari’s Formula 1 power unit starting with the 2026 FIA regulation cycle. The agreement continues a collaboration that began in 2014 and targets greater efficiency, faster energy recovery, and improved responsiveness under the 2026 ruleset.

The announcement highlights Garrett's aerodynamic and thermal engineering focus and reaffirms its role as a trusted motorsport technology supplier supporting Ferrari’s performance objectives.

Positive

• Extended supply agreement to develop Ferrari's next-generation turbo system for 2026
• Reinforces Garrett's long-term technical partnership since 2014 with a premier F1 team
• Positions Garrett as a trusted technology supplier emphasizing aerodynamic and thermal engineering

Negative

• 2026 regulations create a significant technical challenge for power unit development
• Greater electric contribution demands higher efficiency and faster energy recovery from suppliers

News Market Reaction

-1.15%

1 alert

-1.15% News Effect

On the day this news was published, GTX declined 1.15%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Regulation cycle start: 2026 Partnership start year: 2014 Season reference: 2026

3 metrics

Regulation cycle start 2026 FIA regulation cycle for which Garrett supplies Ferrari’s turbo system

Partnership start year 2014 Technical collaboration with Scuderia Ferrari began in 2014 hybrid turbo era

Season reference 2026 Garrett turbo system targeted for the 2026 Formula 1 season

Market Reality Check

Price: $18.42 Vol: Volume 1,164,469 is 0.49x...

low vol

$18.42 Last Close

Volume Volume 1,164,469 is 0.49x the 20-day average of 2,390,048, indicating relatively subdued trading interest pre-announcement. low

Technical Price at $18.25 is trading above the 200-day MA of $13.64, keeping GTX in a pre-existing uptrend and within 5.34% of its 52-week high.

Peers on Argus

GTX gained 0.61% while peers were mixed: DAN -1.19%, GT +1.05%, PHIN +0.38%, ATM...

GTX gained 0.61% while peers were mixed: DAN -1.19%, GT +1.05%, PHIN +0.38%, ATMU +0.84%, VC +0.65%. With no peers in the momentum scanner and a spread of outcomes, the move appears more company-specific than sector-driven.

Historical Context

5 past events · Latest: Jan 16 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 16	Earnings call notice	Neutral	-3.8%	Scheduled Q4 2025 earnings release and conference call details.
Dec 03	Share repurchase plan	Positive	+1.6%	Board-approved $250M 2026 share repurchase and capital return framework.
Nov 05	Conference participation	Neutral	-0.9%	Participation announcement for Baird Global Industrial Conference and tech overview.
Oct 23	Earnings and dividend	Positive	+19.3%	Q3 2025 beat with raised outlook, higher dividend, and debt repayment.
Oct 09	Earnings call notice	Neutral	-0.1%	Q3 2025 results release timing and access details for investors.

Pattern Detected

Recent history shows strong positive reactions to fundamental updates like Q3 2025 earnings and constructive responses to capital return actions, while routine conference call announcements have seen modest or negative moves.

Recent Company History

Over the last few months, GTX has highlighted capital returns and solid fundamentals. On Oct 23, 2025, Q3 2025 results with higher sales, earnings, and outlook produced a 19.34% gain. A $250M 2026 buyback on Dec 3, 2025 saw a smaller 1.58% rise. Conference-call scheduling releases on Oct 9, 2025 and Jan 16, 2026 had minor negative reactions. Today’s Ferrari partnership renewal fits the broader narrative of technology leadership and motorsport positioning rather than financial guidance.

Market Pulse Summary

This announcement highlights the renewal of Garrett’s technical partnership with Scuderia Ferrari HP...

Analysis

This announcement highlights the renewal of Garrett’s technical partnership with Scuderia Ferrari HP and its role in supplying next-generation turbo systems for the 2026 FIA regulation cycle. The news reinforces GTX’s positioning in high-performance propulsion rather than updating specific financial metrics. In context of prior strong Q3 2025 results and capital return actions, investors may monitor how this motorsport collaboration supports technology credibility and future commercial opportunities across the broader auto parts business.

Key Terms

hybrid turbo, power unit, aerodynamic, thermal engineering

4 terms

hybrid turbo technical

"the deep collaboration that began in 2014 with the introduction of Formula 1’s hybrid turbo era"

A hybrid turbo is a leveraged financial product that gives investors amplified exposure to an underlying asset (like a stock or index) by combining features of a loan and a short-term option; think of it as a turbocharger for returns that can boost gains but also magnify losses. It typically includes a trigger or “knock-out” level that can immediately end the position if the underlying moves against you, plus a built-in financing cost, so investors should treat it as a high-risk, short-term tool rather than a plain shareholding.

power unit technical

"next-generation turbo system for Ferrari’s Formula 1 power unit starting with the 2026 FIA regulation cycle"

A power unit is the machine or assembly that creates the mechanical or electrical energy needed to run equipment, vehicles, or facilities—examples include engines, turbines, generators, or battery-and-motor systems. Investors watch power units because they determine operating costs, reliability, regulatory compliance and the useful life of assets; in short, a company’s “engine” affects profitability, capital needs and competitive strength much like a heart determines an organism’s stamina and health.

aerodynamic technical

"turbo system will leverage state-of-the-art aerodynamic and thermal engineering"

Aerodynamic describes how an object’s shape and design lets air flow around it to reduce resistance and control lift or downforce; think of it as how smoothly something “cuts” through air. For investors, aerodynamic qualities affect fuel or energy use, speed, noise, and safety, which in turn influence operating costs, regulatory approval, product appeal and competitive position—similar to how a cyclist tucking in saves energy and goes faster.

thermal engineering technical

"turbo system will leverage state-of-the-art aerodynamic and thermal engineering"

Thermal engineering is the practice of designing and controlling how heat is generated, moved and removed in machines, buildings and electronic devices to keep them safe, efficient and reliable. For investors it matters because good thermal design reduces product failures, energy and warranty costs, and regulatory or safety risks—think of it as the insulation and air-conditioning for technology and industrial systems that protects performance and margins.

AI-generated analysis. Not financial advice.

PLYMOUTH, Mich. and ROLLE, Switzerland, Jan. 30, 2026 (GLOBE NEWSWIRE) -- Garrett Motion Inc. (Nasdaq: GTX), a global leader in high-performance turbocharging and electrification technologies, today announced the renewal of its long-standing technical partnership with Scuderia Ferrari HP. Under this extended agreement, Garrett will continue to develop and supply the next-generation turbo system for Ferrari’s Formula 1 power unit starting with the 2026 FIA regulation cycle.

This renewal marks an exciting milestone for Garrett and reinforces the deep collaboration that began in 2014 with the introduction of Formula 1’s hybrid turbo era. For more than a decade, Garrett’s cutting-edge boosting technologies have supported Ferrari’s pursuit of performance, efficiency, and reliability at the highest level of motorsport.

In the 2026 Formula 1 season, the sport will move to a simpler hybrid architecture with a significantly larger electric contribution requiring power units that deliver greater efficiency, faster energy recovery, and sharper responsiveness in every phase of a lap.

“We are proud to extend our technical partnership with Scuderia Ferrari HP into the next era of Formula 1,” said Olivier Rabiller, President and CEO of Garrett Motion. “Our teams share the same ambition for breakthrough innovation, and we look forward to supporting Ferrari’s performance targets with our next-generation turbo technologies.”

As Scuderia Ferrari kicks off the 2026 season, Team Principal Frédéric Vasseur highlighted the value of the continued collaboration: “Garrett has been a trusted partner for many years, and their technology has consistently supported us in achieving our goals. As we prepare for the significant technical challenge of the 2026 regulations, we are pleased to continue this collaboration and to rely on Garrett’s expertise as we enter the next chapter of Formula 1.”

Garrett’s upcoming turbo system will leverage state-of-the-art aerodynamic and thermal engineering to deliver maximum responsiveness and power density, aligned with the demands of the 2026 ruleset.

The continuation of this partnership reinforces Garrett’s position as a trusted technology supplier to leading motorsport teams and its ability to help shape the next chapter of high-performance propulsion.

Media Contact:

Fabrice Spenninck
MediaRelations@garrettmotion.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/102882de-bb39-4300-aa47-9789083f6c55

FAQ

What did Garrett Motion announce about its partnership with Scuderia Ferrari HP on January 30, 2026 (GTX)?

Garrett announced a renewal to develop and supply Ferrari’s next-generation turbo for the 2026 season. According to the company, the deal continues a collaboration begun in 2014 focused on boosting performance, efficiency, and reliability under the new 2026 FIA regulation cycle.

How will Garrett’s turbo system support Ferrari’s 2026 Formula 1 power unit (GTX)?

The turbo will deliver greater responsiveness and power density suited to 2026 rules. According to the company, it leverages advanced aerodynamic and thermal engineering to meet increased efficiency and faster energy recovery requirements.

Why is the 2026 FIA regulation cycle important for Garrett Motion and Ferrari (GTX)?

The 2026 rules introduce a simpler hybrid architecture with larger electric contribution, raising technical demands. According to the company, this shift requires power units to deliver higher efficiency, faster recovery, and sharper responsiveness each lap.

What does the renewal mean for Garrett Motion’s position in motorsport (GTX)?

The renewal reinforces Garrett’s role as a trusted supplier to leading teams in high-performance propulsion. According to the company, continuing the partnership with Ferrari underscores its capability to shape next-generation turbo technologies.

Who commented on the partnership renewal between Garrett Motion and Scuderia Ferrari HP (GTX)?

Garrett’s CEO Olivier Rabiller and Ferrari Team Principal Frédéric Vasseur commented on the renewal. According to the company, both emphasized shared ambition for innovation and the importance of Garrett’s expertise for the 2026 technical challenge.