4 Analysts Assess Autoliv: What You Need To Know

4 analysts have shared their evaluations of Autoliv ALV during the recent three months, expressing a mix of bullish and bearish perspectives.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $109.25, along with a high estimate of $142.00 and a low estimate of $95.00. Observing a 3.8% increase, the current average has risen from the previous average price target of $105.25.

Understanding Analyst Ratings: A Comprehensive Breakdown

The analysis of recent analyst actions sheds light on the perception of Autoliv by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Autoliv. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Autoliv compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Autoliv's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

To gain a panoramic view of Autoliv's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Autoliv analyst ratings.

Unveiling the Story Behind Autoliv

Autoliv is the global leader in passive safety components and systems for the auto industry. Products include seat belts, frontal air bags, side-impact air bags, air bag inflators, and steering wheels. The Renault-Nissan-Mitsubishi alliance is the company's largest customer at 11% of 2022 revenue, with Stellantis accounting for 11% and Volkswagen 10%. At 34% of 2022 revenue, the Americas was Autoliv's largest geographic region, followed by Europe at 27%, China at 21%, and Japan at 8%.

Key Indicators: Autoliv's Financial Health

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Positive Revenue Trend: Examining Autoliv's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 12.77% as of 30 September, 2023, showcasing a substantial increase in top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 5.16%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 5.34%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Autoliv's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 1.68%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Autoliv's debt-to-equity ratio is below the industry average at 0.82, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.