Breaking Down Aptiv: 8 Analysts Share Their Views

Across the recent three months, 8 analysts have shared their insights on Aptiv APTV, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Aptiv and provided 12-month price targets. The average target is $104.38, accompanied by a high estimate of $145.00 and a low estimate of $82.00. Observing a downward trend, the current average is 0.95% lower than the prior average price target of $105.38.

Diving into Analyst Ratings: An In-Depth Exploration

A clear picture of Aptiv's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Aptiv. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Aptiv compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Aptiv's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Aptiv's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Aptiv analyst ratings.

Delving into Aptiv's Background

Aptiv's signal and power solutions segment supplies components and systems that make up a vehicle's electrical system, including wiring assemblies and harnesses, connectors, electrical centers, and hybrid electrical systems. The advanced safety and user experience segment provides body controls, infotainment and connectivity systems, passive and active safety electronics, advanced driver-assist technologies, and displays, as well as the development of software for these systems. In 2023, Aptiv's top 10 customers accounted for 54% of revenue, all of which were less than 10%. Historically, General Motors, Stellantis, Ford, and Volkswagen, have been the firms largest customers. North America, Europe, and Asia represented approximately 37%, 33%, and 28% of total 2023 revenue, respectively.

Breaking Down Aptiv's Financial Performance

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Positive Revenue Trend: Examining Aptiv's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 1.72% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.

Net Margin: Aptiv's net margin excels beyond industry benchmarks, reaching 4.45%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 1.92%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.91%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.61.

Analyst Ratings: Simplified

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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