Key Takeaways From Aptiv Analyst Ratings

Throughout the last three months, 9 analysts have evaluated Aptiv APTV, offering a diverse set of opinions from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have recently evaluated Aptiv and provided 12-month price targets. The average target is $120.22, accompanied by a high estimate of $156.00 and a low estimate of $80.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 2.15%.

Decoding Analyst Ratings: A Detailed Look

The standing of Aptiv among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Aptiv. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging 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.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Aptiv's market position. Stay informed and make well-informed 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. Aptiv's largest customers are General Motors and Stellantis, both at roughly 9% of 2022 revenue, followed by Ford and Volkswagen, both at 8%. North America and Europe represented approximately 37% and 31% of total 2022 revenue, respectively.

Breaking Down Aptiv's Financial Performance

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Revenue Growth: Aptiv's remarkable performance in 3 months is evident. As of 30 September, 2023, the company achieved an impressive revenue growth rate of 10.84%. This signifies a substantial increase in the company's 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 surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 31.85% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Aptiv's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 16.28% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Aptiv's ROA stands out, surpassing industry averages. With an impressive ROA of 7.11%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Aptiv's debt-to-equity ratio is below the industry average. With a ratio of 0.65, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

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.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

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