Aptiv (APTV) Cut to “Sell” at Zacks Investment Research

Aptiv (NYSE:APTV) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Monday, Zacks.com reports.

According to Zacks, “Costs continue to rise at Aptiv due to significant investments in organic as well as inorganic growth, and litigation. Fluctuation in automotive production and sales continue to weigh on the company’s business performance. Seasonality is another headwind. On the flipside, the company is well poised to gain from secular trends toward connected cars and investments in advanced technology. The company has ramped up investments in advanced technology and collaborations to make the most of the lucrative opportunities offered by the rapidly evolving automotive sector. Acquisitions have been a key growth catalyst for Aptiv. The company has a strong presence in China with a major manufacturing base and healthy customer relationships. Shares of Aptiv have outperformed its industry in the past year.”

APTV has been the subject of several other reports. Buckingham Research cut shares of Aptiv from a “buy” rating to a “neutral” rating and set a $81.96 price objective for the company. in a research report on Monday, March 18th. Goldman Sachs Group upgraded Aptiv from a “buy” rating to a “conviction-buy” rating in a report on Wednesday, February 13th. Royal Bank of Canada increased their price objective on Aptiv to $88.00 and gave the stock an “outperform” rating in a research note on Friday, February 1st. Barclays raised their price objective on Aptiv to $90.00 and gave the stock an “overweight” rating in a report on Friday, February 1st. Finally, TheStreet upgraded Aptiv from a “c+” rating to a “b-” rating in a report on Tuesday, February 5th. Two analysts have rated the stock with a sell rating, four have issued a hold rating, fifteen have given a buy rating and one has assigned a strong buy rating to the company’s stock. The company currently has a consensus rating of “Buy” and an average target price of $92.00.

Shares of APTV stock traded up $1.22 during trading hours on Monday, reaching $88.16. 111,612 shares of the stock were exchanged, compared to its average volume of 1,423,149. The stock has a market cap of $22.42 billion, a PE ratio of 16.76, a P/E/G ratio of 1.47 and a beta of 1.79. Aptiv has a 12-month low of $58.80 and a 12-month high of $103.23. The company has a current ratio of 1.29, a quick ratio of 0.95 and a debt-to-equity ratio of 1.10.

Aptiv (NYSE:APTV) last announced its quarterly earnings data on Thursday, January 31st. The auto parts company reported $1.34 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.21 by $0.13. The business had revenue of $3.64 billion during the quarter, compared to the consensus estimate of $3.53 billion. Aptiv had a net margin of 7.39% and a return on equity of 37.39%. Sell-side analysts forecast that Aptiv will post 5.32 EPS for the current year.

In other news, SVP Majdi Abulaban sold 25,130 shares of the stock in a transaction on Thursday, February 14th. The stock was sold at an average price of $80.00, for a total transaction of $2,010,400.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP David M. Sherbin sold 19,689 shares of the firm’s stock in a transaction on Friday, April 5th. The stock was sold at an average price of $86.79, for a total value of $1,708,808.31. The disclosure for this sale can be found here. 0.40% of the stock is owned by insiders.

A number of hedge funds have recently made changes to their positions in APTV. Vanguard Group Inc. boosted its holdings in shares of Aptiv by 1.6% in the 3rd quarter. Vanguard Group Inc. now owns 22,946,461 shares of the auto parts company’s stock valued at $1,925,209,000 after acquiring an additional 360,751 shares during the last quarter. Vanguard Group Inc lifted its holdings in shares of Aptiv by 1.6% in the 3rd quarter. Vanguard Group Inc now owns 22,946,461 shares of the auto parts company’s stock valued at $1,925,209,000 after buying an additional 360,751 shares during the period. Massachusetts Financial Services Co. MA boosted its stake in shares of Aptiv by 11.6% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 11,838,589 shares of the auto parts company’s stock worth $728,902,000 after buying an additional 1,234,844 shares during the last quarter. Norges Bank purchased a new stake in shares of Aptiv in the fourth quarter worth about $380,134,000. Finally, Neuberger Berman Group LLC grew its holdings in Aptiv by 11.7% during the third quarter. Neuberger Berman Group LLC now owns 6,083,604 shares of the auto parts company’s stock worth $510,434,000 after acquiring an additional 638,972 shares during the period. Hedge funds and other institutional investors own 96.61% of the company’s stock.

About Aptiv

Aptiv PLC, together with its subsidiaries, designs and manufacturers vehicle components, and provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets worldwide. It operates through two segment, Signal and Power Solutions, and Advanced Safety and User Experience.

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