Aptiv (NYSE:APTV) Stock Bumped Down to "Hold" by HSBC

Key Points

• HSBC downgraded Aptiv from “Strong Buy” to “Hold.” Several other firms also cut price targets, though analysts’ overall rating remains “Moderate Buy” with a $69.02 consensus target.
• Aptiv shares fell 3.4% to $39.48, close to their 12-month low of $39.40, and well below their 200-day moving average of $58.97.
• The company beat quarterly earnings and revenue estimates: EPS was $1.42 versus $1.33 expected, and revenue reached $3.20 billion, up 2.3% year over year.

Aptiv (NYSE:APTV - Get Free Report) was downgraded by analysts at HSBC from a "strong-buy" rating to a "hold" rating in a note issued to investors on Friday, Zacks reports.

APTV has been the topic of several other research reports. JPMorgan Chase & Co. cut Aptiv from an "overweight" rating to a "neutral" rating and cut their price objective for the company from $65.00 to $56.00 in a report on Tuesday, September 15th. Argus set a $64.00 target price on Aptiv in a research report on Thursday, August 13th. TD Cowen dropped their target price on Aptiv from $77.00 to $72.00 and set a "buy" rating on the stock in a research report on Wednesday. Barclays decreased their price objective on Aptiv from $60.00 to $53.00 and set an "overweight" rating for the company in a report on Wednesday. Finally, Royal Bank Of Canada reduced their price target on shares of Aptiv from $77.00 to $64.00 and set an "outperform" rating on the stock in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Aptiv presently has an average rating of "Moderate Buy" and a consensus price target of $69.02.

Aptiv Trading Down 3.4%

Aptiv stock opened at $39.48 on Friday. The firm has a 50 day simple moving average of $44.13 and a 200-day simple moving average of $58.97. The company has a debt-to-equity ratio of 0.61, a current ratio of 2.02 and a quick ratio of 1.33. Aptiv has a 12-month low of $39.40 and a 12-month high of $88.93. The stock has a market capitalization of $8.20 billion, a PE ratio of 6.00, a price-to-earnings-growth ratio of 0.86 and a beta of 1.43.

Aptiv (NYSE:APTV - Get Free Report) last posted its earnings results on Tuesday, November 3rd. The auto parts company reported $1.42 EPS for the quarter, topping the consensus estimate of $1.33 by $0.09. The firm had revenue of $3.20 billion for the quarter, compared to analysts' expectations of $3.17 billion. Aptiv had a net margin of 1.17% and a return on equity of 17.10%. The company's quarterly revenue was up 2.3% compared to the same quarter last year. During the same quarter last year, the firm earned $2.17 EPS. As a group, equities research analysts expect that Aptiv will post 5.65 EPS for the current fiscal year.

Institutional Investors Weigh In On Aptiv

A number of institutional investors have recently modified their holdings of APTV. Russell Investments Group Ltd. increased its holdings in Aptiv by 11.9% during the 3rd quarter. Russell Investments Group Ltd. now owns 220,785 shares of the auto parts company's stock valued at $9,508,000 after purchasing an additional 23,488 shares during the period. Eurizon Capital SGR S.p.A. raised its holdings in Aptiv by 6.2% during the third quarter. Eurizon Capital SGR S.p.A. now owns 110,399 shares of the auto parts company's stock worth $4,749,000 after purchasing an additional 6,465 shares in the last quarter. Alpha Wealth Funds LLC acquired a new stake in Aptiv during the third quarter worth about $217,000. Maryland State Retirement & Pension System lifted its stake in Aptiv by 8.7% in the 3rd quarter. Maryland State Retirement & Pension System now owns 11,920 shares of the auto parts company's stock valued at $513,000 after acquiring an additional 949 shares in the last quarter. Finally, Jacobi Capital Management LLC lifted its stake in Aptiv by 4.7% in the third quarter. Jacobi Capital Management LLC now owns 16,307 shares of the auto parts company's stock valued at $702,000 after buying an additional 738 shares during the period. Institutional investors own 94.21% of the company's stock.

Key Aptiv News

Here are the key news stories impacting Aptiv this week:

• Positive Sentiment: Aptiv said it is accelerating its robotics expansion with industry partners, a potential opportunity to broaden growth beyond its core automotive business. Aptiv: Accelerates Robotics Expansion With Industry Partners
• Positive Sentiment: Citigroup lowered its price target to $68 from $77 but maintained a Buy rating; the new target implies 72.2% upside from the cited share price. This signals continued optimism, although the reduced target reflects a more cautious valuation. Citigroup stock recommendations
• Neutral Sentiment: Wall Street analysts are described as moderately optimistic despite Aptiv’s substantial underperformance versus the broader market over the past year. Are Wall Street Analysts Predicting Aptiv Stock Will Climb or Sink?
• Negative Sentiment: Several firms lowered their price targets, including Goldman Sachs, which cut its target to $54, and TD Cowen, which reduced its target to $72. Morgan Stanley and RBC also lowered targets, adding to the cautious tone around valuation. Goldman Sachs lowers Aptiv price target TD Cowen cuts Aptiv price target Morgan Stanley lowers Aptiv price target RBC lowers Aptiv price target

Aptiv Company Profile

Aptiv PLC NYSE: APTV is a global automotive technology company that develops systems and software intended to make vehicles safer, more connected and increasingly automated. Its solutions are used by automakers in passenger vehicles and commercial vehicles worldwide.

The company's product portfolio includes advanced driver-assistance and active-safety systems, vehicle computing platforms, infotainment and connectivity technologies, automated-driving solutions, and electrical and electronic distribution systems.

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