Autoliv, Inc. (NYSE:ALV) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Analysts have given Autoliv, Inc. a consensus rating of "Moderate Buy", with 12 analysts recommending buy ratings and an average 12-month price target of $120.64.
• Autoliv recently reported earnings of $2.21 per share, exceeding estimates and achieving revenue of $2.71 billion for the quarter.
• The company announced a dividend increase to $0.85 per share and authorized a share buyback plan of up to $2.50 billion, indicating strong financial confidence.

Autoliv, Inc. (NYSE:ALV - Get Free Report) has received an average rating of "Moderate Buy" from the nineteen ratings firms that are currently covering the firm, MarketBeat.com reports. Five analysts have rated the stock with a hold recommendation, twelve have given a buy recommendation and two have given a strong buy recommendation to the company. The average 12 month price target among analysts that have covered the stock in the last year is $120.6429.

ALV has been the subject of a number of analyst reports. Wells Fargo & Company upped their price objective on shares of Autoliv from $100.00 to $104.00 and gave the company an "equal weight" rating in a report on Tuesday, July 1st. Royal Bank Of Canada assumed coverage on shares of Autoliv in a research report on Wednesday, June 25th. They set an "outperform" rating and a $133.00 target price on the stock. Robert W. Baird decreased their target price on shares of Autoliv from $126.00 to $124.00 and set a "neutral" rating on the stock in a research report on Monday, July 21st. BNP Paribas raised shares of Autoliv from a "hold" rating to a "strong-buy" rating in a research note on Friday, May 9th. Finally, Jefferies Financial Group assumed coverage on shares of Autoliv in a research note on Wednesday, July 2nd. They issued a "buy" rating and a $140.00 target price for the company.

Autoliv Stock Performance

Autoliv stock traded up $0.35 during mid-day trading on Monday, hitting $120.27. The company had a trading volume of 182,301 shares, compared to its average volume of 804,763. The company has a current ratio of 0.93, a quick ratio of 0.70 and a debt-to-equity ratio of 0.55. Autoliv has a 12-month low of $75.49 and a 12-month high of $120.31. The company's fifty day moving average is $114.33 and its 200-day moving average is $101.13. The company has a market capitalization of $9.24 billion, a price-to-earnings ratio of 13.16, a P/E/G ratio of 1.24 and a beta of 1.39.

Autoliv (NYSE:ALV - Get Free Report) last issued its quarterly earnings results on Friday, July 18th. The auto parts company reported $2.21 EPS for the quarter, topping the consensus estimate of $2.07 by $0.14. Autoliv had a net margin of 6.83% and a return on equity of 30.73%. The company had revenue of $2.71 billion during the quarter, compared to analyst estimates of $2.57 billion. During the same quarter in the previous year, the firm earned $1.87 EPS. The firm's revenue was up 4.2% compared to the same quarter last year. Equities research analysts predict that Autoliv will post 9.51 EPS for the current year.

Autoliv announced that its Board of Directors has initiated a share buyback program on Wednesday, June 4th that permits the company to buyback $2.50 billion in shares. This buyback authorization permits the auto parts company to buy up to 31.3% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's board believes its shares are undervalued.

Autoliv Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 23rd. Stockholders of record on Friday, September 5th will be paid a dividend of $0.85 per share. The ex-dividend date of this dividend is Friday, September 5th. This represents a $3.40 dividend on an annualized basis and a dividend yield of 2.8%. This is an increase from Autoliv's previous quarterly dividend of $0.70. Autoliv's dividend payout ratio is currently 30.63%.

Insider Activity

In other news, Director Jan Carlson sold 1,555 shares of the business's stock in a transaction dated Wednesday, June 11th. The stock was sold at an average price of $108.32, for a total transaction of $168,437.60. Following the completion of the sale, the director owned 77,493 shares in the company, valued at approximately $8,394,041.76. The trade was a 1.97% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.20% of the company's stock.

Hedge Funds Weigh In On Autoliv

Institutional investors and hedge funds have recently made changes to their positions in the business. Charles Schwab Investment Management Inc. increased its position in Autoliv by 1.4% in the second quarter. Charles Schwab Investment Management Inc. now owns 2,517,790 shares of the auto parts company's stock worth $281,741,000 after buying an additional 34,064 shares during the period. Swedbank AB grew its holdings in Autoliv by 26.3% during the second quarter. Swedbank AB now owns 2,397,735 shares of the auto parts company's stock worth $268,307,000 after acquiring an additional 499,411 shares during the period. Dimensional Fund Advisors LP grew its holdings in Autoliv by 14.4% during the first quarter. Dimensional Fund Advisors LP now owns 1,857,069 shares of the auto parts company's stock worth $164,257,000 after acquiring an additional 233,469 shares during the period. LSV Asset Management boosted its position in shares of Autoliv by 83.3% in the 2nd quarter. LSV Asset Management now owns 1,020,082 shares of the auto parts company's stock valued at $114,147,000 after purchasing an additional 463,449 shares during the period. Finally, Massachusetts Financial Services Co. MA raised its stake in shares of Autoliv by 26.0% during the 2nd quarter. Massachusetts Financial Services Co. MA now owns 999,506 shares of the auto parts company's stock worth $111,845,000 after purchasing an additional 206,200 shares in the last quarter. 69.57% of the stock is currently owned by hedge funds and other institutional investors.

Autoliv Company Profile

Autoliv, Inc, through its subsidiaries, develops, manufactures, and supplies passive safety systems to the automotive industry in Europe, the Americas, China, Japan, and rest of Asia. It offers passive safety systems, including modules and components for frontal-impact airbag protection systems, side-impact airbag protection systems, seatbelts, steering wheels, and inflator technologies.