Autoliv (NYSE:ALV) Shares Gap Down - Here's What Happened

Autoliv, Inc. (NYSE:ALV - Get Free Report)'s stock price gapped down prior to trading on Friday . The stock had previously closed at $116.78, but opened at $111.35. Autoliv shares last traded at $111.29, with a volume of 224,806 shares.

Analysts Set New Price Targets

ALV has been the topic of a number of research reports. Mizuho raised their price target on Autoliv from $95.00 to $112.00 and gave the company an "outperform" rating in a research report on Friday, May 16th. Wall Street Zen upgraded Autoliv from a "buy" rating to a "strong-buy" rating in a research report on Saturday, July 5th. Royal Bank Of Canada assumed coverage on Autoliv in a report on Wednesday, June 25th. They set an "outperform" rating and a $133.00 price target on the stock. Robert W. Baird raised their target price on shares of Autoliv from $108.00 to $126.00 and gave the stock a "neutral" rating in a research report on Friday, July 11th. Finally, Jefferies Financial Group began coverage on Autoliv in a research report on Wednesday, July 2nd. They issued a "buy" rating and a $140.00 target price for the company. Six research analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and three have assigned a strong buy rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $121.19.

Autoliv Stock Performance

The business's fifty day simple moving average is $108.56 and its 200-day simple moving average is $98.18. The company has a market capitalization of $8.65 billion, a P/E ratio of 12.87, a P/E/G ratio of 1.32 and a beta of 1.37. The company has a debt-to-equity ratio of 0.66, a quick ratio of 0.73 and a current ratio of 0.97.

Autoliv (NYSE:ALV - Get Free Report) last issued its quarterly earnings data on Friday, July 18th. The auto parts company reported $2.21 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.07 by $0.14. Autoliv had a return on equity of 30.47% and a net margin of 6.63%. The business had revenue of $2.71 billion for the quarter, compared to analysts' expectations of $2.57 billion. During the same period in the prior year, the firm earned $1.87 EPS. The company's revenue for the quarter was up 4.2% on a year-over-year basis. As a group, equities analysts anticipate that Autoliv, Inc. will post 9.51 earnings per share for the current fiscal year.

Autoliv Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 23rd. Stockholders of record on Friday, September 5th will be given a dividend of $0.85 per share. This represents a $3.40 annualized dividend and a dividend yield of 3.04%. This is a boost from Autoliv's previous quarterly dividend of $0.70. The ex-dividend date is Friday, September 5th. Autoliv's dividend payout ratio is currently 32.22%.

Autoliv announced that its Board of Directors has authorized a stock buyback program on Wednesday, June 4th that authorizes the company to buyback $2.50 billion in outstanding shares. This buyback authorization authorizes the auto parts company to purchase up to 31.3% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

Insider Activity

In related news, Director Jan Carlson sold 1,555 shares of the stock in a transaction on Wednesday, June 11th. The stock was sold at an average price of $108.32, for a total transaction of $168,437.60. Following the sale, the director owned 77,493 shares in the company, valued at approximately $8,394,041.76. This represents a 1.97% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 0.20% of the stock is owned by insiders.

Hedge Funds Weigh In On Autoliv

A number of large investors have recently made changes to their positions in the company. FMR LLC boosted its position in shares of Autoliv by 9.9% during the fourth quarter. FMR LLC now owns 7,146,500 shares of the auto parts company's stock valued at $670,270,000 after buying an additional 641,895 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Autoliv by 418.3% during the first quarter. Charles Schwab Investment Management Inc. now owns 2,483,726 shares of the auto parts company's stock valued at $219,686,000 after purchasing an additional 2,004,515 shares during the period. Swedbank AB grew its holdings in shares of Autoliv by 26.3% in the second quarter. Swedbank AB now owns 2,397,735 shares of the auto parts company's stock worth $268,307,000 after purchasing an additional 499,411 shares during the last quarter. FIL Ltd increased its stake in Autoliv by 17.3% in the 4th quarter. FIL Ltd now owns 2,382,265 shares of the auto parts company's stock worth $223,433,000 after buying an additional 351,876 shares during the period. Finally, Dimensional Fund Advisors LP boosted its position in Autoliv by 14.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,857,069 shares of the auto parts company's stock valued at $164,257,000 after buying an additional 233,469 shares during the period. 69.57% of the stock is 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.

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