Aptiv PLC’s Investor Day Takeaways
RBC Capital analysts provided their key takeaways from Aptiv PLC (NYSE:APTV) Investor Day, highlighting that the company’s fully integrated solution set is a point of differentiation and offers a cost savings value proposition.
According to the analysts, the strategy provides exposure to a TAM (Total Addressable Market) that the company expects to grow by 20% to $150 billion in 2025 in core markets with an additional $200 billion long-term TAM upside opportunity in adjacent markets and L4/L5 autonomy.
According to the analysts, the 2025 margin outlook was better than the consensus expectations and importantly appears more derisked. The analysts believe the company’s integrated portfolio of solutions, which enables them to offer a more comprehensive set of solutions than peers and at a lower cost, is supportive of a continuation of the 8-10% gross operating margin target.
For 2025, the company targets revenues of $23-$24 billion, compared to the Street estimate heading into the investor day at $24.6 billion. While the revenue guide is below consensus, operating income is expected to grow to $3.2-$3.5 billion with margins of 14%-14.5%, and above the Street estimates of $3.1 billion and margins of 12.5%.
| Symbol | Price | %chg |
|---|---|---|
| ASII.JK | 6425 | 0 |
| MASA.JK | 6200 | 0 |
| 012330.KS | 290000 | 0 |
| AUTO.JK | 2710 | 0 |
Aptiv PLC (NYSE:APTV) Stock Update: UBS Adjusts Rating and Price Target
- UBS has adjusted its rating for Aptiv PLC (NYSE:APTV) to Neutral and raised the price target from $75 to $94.
- The average brokerage recommendation (ABR) for Aptiv is 1.74, indicating a positive sentiment towards the stock.
- Aptiv's stock price has reached a new 52-week high of $88.44, with a current price of $88.25, reflecting a slight increase.
Aptiv PLC (NYSE:APTV) is a global technology company that develops safer, greener, and more connected solutions for the automotive industry. The company focuses on providing advanced software and hardware solutions to enhance vehicle performance and safety. Aptiv competes with other automotive technology firms like Bosch and Continental.
On October 6, 2025, UBS adjusted its rating for Aptiv PLC (NYSE:APTV) to Neutral, maintaining a hold action. At that time, the stock price was $87.52. UBS also raised the price target for Aptiv from $75 to $94, as highlighted by TheFly. This indicates a more optimistic outlook for the stock, suggesting potential growth.
Wall Street analysts have given Aptiv a favorable outlook, with an average brokerage recommendation (ABR) of 1.74 on a scale from 1 to 5. This rating suggests a positive sentiment towards the stock, as it falls between Strong Buy and Buy. Out of 22 brokerage firms, 14 have rated APTV as a Strong Buy, while one has rated it as a Buy.
The stock for APTV is currently priced at $88.25, reflecting a slight increase of 0.27, or 0.31% in percentage terms. Today, the stock has fluctuated between a low of $87.38 and a high of $88.48. Notably, the stock has reached a new 52-week high of $88.44, while its 52-week low was $47.19.
Aptiv has a market capitalization of approximately $19.2 billion, indicating its significant presence in the automotive technology sector. The trading volume for the day stands at 353,420 shares on the NYSE, showing active investor interest in the stock.
Key Takeaways From Aptiv’s CFO Meeting
RBC Capital analysts provided their key takeaways from Aptiv PLC (NYSE:APTV) meeting with the company’s CFO Joe Massaro.
The company is still calling for a 1% global production decline for 2023 vs IHS Markit's 3.5% level and Volkswagen's 15% volume growth expectation.
The analysts tend to agree with Aptiv as its SPS division is in one out of every three vehicles on the globe and the company gets a 12-week rolling forecast from its OEM customers. Further, the analysts think Volkswagen overshot on its forecast given it only expects a low single-digit decline in price/mix.
The company expects to stay at investment grade and rating agencies understand that much of the leverage has come from recent M&A. Further, $1 billion of debt is prepayable and the company has pushed out maturities. Finally, the company’s 2025 and 2030 forecast is robust and defended by the fact that the company books business 2-3 years out and programs last 5-7 years.
Key Takeaways From Aptiv’s CFO Meeting
RBC Capital analysts provided their key takeaways from Aptiv PLC (NYSE:APTV) meeting with the company’s CFO Joe Massaro.
The company is still calling for a 1% global production decline for 2023 vs IHS Markit's 3.5% level and Volkswagen's 15% volume growth expectation.
The analysts tend to agree with Aptiv as its SPS division is in one out of every three vehicles on the globe and the company gets a 12-week rolling forecast from its OEM customers. Further, the analysts think Volkswagen overshot on its forecast given it only expects a low single-digit decline in price/mix.
The company expects to stay at investment grade and rating agencies understand that much of the leverage has come from recent M&A. Further, $1 billion of debt is prepayable and the company has pushed out maturities. Finally, the company’s 2025 and 2030 forecast is robust and defended by the fact that the company books business 2-3 years out and programs last 5-7 years.
Aptiv Price Target Lowered to $115 From $120
RBC Capital analysts lowered their price target on Aptiv PLC (NYSE:APTV) to $115 from $120, noting that it is their favorite supplier for 2023 and expectations seem more reasonable now.
The analysts expect 2022 revenue at approximately $17.35 billion. In thinking about the drivers for 2023, the analysts think management believes flat LVP is a good starting point. The company is sticking with its 8-10% growth over the market.
According to the analysts, helping the topline are two acquisitions: (1) IAS which was expected to have $265 million in 2022 sales. The deal closed on 12/1/22 so most of this is additive in 2023; (2) Wind River announced 1/11/22 but curiously hasn’t closed. Wind River had $400 million in 2021 revenue, so the analysts assume a similar level for 2023. Thus, including acquisitions, the analysts see 2023 revenue of approximately $19.4 billion as possible.
Aptiv PLC Reports Mixed Q4 Results, Sees Margin Pressures
Aptiv PLC (NYSE:APTV) reported mixed Q4 results and 2022 guidance with better-than-expected top-line growth above market but steeper cost pressure in margins, showcasing the company’s reality for the next 12-24 months.
The company continues to benefit from solid acceleration of its revenue and bookings tied to electrification and active safety. According to the analysts at Deutsche Bank, this is likely to continue for years to come in light of 2021’s record bookings and the company’s goals to book at least as much in 2022.
At the same time, however, the company is seeing pressure not only from temporary supply chain disruptions, but also from inflation in costs of chips and electronic components which could be stickier. The analysts raise their 2022 revenue estimate towards the high-end of company guidance but expect margin expansion to remain constrained by costs, estimating $4.25 of EPS in 2022 and $6.55 in 2023.
Aptiv PLC Reports Mixed Q4 Results, Sees Margin Pressures
Aptiv PLC (NYSE:APTV) reported mixed Q4 results and 2022 guidance with better-than-expected top-line growth above market but steeper cost pressure in margins, showcasing the company’s reality for the next 12-24 months.
The company continues to benefit from solid acceleration of its revenue and bookings tied to electrification and active safety. According to the analysts at Deutsche Bank, this is likely to continue for years to come in light of 2021’s record bookings and the company’s goals to book at least as much in 2022.
At the same time, however, the company is seeing pressure not only from temporary supply chain disruptions, but also from inflation in costs of chips and electronic components which could be stickier. The analysts raise their 2022 revenue estimate towards the high-end of company guidance but expect margin expansion to remain constrained by costs, estimating $4.25 of EPS in 2022 and $6.55 in 2023.
