Aptiv plc, formerly Delphi Automotive Group, manufacturers vehicle components; and provides electrical and electronic, powertrain, safety, and thermal technology solutions to the automotive and commercial vehicle markets worldwide. The company operates through four segments: Electrical/Electronic Architecture, Powertrain Systems, Electronics and Safety, and Thermal Systems. The company is based in Gillingham, the United Kingdom.
APTV Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for APTV, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Aptiv PLC ranked in the 6th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Aptiv PLC, consider:
Its compound free cash flow growth rate, as measured over the past 5.47 years, is -0.2% -- higher than only 7.88% of stocks in our DCF forecasting set.
APTV's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 26.4% of tickers in our DCF set.
As a business, Aptiv PLC experienced a tax rate of about 3% over the past twelve months; relative to its sector (Consumer Cyclical), this tax rate is higher than only 21.2% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Aptiv PLC? See BLL, DBI, TPR, TXRH, and APEX.
DUBLIN, Sept. 17, 2020 /PRNewswire/ -- Aptiv PLC (NYSE: APTV), a global technology company focused on making mobility safer, greener, and more connected, will present at the Evercore ISI Virtual New Mobility & AI Forum. Aptiv's Senior Vice President and Chief Technology Officer, Glen De…
I've often said that investors should be slow to sell the stocks of good companies only because they look expensive. So does it follow that investors should avoid the stocks of lesser companies even if they look pretty cheap? That's my dilemma with Continental AG (CTTAY) (CONG.XE), as this global...
Stephen Simpson, CFA on Seeking Alpha | September 10, 2020
Technavio has been monitoring the automotive seat control module market and it is poised to grow by 4.82 million units during 2020-2024, progressing at a CAGR of over 3% during the forecast period. The report offers an up-to-date analysis regarding the current market scenario, latest trends and drivers, and the overall market environment. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200804005634/en/ Technavio has announced its latest market research report titled Global Automotive Seat Control Module Market 2020-2024 (Graphic: Business Wire) Technavio suggests three forecast scenarios (optimistic, probable, and pessimistic) considering the impact of COVID-19. Please Request Latest Free Sample Report on COVID-19 Impact The m...