BWS Financial initiated coverage of American Axle (AXL) with a Buy rating and $17 price target. American Axle’s soon to be completed merger with Dowlais Group (DWLAF) creates “a behemoth in the auto suppliers industry” and should lead to significant diversification of the business on multiple fronts, the analyst tells investors. The operating leverage from the merger should result in significant increase in free cash flow starting in 2027, the analyst added, noting that American Axle will soon be known as Dauch Corporation (DCH) and begin trading on the New York Stock Exchange under the new ticker symbol “DCH”.
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Read More on AXL:
- American Axle Rebrands as Dauch Corporation Ahead of Merger
- American Axle to become ‘Dauch Corporation,’ trade under ‘DCH’ ticker symbol
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- American Axle secures Chinese approval for Dowlais merger
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