Aptiv price target raised to $92 from $88 at Oppenheimer

Oppenheimer raised the firm’s price target on Aptiv (APTV) to $92 from $88 and keeps an Outperform rating on the shares. With Aptiv moving forward with its EDS spinoff, the firm continues to see unrealized value in shares as global light duty vehicle sales are proving relatively resilient. Oppenheimer believes the RemainCo is well positioned to show higher growth and margins while being reframed as a diversified Industrial AI platform. It views its software platform as particularly leverageable in an emerging industrial AI ecosystem supporting growth in commercial, industrial, aerospace and defense applications. The firm expects RemainCo to garner an increased multiple reflecting a mix of its legacy auto exposure and higher growth in industrial and software offerings. Oppenheimer sees potential for the combined value of Aptiv to re-rate post-spin to a range of $95-$141.