Aptiv reinstated with a Buy at Goldman Sachs

Goldman Sachs analyst Mark Delaney reinstated coverage of Aptiv (APTV) with a Buy rating and $74 price target following the company’s spin-off of its Electrical Distribution Systems business as a new standalone company Versigent. Goldman believes that Aptiv’s non-auto businesses will position the company for growth that is faster than the tier 1 supplier group median given a positive backdrop for several of these businesses, especially industrial and A&D, along with signs of improvement in Class 8 trucking, the analyst tells investors in a research note. Aptiv’s auto business will also have reasonable growth over the medium term given the firm’s expectation for relatively stable auto production.