Autoliv (ALV) AI Stock Analysis

• Market Cap: $9.22B
• Dividend Yield: 2.42%
• Average Volume (3M): 697.45K
• Price to Earnings (P/E): 12.5
• Beta (1Y): 1.00
• Revenue Growth: 0.84%
• EPS Growth: 26.17%
• Country: US
• Employees: 59,310
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 2.32
• Shares Outstanding: 75,965,350
• 10 Day Avg. Volume: 634,929
• 30 Day Avg. Volume: 697,450
• PEG Ratio: 0.29
• Price to Book (P/B): 3.30
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 15.67
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 1.08
• Enterprise Value/Gross Profit: 5.58
• Enterprise Value/Ebitda: 7.87
• 1Y Price Target: $137.44
• Price Target Upside: 12.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $130.00 ▲(6.77% Upside)

Autoliv's overall stock score is driven by strong financial performance and positive earnings call highlights, including record sales and strategic investments. However, bearish technical indicators and challenges such as unfavorable customer mix and tariff impacts weigh on the score.

Positive Factors

Revenue Growth

Autoliv's consistent revenue growth highlights its strong market position and ability to capitalize on vehicle production trends, ensuring long-term stability and expansion opportunities.

Strategic Investments

These strategic investments enhance Autoliv's innovation capacity and market penetration in key regions, positioning the company for sustained growth and competitive advantage.

Cash Flow Generation

Robust cash flow generation underscores Autoliv's strong financial health, providing flexibility for future investments and resilience against economic fluctuations.

Negative Factors

Unfavorable Customer Mix

An unfavorable customer mix can limit revenue potential and affect profitability, requiring strategic adjustments to align with market demands and optimize sales channels.

Tariff and Inflation Impacts

Persistent tariff and inflation pressures can erode margins, necessitating cost management strategies to maintain profitability and competitive pricing.

Challenges in Europe and Japan

Declining vehicle production in key regions may hinder revenue growth, requiring strategic focus on emerging markets to offset regional downturns.

Autoliv Business Overview & Revenue Model

Company Description

Autoliv, Inc. is a global leader in automotive safety systems, headquartered in Sweden. The company specializes in the design, development, and manufacture of safety products including airbags, seatbelts, steering wheels, and other critical safety components. Autoliv operates across several sectors, primarily serving the automotive industry, and focuses on enhancing vehicle safety and reducing traffic-related fatalities through innovative technology and engineering solutions.

How the Company Makes Money

Autoliv generates revenue primarily through the sale of automotive safety products to vehicle manufacturers worldwide. The company operates through two main business segments: Airbag Systems and Seatbelt Systems. Key revenue streams include direct sales of airbags and seatbelt assemblies, as well as related safety electronics and sensors. Autoliv also engages in long-term contracts with major automotive OEMs (Original Equipment Manufacturers), which provide a stable income source. Additionally, the company invests in research and development to innovate and improve its product offerings, ensuring competitiveness in the market. Strategic partnerships with automotive manufacturers and participation in safety regulatory initiatives further enhance Autoliv's market presence and contribute to its earnings.

Autoliv Financial Statement Overview

Summary

Autoliv demonstrates solid financial health with strong revenue growth and profitability. The balance sheet is stable, but attention to debt management is advisable. Cash flow performance is adequate, though improvements in free cash flow are necessary to sustain long-term growth.

Income Statement

Autoliv's income statement shows strong performance with consistent revenue growth, evidenced by a 5.3% increase in TTM. The company maintains healthy profitability margins, with a gross profit margin of 19% and a net profit margin of 6.8% in TTM. EBIT and EBITDA margins have also improved, indicating efficient operations. However, the slight decline in revenue growth in 2024 suggests potential market challenges.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio of 0.90 in TTM, showing a slight improvement from previous years. Return on equity is robust at 30.5%, indicating effective use of equity capital. The equity ratio remains stable, suggesting a balanced asset structure. However, the company should monitor its debt levels to maintain financial flexibility.

Cash Flow

Cash flow analysis reveals a mixed picture. While operating cash flow remains strong, the free cash flow has seen a decline of 4.7% in TTM, which could impact future investments. The operating cash flow to net income ratio is healthy, but the free cash flow to net income ratio indicates room for improvement. The company should focus on enhancing free cash flow generation to support growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.61B	10.39B	10.47B	8.84B	8.23B	7.45B
Gross Profit	2.05B	1.93B	1.82B	1.40B	1.51B	1.25B
EBITDA	1.45B	1.37B	1.08B	1.03B	1.07B	735.00M
Net Income	752.00M	646.00M	488.00M	423.00M	435.00M	187.00M
Balance Sheet
Total Assets	8.46B	7.80B	8.33B	7.72B	7.54B	8.16B
Cash, Cash Equivalents and Short-Term Investments	225.00M	330.00M	498.00M	594.00M	969.00M	1.18B
Total Debt	2.15B	2.07B	2.04B	1.92B	2.14B	2.55B
Total Liabilities	5.90B	5.52B	5.76B	5.09B	4.89B	5.73B
Stockholders Equity	2.55B	2.28B	2.56B	2.61B	2.63B	2.41B
Cash Flow
Free Cash Flow	571.00M	480.00M	409.00M	128.00M	296.00M	509.30M
Operating Cash Flow	1.03B	1.06B	982.00M	713.00M	754.00M	848.90M
Investing Cash Flow	-445.00M	-563.00M	-569.00M	-485.00M	-454.00M	-339.60M
Financing Cash Flow	-737.00M	-680.00M	-490.00M	-531.00M	-469.00M	160.10M

Autoliv Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 121.76
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALV, the sentiment is Positive. The current price of 121.76 is above the 20-day moving average (MA) of 118.17, below the 50-day MA of 122.06, and above the 200-day MA of 106.32, indicating a neutral trend. The MACD of -0.35 indicates Negative momentum. The RSI at 56.57 is Neutral, neither overbought nor oversold. The STOCH value of 86.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ALV.

Autoliv Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEA	75 Outperform	$5.62B	13.27	8.96%	2.80%	-1.90%	-13.86%
ALV	74 Outperform	$9.22B	12.54	31.09%	2.42%	0.84%	26.17%
APTV	73 Outperform	$17.74B	66.43	3.25%	―	2.16%	-85.91%
BWA	72 Outperform	$9.60B	71.91	2.24%	1.11%	0.08%	-83.69%
VC	71 Outperform	$2.90B	9.55	23.16%	0.25%	-4.03%	-39.51%
GNTX	66 Neutral	$5.06B	13.65	15.29%	2.04%	2.99%	-9.82%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Autoliv Corporate Events

Autoliv Reports Record Q3 2025 Earnings and Sales

Autoliv, a leader in automotive safety systems, specializes in the development and production of airbags, seatbelts, and steering wheels, serving a global market with a strong presence in Asia and the Americas. In its latest earnings report for the third quarter of 2025, Autoliv announced record-breaking sales and earnings per share, driven by robust performance in the Americas and Asia, despite challenges in Europe and China. The company reported a 5.9% increase in net sales to $2,706 million and a significant 31% rise in diluted earnings per share to $2.28. Operating income also saw an 18% increase, reaching $267 million, with an operating margin of 9.9%. Autoliv’s strategic focus on cost reductions and tariff compensations contributed to these positive results. The company also highlighted a substantial 46% increase in operating cash flow, alongside a reduction in capital expenditures, which bolstered free operating cash flow. Looking ahead, Autoliv remains optimistic about achieving its full-year guidance with an adjusted operating margin target of 10-10.5%, supported by ongoing efficiency improvements and strategic partnerships in China.

Autoliv Reports Record Sales and Strategic Growth

Autoliv’s recent earnings call painted a picture of robust growth and strategic advancements, tempered by certain challenges. The overall sentiment was positive, with strong sales and earnings growth, particularly in China and India, alongside improved operating margins. However, the company acknowledged hurdles such as unfavorable customer mix, delays in China, and the adverse effects of tariffs and inflation.

Autoliv Achieves Record Q3 2025 Financial Results

Autoliv reported record-breaking financial results for the third quarter of 2025, with net sales reaching $2,706 million, a 5.9% increase from the previous year. The company achieved a 3.9% organic sales growth and a 9.9% operating margin, driven by cost reductions and tariff compensations. Despite challenges in China and Europe, Autoliv outperformed in Asia ex. China and the Americas. The company’s profitability improved significantly, with a 31% increase in diluted EPS and a 46% rise in operating cash flow. Autoliv’s strategic initiatives, including a joint venture in China and a new R&D center, are expected to bolster future growth.

The most recent analyst rating on (ALV) stock is a Buy with a $140.00 price target. To see the full list of analyst forecasts on Autoliv stock, see the ALV Stock Forecast page.

Autoliv Approves Retention Award for Magnus Jarlegren

On September 8, 2025, Autoliv‘s Leadership Development and Compensation Committee approved a retention equity award for Magnus Jarlegren to enhance retention and leadership stability. The award, valued at $900,000 in time-vested restricted stock units, will be granted on November 17, 2025, and will vest after three years, contingent on Mr. Jarlegren’s continued employment.

The most recent analyst rating on (ALV) stock is a Hold with a $126.00 price target. To see the full list of analyst forecasts on Autoliv stock, see the ALV Stock Forecast page.