Aptiv (APTV) AI Stock Analysis

• Market Cap: $15.61B
• Dividend Yield: N/A
• Average Volume (3M): 2.09M
• Price to Earnings (P/E): 101.8
• Beta (1Y): 1.03
• Revenue Growth: 2.16%
• EPS Growth: -85.91%
• Country: US
• Employees: 141,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 1.86
• Shares Outstanding: 212,748,400
• 10 Day Avg. Volume: 1,931,188
• 30 Day Avg. Volume: 2,088,375
• PEG Ratio: -1.14
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 0.82
• P/FCF Ratio: 10.99
• Enterprise Value/Market Cap: 1.40
• Enterprise Value/Revenue: 1.07
• Enterprise Value/Gross Profit: 5.60
• Enterprise Value/Ebitda: 9.78
• 1Y Price Target: $99.80
• Price Target Upside: 35.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13
• EPS Forecast (FY): 8.37
• Revenue Forecast (FY): $21.44B

• Rating: 54 Neutral
• Price Target: $74.00 ▲(0.83% Upside)
• Action: Reiterated Date: 03/06/26
• Date: Action: Reiterated 03/06/26

APTV’s score is held back primarily by sharply weaker TTM profitability (major margin/ROE compression) and bearish technicals (below key moving averages with negative MACD). Support comes from solid operating/free cash flow and manageable leverage, plus a generally constructive earnings-call outlook around the planned spin and bookings/capital deployment. Valuation is a notable risk given the very high P/E and no dividend support.

Positive Factors

Cash generation

Consistent multi‑billion operating cash flow and positive free cash flow provide durable internal funding for capex, R&D, spin costs, debt paydown and buybacks. Strong cash conversion vs. net income supports financial flexibility through industry cycles and strategic execution.

Manageable leverage

Improved debt-to-equity and a sizable equity base leave room to fund the Versigent spin, retire maturities, and absorb temporary working capital swings. Moderated leverage supports credit flexibility and reduces refinancing risk over the medium term as operations stabilize post‑spin.

Robust bookings and technology pipeline

Large, durable backlog and expanding pipeline give multi‑period revenue visibility and reflect competitive wins across geographies and non‑auto markets. Combined with technology leadership (ADAS, radar, connectors), this supports sustained content per vehicle and recurring program revenues.

Negative Factors

Profitability compression

A sharp drop in net margin and ROE reflects structural pressure on operating efficiency and/or cost pass‑through. Lower profitability reduces retained earnings, hampers return generation on equity, and limits long‑term reinvestment capacity absent margin recovery.

FX and commodity headwinds

Sustained volatility in foreign exchange and commodity inputs (copper, semiconductors) can erode gross margins and lengthen payback on engineering investments. Even with pass‑through mechanisms, timing mismatches and competitive pricing pressure leave margins exposed for multiple quarters.

Separation/inventory cash drag

Spin‑related stranded and separation cash costs plus elevated semiconductor inventory tie up liquidity and depress near‑term free cash flow. These structural outflows reduce capital available for growth or deleveraging until post‑spin normalization occurs.

Aptiv Business Overview & Revenue Model

Company Description

Aptiv PLC designs, manufacturers, and sells vehicle components worldwide. The company provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets. It operates in two segment, Signal and Power Solutions, and Advanced Safety and User Experience. The Signal and Power Solutions segment designs, manufactures, and assembles vehicle's electrical architecture, including engineered component products, connectors, wiring assemblies and harnesses, cable management products, electrical centers, and hybrid high voltage and safety distribution systems. The Advanced Safety and User Experience segment provides critical components, systems integration, and software development for vehicle safety, security, comfort, and convenience, such as sensing and perception systems, electronic control units, multi-domain controllers, vehicle connectivity systems, application software, and autonomous driving technologies. The company was formerly known as Delphi Automotive PLC and changed its name to Aptiv PLC in December 2017. Aptiv PLC was founded in 2011 and is based in Dublin, Ireland.

How the Company Makes Money

Aptiv generates revenue primarily through the sale of its automotive components and systems to original equipment manufacturers (OEMs) and Tier 1 suppliers. Key revenue streams include Signal and Power Solutions, which encompasses wiring harnesses, connectors, and electrical distribution systems, and Advanced Safety and User Experience, which includes software and hardware solutions for vehicle safety and connectivity. The company benefits from long-term contracts and partnerships with major automotive manufacturers, enabling it to secure consistent orders. Additionally, Aptiv invests in research and development to innovate and provide cutting-edge solutions in autonomous driving and electric vehicles, further diversifying its revenue potential.

Aptiv Financial Statement Overview

Summary

Income statement weakness is the main drag: TTM revenue grew ~2% YoY but net margin fell sharply to ~1.5% (from ~9.1% in 2024), compressing returns (ROE ~3% vs ~20% in 2024). Offsetting this, cash generation remains solid (TTM OCF ~$2.2B; FCF ~$1.5B) and leverage looks manageable with improving debt-to-equity (~0.88 vs ~1.01 in 2024).

Income Statement

TTM (Trailing-Twelve-Months) revenue rose about 2% versus the prior year, indicating modest top-line momentum, but profitability weakened materially. Net margin fell to ~1.5% in TTM from ~9.1% in 2024 (and higher in earlier years), alongside lower EBIT and EBITDA margins, suggesting a meaningful compression in operating efficiency and/or higher costs. Gross margin improved versus 2024, but the sharp drop in bottom-line profitability is the key offset.

Balance Sheet

Leverage is moderate for the group: total debt of ~$8.0B against equity of ~$9.2B in TTM (debt-to-equity ~0.88), an improvement versus 2024 (~1.01) but higher than 2023 (~0.59). Equity remains sizeable, yet returns have cooled sharply: return on equity is ~3% in TTM versus ~20% in 2024, reflecting the weaker earnings profile. Overall balance sheet risk looks manageable, but profitability-driven balance sheet strength has deteriorated.

Cash Flow

Cash generation remains a relative bright spot: TTM operating cash flow was ~$2.2B and free cash flow ~$1.5B, both solid in absolute terms. However, free cash flow declined ~14% year over year in TTM, signaling softer conversion versus last year. Free cash flow is still larger than net income (free cash flow to net income ~0.73), which helps quality-of-earnings, but the downward free-cash-flow trend is a near-term watch item.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	20.40B	19.71B	20.05B	17.49B	15.62B
Gross Profit	3.90B	3.53B	3.09B	2.50B	2.35B
EBITDA	2.23B	3.45B	2.53B	1.97B	1.83B
Net Income	165.00M	1.79B	2.94B	594.00M	590.00M
Balance Sheet
Total Assets	23.41B	23.46B	24.43B	21.88B	18.01B
Cash, Cash Equivalents and Short-Term Investments	1.85B	1.57B	1.64B	1.53B	3.14B
Total Debt	8.09B	8.89B	6.79B	6.96B	4.46B
Total Liabilities	13.91B	14.37B	12.58B	12.79B	9.45B
Stockholders Equity	9.21B	8.80B	11.55B	8.83B	8.35B
Cash Flow
Free Cash Flow	1.53B	1.62B	990.00M	419.00M	611.00M
Operating Cash Flow	2.19B	2.45B	1.90B	1.26B	1.22B
Investing Cash Flow	-498.00M	-507.00M	-1.00B	-5.18B	-729.00M
Financing Cash Flow	-1.44B	-1.97B	-807.00M	2.36B	-191.00M

Aptiv Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 73.39
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APTV, the sentiment is Negative. The current price of 73.39 is below the 20-day moving average (MA) of 79.45, below the 50-day MA of 79.55, and below the 200-day MA of 76.78, indicating a bearish trend. The MACD of -1.94 indicates Positive momentum. The RSI at 39.01 is Neutral, neither overbought nor oversold. The STOCH value of 22.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for APTV.

Aptiv Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEA	72 Outperform	$6.23B	14.06	9.21%	2.63%	-1.90%	-13.86%
VC	72 Outperform	$2.48B	12.87	14.37%	0.57%	-4.03%	-39.51%
ALV	71 Outperform	$8.45B	12.37	30.32%	2.60%	0.84%	26.17%
BWA	62 Neutral	$11.21B	35.20	5.05%	1.24%	0.08%	-83.69%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
MBLY	59 Neutral	$6.97B	-21.61	-3.27%	―	7.61%	88.66%
APTV	54 Neutral	$15.61B	101.80	1.83%	―	2.16%	-85.91%

Aptiv Corporate Events

Aptiv Board Approves Spin-Off of Versigent Business

On March 5, 2026, Aptiv’s board approved the spin-off of its Electrical Distribution Systems business into a new publicly traded company, Versigent, formalizing the details of a separation first announced earlier. Aptiv shareholders of record as of March 17, 2026 will receive one Versigent share for every three Aptiv shares as a pro rata dividend, with cash in lieu of fractional shares, and will not be required to take any action or pay consideration to receive the distribution.

The distribution of Versigent shares is scheduled to occur before the U.S. market opens on April 1, 2026, with Versigent expected to list on the New York Stock Exchange under the ticker VGNT, trading on a when-issued basis from around March 27, 2026 and regular-way from April 1. The move carves out Aptiv’s electrical distribution operations into a standalone entity, potentially sharpening Aptiv’s strategic focus while giving investors direct exposure to a specialized global vehicle electrical architecture supplier, though completion remains subject to customary conditions tied to the spin-off.

The most recent analyst rating on (APTV) stock is a Hold with a $76.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.

Aptiv’s Versigent Prices Upsized $1.6 Billion Senior Notes

On March 4, 2026, Aptiv announced that Versigent subsidiaries Cyprium Corporation and Cyprium Holdings Luxembourg priced an upsized $1.6 billion private offering of senior notes, split into $800 million of 6.125% notes due 2031 and $800 million of 6.375% notes due 2034, increasing the deal size by $100 million from earlier plans. The notes, sold under Rule 144A and Regulation S and expected to close on March 18, 2026, are part of broader financing that also includes an $850 million revolving credit facility and a $500 million term loan, with proceeds and borrowings to fund a dividend to Aptiv and leave Versigent with $400 million in cash post spin-off-related fees, bolstering the capital structure of the planned Electrical Distribution Systems separation and providing liquidity for Versigent’s general corporate purposes.

The most recent analyst rating on (APTV) stock is a Buy with a $95.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.

Aptiv’s Versigent Spin-Off Announces Major Financing Package

On March 4, 2026, Aptiv announced that its spin-off subsidiaries Cyprium Corporation and Cyprium Holdings Luxembourg S.à r.l., which sit under new holding company Versigent Limited, have launched a $1.5 billion private offering of senior notes due 2031 and 2034. In parallel, the co-issuers have secured an $850 million senior secured revolving credit facility and a $500 million senior secured term loan, together forming a substantial financing package for the soon-to-be standalone Electrical Distribution Systems business.

Upon completion of the planned spin-off of Versigent to Aptiv shareholders, the note and term loan proceeds are intended to fund a dividend back to Aptiv while leaving Versigent with $300 million of cash on its balance sheet for general corporate purposes. The note proceeds will be held in escrow until conditions tied to the spin-off are satisfied, underscoring that the overall financing structure is designed both to recapitalize Aptiv and to equip the separated Versigent unit with liquidity and scale as it enters the public markets as an independent provider of vehicle electrical distribution systems.

The most recent analyst rating on (APTV) stock is a Buy with a $95.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.

Aptiv Plans Tax-Free Spin-Off of Versigent Limited

On February 24, 2026, Aptiv PLC disclosed that it had posted supplemental investor materials detailing the planned separation of its Electrical Distribution Systems business into Versigent Limited, a new independent publicly traded company. The transaction, structured as a tax-free spin-off to Aptiv shareholders and targeted for completion by April 1, 2026, is set to carve out a core legacy unit, potentially reshaping Aptiv’s portfolio focus while giving investors direct exposure to the standalone electrical distribution business.

The separation of this significant business line into Versigent Limited positions Aptiv to streamline its operations and potentially concentrate more on higher-growth or software-oriented automotive technologies. For stakeholders, the move introduces both the prospect of value creation through a pure-play electrical distribution entity and operational realignment within Aptiv’s remaining segments as the company adjusts its strategic focus after the spin-off.

The most recent analyst rating on (APTV) stock is a Buy with a $102.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.

Aptiv Advances Tax-Free Spin-Off of Versigent Unit

On February 17, 2026, Aptiv subsidiary Versigent Limited filed an amended preliminary registration statement with the U.S. Securities and Exchange Commission as part of Aptiv’s plan to separate its Electrical Distribution Systems business into a new, independent public company via a tax-free spin-off to shareholders. The company aims to complete the separation by April 1, 2026, a move that will carve out its electrical distribution operations into a standalone entity, potentially sharpening Aptiv’s strategic focus while giving investors distinct exposure to the electrical architecture segment of the automotive supply chain.

The most recent analyst rating on (APTV) stock is a Buy with a $92.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.

Aptiv Plans Early Redemption of 2029 Senior Notes

On February 11, 2026, Aptiv PLC said that its subsidiary Aptiv Swiss Holdings Limited plans to redeem in cash the entire $266 million principal amount of its 4.350% Senior Notes due 2029. The notes will be redeemed at a price that includes a make-whole premium plus accrued and unpaid interest, with the redemption expected to be completed on February 25, 2026.

The move will retire this tranche of debt ahead of its 2029 maturity, signaling an active approach to managing the company’s capital structure and interest expense. This early redemption may improve Aptiv’s financial flexibility and could be viewed positively by creditors and investors monitoring its leverage and balance sheet discipline.

The most recent analyst rating on (APTV) stock is a Buy with a $105.00 price target. To see the full list of analyst forecasts on Aptiv stock, see the APTV Stock Forecast page.