Aptiv PLC (APTV)
NYSE:APTV
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Aptiv
(NYSE:APTV)
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Rating:57Neutral
Price Target:
$63.00
▲(4.37% Upside)
Action:ReiteratedDate:04/07/26
The score is held back primarily by the sharp TTM profitability/return decline and expensive valuation (very high P/E). These are partially offset by solid cash generation, manageable (and improving) leverage, and a generally constructive earnings-call outlook tied to the spin strategy, bookings, and capital deployment, though technicals remain weak/neutral.
Positive Factors
Strong Cash Generation
Sustained TTM OCF (~$2.2B) and FCF (~$1.5B) provide predictable internal funding for R&D, capex and capital returns. This cash cushion supports deleveraging and spin-related costs, improving resilience to automotive cyclical swings and enabling strategic investments without immediate equity issuance.
Negative Factors
Profitability Decline
A sharp drop in net margin to ~1.5% (from ~9.1%) and collapsed returns (ROE down materially) erode the company's ability to self-fund growth and cover fixed costs. Persistently weaker profitability increases sensitivity to volume swings, commodity moves and limits room for sustained margin expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
Sustained TTM OCF (~$2.2B) and FCF (~$1.5B) provide predictable internal funding for R&D, capex and capital returns. This cash cushion supports deleveraging and spin-related costs, improving resilience to automotive cyclical swings and enabling strategic investments without immediate equity issuance.
Read all positive factors
Aptiv (APTV) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$12.87B
Dividend YieldN/A
Average Volume (3M)2.57M
Price to Earnings (P/E)101.8
Beta (1Y)1.05
Revenue Growth2.16%
EPS Growth-85.91%
CountryUS
Employees141,000
SectorConsumer Cyclical
Sector Strength84
IndustryAuto - Parts
Share Statistics
EPS (TTM)1.58
Shares Outstanding213,141,330
10 Day Avg. Volume3,162,687
30 Day Avg. Volume2,566,540
Financial Highlights & Ratios
PEG Ratio-1.14
Price to Book (P/B)1.82
Price to Sales (P/S)0.82
P/FCF Ratio10.99
Enterprise Value/Market Cap1.49
Enterprise Value/Revenue0.94
Enterprise Value/Gross Profit4.90
Enterprise Value/Ebitda8.56
Forecast
1Y Price Target
$93.19Price Target Upside54.39% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering15
EPS Forecast (FY)7.09
Revenue Forecast (FY)$21.45B
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 S...
How the Company Makes Money
Aptiv makes money primarily by supplying automakers (OEMs) with automotive components, subsystems, and related software/electronics under customer programs tied to specific vehicle platforms. Revenue is largely generated from (1) selling Electrica...
Aptiv Key Performance Indicators (KPIs)
Any
Adjusted Operating Income by Segment
Provides a refined view of segment profitability by excluding one-time items, offering clearer insight into core operational performance and trends.
Provides a refined view of segment profitability by excluding one-time items, offering clearer insight into core operational performance and trends.
Data provided by:
The Fly
The FlyAptiv Earnings Call Summary
Earnings Call Date:Feb 02, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 05, 2026
Earnings Call Sentiment Positive
The call presented a mix of strong execution and strategic progress alongside near-term headwinds. Highlights include record quarterly revenue, EPS growth, robust bookings ($27B) and a large pipeline, significant cash generation and disciplined capital deployment (debt paydown and $3.5B of buybacks since 2024), and improved supply-chain resilience and product/market expansion (robotics, non-auto growth, Wind River momentum). Offsetting these positives are meaningful margin pressures from foreign exchange and commodity costs (c.160 bps impact in Q4), segment-level profitability weakness (Intelligent Systems operating income down 17%, EDS margin contraction), China mix-related revenue decline, separation/stranded costs tied to the Versagen spin, and inventory-driven working capital use. Management communicated confidence in passing through semiconductor cost increases, executing the spin, and returning to margin expansion over the 2026–2028 horizon, but near-term results reflect the noted headwinds.Positive Updates
Record Q4 Revenue
Reported record fourth-quarter revenue of $5.2 billion, up 5% on a reported basis and up 3% on an adjusted year-over-year basis.
Negative Updates
Margin Headwinds from FX and Commodities
Unfavorable foreign exchange and commodity headwinds reduced Q4 margin by ~160 basis points; Varun noted a 120 bps FX/commodity headwind built into Q1 2026 and commodity/Fx pressure continues to be a near-term drag.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Q4 Revenue
Reported record fourth-quarter revenue of $5.2 billion, up 5% on a reported basis and up 3% on an adjusted year-over-year basis.
Read all positive updates
Company Guidance
Aptiv’s guidance frames the post‑spin NuAptiv outlook at $12.8–$13.2B revenue (≈+4% at midpoint), $2.42B EBITDA and an 18.6% margin (which includes ~ $50M of stranded costs and ~$35M of engineering/go‑to‑market spend; ex‑stranded costs margin +30 bps YoY), EPS $5.70–$6.10 (18.5% ETR) and free cash flow ~$750M midpoint (after ~$250M separation costs and ~$200M semiconductor inventory build); Versagen is guided to $9.1–$9.4B revenue (≈+2% midpoint), ~$990M EBITDA and a 10.7% margin, and ~$250M free cash flow; total‑Aptiv Q1 is guided to $5.05B revenue (~+1% adjusted), $740M EBITDA (14.7% margin) and $1.65 EPS (ETR 20.5%); management also targets 2026 bookings > $30B (2025 bookings $27B), disclosed Q4 revenue $5.2B and Q4 operating cash flow $818M (FY OCF > $2B), plans to use a ~ $1.6B Versagen spin dividend toward ~$1.9B 2026 debt paydown, holds ~12 weeks of semiconductor coverage, budgeted copper at $5.50/lb (vs $4.51 in 2025, ~+$200M top‑line impact for EDS), and noted ~$3.5B of buybacks since 2024 (share count down ~20%).Aptiv Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
62
Positive
Cash Flow
68
Positive
| 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
Positive
60.36
Price Trends
63.88
Negative
65.33
Negative
65.32
Negative
Market Momentum
-1.17
Negative
49.81
Neutral
-23.45
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APTV, the sentiment is Positive. The current price of 60.36 is above the 20-day moving average (MA) of 59.79, below the 50-day MA of 63.88, and below the 200-day MA of 65.32, indicating a neutral trend. The MACD of -1.17 indicates Negative momentum. The RSI at 49.81 is Neutral, neither overbought nor oversold. The STOCH value of -23.45 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for APTV.
Aptiv Risk Analysis
Aptiv disclosed 42 risk factors in its most recent earnings report. Aptiv reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Aptiv Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $6.00B | 14.06 | 8.79% | 2.63% | -1.90% | -13.86% | |
72 Outperform | $2.44B | 12.87 | 13.90% | 0.57% | -4.03% | -39.51% | |
69 Neutral | $7.86B | 12.37 | 29.57% | 2.60% | 0.84% | 26.17% | |
62 Neutral | $10.99B | 35.20 | 4.80% | 1.24% | 0.08% | -83.69% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
59 Neutral | $6.18B | -21.61 | -3.27% | ― | 7.61% | 88.66% | |
57 Neutral | $12.87B | 101.80 | 1.78% | ― | 2.16% | -85.91% |
* Consumer Cyclical Sector Average
APTV
Aptiv
60.36
18.55
44.36%
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Aptiv Corporate Events
Business Operations and StrategyDividendsPrivate Placements and Financing
Aptiv Completes Tender Offer Reshaping Long-Term Debt Profile
Positive
Apr 6, 2026
On April 3, 2026, Aptiv’s subsidiary Aptiv Swiss Holdings Limited completed a cash tender offer for multiple series of senior notes maturing between 2032 and 2054, with aggregate consideration capped at $1.371 billion, excluding accrued inte...
Business Operations and StrategyM&A Transactions
Aptiv Completes Spin-Off of Versigent, Realigning Portfolio
Neutral
Apr 1, 2026
Aptiv and Versigent entered into a separation and distribution agreement that defined the key steps to implement a spin-off and set the terms of their ongoing relationship after the transaction. This agreement outlined how responsibilities, govern...
Business Operations and StrategyPrivate Placements and Financing
Aptiv Upsizes Note Tender Offer Amid Versigent Spin-Off
Positive
Mar 20, 2026
On March 20, 2026, Aptiv, via its wholly owned subsidiary Aptiv Swiss Holdings Limited, reported early results of its cash tender offer for multiple series of U.S. dollar senior notes maturing between 2032 and 2054, with holders tendering substant...
Business Operations and StrategyExecutive/Board Changes
Aptiv Announces Leadership Transition in Intelligent Systems Division
Neutral
Mar 16, 2026
On March 13, 2026, Aptiv announced that Javed Khan will resign as Executive Vice President and President of Intelligent Systems, effective March 30, 2026, to become chief executive of a software and AI company. Kevin Clark, Aptiv’s chair and...
Business Operations and StrategyRegulatory Filings and Compliance
Aptiv Advances Spin-Off of Electrical Distribution Systems Unit
Positive
Mar 6, 2026
On March 6, 2026, Aptiv subsidiary Versigent Limited filed an amended 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 standalone,...
Business Operations and StrategyPrivate Placements and Financing
Aptiv Launches Major Cash Tender Offer Amid Restructuring
Neutral
Mar 6, 2026
On March 6, 2026, Aptiv announced that its subsidiary Aptiv Swiss Holdings Limited launched a cash tender offer of up to $1.35 billion for multiple series of outstanding senior notes maturing between 2032 and 2054, with pricing tied to U.S. Treasu...
Business Operations and StrategyDelistings and Listing ChangesM&A Transactions
Aptiv Board Approves Spin-Off of Versigent Business
Positive
Mar 5, 2026
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 recor...
Business Operations and StrategyPrivate Placements and Financing
Aptiv’s Versigent Prices Upsized $1.6 Billion Senior Notes
Positive
Mar 5, 2026
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...
Business Operations and StrategyPrivate Placements and Financing
Aptiv’s Versigent Spin-Off Announces Major Financing Package
Positive
Mar 4, 2026
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 note...
Business Operations and StrategyM&A Transactions
Aptiv Plans Tax-Free Spin-Off of Versigent Limited
Positive
Feb 24, 2026
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 tr...
Business Operations and StrategyRegulatory Filings and Compliance
Aptiv Advances Tax-Free Spin-Off of Versigent Unit
Positive
Feb 17, 2026
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 in...
Business Operations and Strategy
Aptiv Plans Early Redemption of 2029 Senior Notes
Positive
Feb 11, 2026
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-...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.