Aptiv PLC (APTV) ended the recent trading session at $67.25, demonstrating a -3.49% change from the preceding day’s closing price. This change lagged the S&P 500’s 1.13% loss on the day. Elsewhere, the Dow saw a downswing of 1.79%, while the tech-heavy Nasdaq depreciated by 1.3%.
Heading into today, shares of the company had gained 2.32% over the past month, outpacing the Auto-Tires-Trucks sector’s loss of 1.16% and lagging the S&P 500’s gain of 3.55%.
The investment community will be paying close attention to the earnings performance of Aptiv PLC in its upcoming release. The company is expected to report EPS of $1.75, up 10.76% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $4.97 billion, indicating a 1.69% decrease compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $7.16 per share and revenue of $19.58 billion, indicating changes of +14.38% and -0.66%, respectively, compared to the previous year.
Any recent changes to analyst estimates for Aptiv PLC should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts’ favorable outlook on the business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.81% downward. At present, Aptiv PLC boasts a Zacks Rank of #3 (Hold).
In terms of valuation, Aptiv PLC is currently trading at a Forward P/E ratio of 9.73. This expresses a discount compared to the average Forward P/E of 12.53 of its industry.
We can also see that APTV currently has a PEG ratio of 0.73. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. The average PEG ratio for the Automotive – Original Equipment industry stood at 1.29 at the close of the market yesterday.
The Automotive – Original Equipment industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 95, which puts it in the top 39% of all 250+ industries.