Aptiv PLC (APTV) ended the recent trading session at $77.20, demonstrating a -1.39% change from the preceding day’s closing price. This change lagged the S&P 500’s daily gain of 0.64%. On the other hand, the Dow registered a gain of 0.47%, and the technology-centric Nasdaq increased by 0.52%.
The stock of company has risen by 5.61% in the past month, lagging the Auto-Tires-Trucks sector’s gain of 14.81% and overreaching the S&P 500’s gain of 3%.
The investment community will be paying close attention to the earnings performance of Aptiv PLC in its upcoming release. The company is forecasted to report an EPS of $1.79, showcasing a 2.29% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $5.03 billion, up 2.58% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $7.73 per share and a revenue of $20.28 billion, indicating changes of +23.48% and +2.87%, respectively, from the former year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Aptiv PLC. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts’ positivity towards the business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.3% higher. At present, Aptiv PLC boasts a Zacks Rank of #3 (Hold).
In terms of valuation, Aptiv PLC is presently being traded at a Forward P/E ratio of 10.13. Its industry sports an average Forward P/E of 16.83, so one might conclude that Aptiv PLC is trading at a discount comparatively.
It’s also important to note that APTV currently trades at a PEG ratio of 0.99. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. As of the close of trade yesterday, the Automotive – Original Equipment industry held an average PEG ratio of 1.14.