Update shared on 27 Nov 2025
Fair value Increased 1.74%Analysts have raised their price target for Autoliv from $136.22 to $138.59, citing modest improvements to discounted cash flow estimates and a slight reduction in discount rates as underlying factors in their updated valuation.
What's in the News
- Autoliv's Board of Directors approved a 2.4% increase in the quarterly dividend for Q4 2025, raising it to 87 cents per share. This brings the annualized total dividend to approximately $260 million. (Board Announcement)
- The company updated its financial guidance for 2025, forecasting around 3% organic sales growth, a 1% FX effect on net sales, and an adjusted operating margin of approximately 10 to 10.5 percent. Operating cash flow is expected to reach $1.2 billion. (Corporate Guidance)
- Autoliv completed the repurchase of 842,129 shares, representing 1.1% of shares outstanding, for $100 million under its latest buyback program. (Buyback Update)
- Jointly with Adient, Autoliv has developed new safety solutions for deeply reclined, “zero-gravity” automotive seating. This includes dynamic systems like the Active Cushion Collapse Mechanism and Integrated Seatbelt System, now ready for mass production in a major global OEM's model. (Product Collaboration)
Valuation Changes
- Fair Value Estimate has risen slightly from $136.22 to $138.59. This reflects improved discounted cash flow projections.
- Discount Rate has fallen modestly from 8.46% to 8.36%, signaling reduced perceived risk in future cash flows.
- Revenue Growth Assumption has edged down from 4.26% to 4.22% annually based on updated company outlook.
- Net Profit Margin Projection has declined marginally from 7.53% to 7.52%.
- Future Price-to-Earnings (P/E) Multiple has increased from 13.05x to 13.66x. This indicates higher market valuation expectations for earnings.
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