DB:D7A

Stock Analysis Report

Executive Summary

Aptiv PLC, together with its subsidiaries, designs and manufacturers vehicle components, and provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets worldwide.

Snowflake

Fundamentals

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Aptiv's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

6.0%

D7A

2.3%

DE Auto Components

1.4%

DE Market


1 Year Return

22.1%

D7A

-11.1%

DE Auto Components

3.7%

DE Market

Return vs Industry: D7A exceeded the German Auto Components industry which returned -11.1% over the past year.

Return vs Market: D7A exceeded the German Market which returned 3.7% over the past year.


Shareholder returns

D7AIndustryMarket
7 Day6.0%2.3%1.4%
30 Day-1.7%-2.7%1.3%
90 Day12.1%1.2%3.4%
1 Year23.5%22.1%-7.3%-11.1%7.0%3.7%
3 Yearn/a-24.5%-30.8%18.5%8.3%
5 Yearn/a-17.1%-25.6%42.2%22.9%

Price Volatility Vs. Market

How volatile is Aptiv's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Aptiv undervalued compared to its fair value and its price relative to the market?

23.6x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: D7A (€79.66) is trading above our estimate of fair value (€68.68)

Significantly Undervalued: D7A is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: D7A is poor value based on its PE Ratio (23.6x) compared to the Auto Components industry average (13.1x).

PE vs Market: D7A is poor value based on its PE Ratio (23.6x) compared to the German market (19.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: D7A is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: D7A is overvalued based on its PB Ratio (6.5x) compared to the DE Auto Components industry average (1.2x).


Next Steps

  • Explore potentially undervalued companies in the Automobiles industry.

Future Growth

How is Aptiv forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?

13.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: D7A's forecast earnings growth (13.5% per year) is above the savings rate (0.2%).

Earnings vs Market: D7A's earnings (13.5% per year) are forecast to grow faster than the German market (12.7% per year).

High Growth Earnings: D7A's earnings are forecast to grow, but not significantly.

Revenue vs Market: D7A's revenue (6.9% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: D7A's revenue (6.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: D7A's Return on Equity is forecast to be high in 3 years time (30.4%)


Next Steps

Past Performance

How has Aptiv performed over the past 5 years?

-6.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: D7A's earnings have declined by -6.1% per year over the past 5 years.

Accelerating Growth: D7A's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: D7A had negative earnings growth (-9.6%) over the past year, making it difficult to compare to the Auto Components industry average (-6.3%).


Return on Equity

High ROE: Whilst D7A's Return on Equity (26.9%) is high, this metric is skewed due to their high level of debt.


Return on Assets

ROA vs Industry: D7A has a higher Return on Assets than the Auto Components industry average last year.


Return on Capital Employed

ROCE Improving: D7A's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Aptiv's financial position?


Financial Position Analysis

Short Term Liabilities: D7A's short term assets ($4.9B) exceeds its short term liabilities ($4.0B)

Long Term Liabilities: D7A's short term assets (4.9B) do not cover its long term liabilities (5.4B)


Debt to Equity History and Analysis

Debt Level: D7A's debt to equity ratio (120.5%) is considered high

Reducing Debt: D7A's debt to equity ratio has increased from 66.6% to 120.5% over the past 5 years.

Debt Coverage: D7A's debt is well covered by operating cash flow (33.9%).

Interest Coverage: D7A's interest payments on its debt are well covered by EBIT (10.9x coverage).


Balance Sheet

Inventory Level: D7A has a high level of physical assets or inventory.

Debt Coverage by Assets: D7A's debt is covered by short term assets (assets are 1.079380x debt).


Next Steps

Dividend

What is Aptiv's current dividend yield, its reliability and sustainability?

0.99%

Current Dividend Yield


Dividend Yield vs Market

company1.0%marketbottom25%1.5%markettop25%3.8%industryaverage4.1%forecastin3Years1.1%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: D7A's dividend (0.99%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.47%).

High Dividend: D7A's dividend (0.99%) is low compared to the top 25% of dividend payers in the German market (3.83%).

Stable Dividend: Whilst dividend payments have been stable, D7A has been paying a dividend for less than 10 years.

Growing Dividend: D7A's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (23.3%), D7A's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: D7A's dividends in 3 years are forecast to be well covered by earnings (15% payout ratio).


Next Steps

Management

What is the CEO of Aptiv's salary, the management and board of directors tenure and is there insider trading?

4.6yrs

Average management tenure


CEO

Kevin Clark (57yo)

4.6yrs

Tenure

US$14,123,103

Compensation

Mr. Kevin P. Clark has been the Chief Executive Officer and President of Aptiv PLC (Formerly, Delphi Automotive PLC) since March 1, 2015. Mr. Clark served as the Chief Operating Officer of Delphi Automotiv ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Kevin's total compensation is reasonable compared to companies of similar size in the German market.

Compensation vs Earnings: Kevin's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.6yrs

Average Tenure

55.5yo

Average Age

Experienced Management: D7A's management team is considered experienced (4.6 years average tenure).


Board Age and Tenure

7.2yrs

Average Tenure

64yo

Average Age

Experienced Board: D7A's board of directors are considered experienced (7.2 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$673,49111 Dec 18
Kevin Clark
EntityIndividual
Role
Chief Executive Officer
President
Shares11,310
Max PriceUS$59.55

Ownership Breakdown


Management Team

  • Kevin Clark (57yo)

    President

    • Tenure: 4.6yrs
    • Compensation: US$14.12m
  • David Sherbin (60yo)

    Senior VP

    • Tenure: 14yrs
    • Compensation: US$2.90m
  • Joe Massaro (49yo)

    Senior VP & CFO

    • Tenure: 3.6yrs
    • Compensation: US$4.71m
  • Matt Peterson (54yo)

    Senior VP & Chief Information Officer

    • Tenure: 4.7yrs
  • Allan Brazier (52yo)

    VP & Chief Accounting Officer

    • Tenure: 8.7yrs
  • Michael Gassen (61yo)

    Senior VP of Sales and President of Europe

    • Tenure: 0yrs
  • Elena Rosman

    Vice President of Investor Relations

    • Tenure: 3.8yrs
  • David Paja (49yo)

    Senior VP & President of Advanced Safety and User Experience

    • Tenure: 2.7yrs
    • Compensation: US$3.00m
  • Bill Guggina

    Vice President of Global Operations

    • Tenure: 5.3yrs
  • Glen De Vos (58yo)

    Senior VP & CTO

    • Tenure: 2.6yrs

Board Members

  • Nancy Cooper (65yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$251.77k
  • Kevin Clark (57yo)

    President

    • Tenure: 4.6yrs
    • Compensation: US$14.12m
  • Raj Gupta (74yo)

    Independent Chairman of the Board

    • Tenure: 4.6yrs
    • Compensation: US$500.03k
  • Nick Donofrio (73yo)

    Independent Director

    • Tenure: 9.8yrs
    • Compensation: US$280.02k
  • Larry Zimmerman (76yo)

    Independent Director

    • Tenure: 9.9yrs
    • Compensation: US$305.06k
  • Hamid Malaye (58yo)

    Member of Technology Advisory Council

    • Tenure: 0yrs
  • Sean Mahoney (56yo)

    Independent Director

    • Tenure: 9.9yrs
    • Compensation: US$265.02k
  • Magnus Jonsson (63yo)

    Member of Technology Advisory Council

    • Tenure: 0yrs
  • Jens Hadler

    Member of Technology Advisory Council

    • Tenure: 0yrs
  • Ma Jun

    Member of Technology Advisory Council

    • Tenure: 0yrs

Company Information

Aptiv PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Aptiv PLC
  • Ticker: D7A
  • Exchange: DB
  • Founded:
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: US$22.791b
  • Listing Market Cap: US$20.459b
  • Shares outstanding: 256.19m
  • Website: https://www.aptiv.com

Number of Employees


Location

  • Aptiv PLC
  • 5 Hanover Quay
  • Grand Canal Dock
  • Dublin
  • Co. Dublin
  • 2
  • Ireland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
APTVNYSE (New York Stock Exchange)YesOrdinary shares USUSDNov 2011
D7ADB (Deutsche Boerse AG)YesOrdinary shares DEEURNov 2011
0YCPLSE (London Stock Exchange)YesOrdinary shares GBUSDNov 2011
APTV NBMV (Bolsa Mexicana de Valores)YesOrdinary shares MXMXNNov 2011
APTV34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REP 0.5 COM USD0.01BRBRLMay 2019

Biography

Aptiv PLC, together with its subsidiaries, designs and manufacturers vehicle components, and provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle market ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:17
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.