Autoliv, Inc. (ALV - Free Report) reported adjusted earnings of $1.42 per share in fourth-quarter 2018, missing the Zacks Consensus Estimate of $1.62. Moreover, the bottom line declined from the prior-year quarter figure of $2.29.
During the quarter under review, Autoliv reported net sales of $2.19 billion from continuing operations, reflecting 1.6% year-over-year rise. The Zacks Consensus Estimate for the same was pegged at $2.24 billion. Quarterly organic sales grew 4.2%, majorly driven by 19% organic sales increase in the Americas.
Operating income from continuing operations plunged 91.6% to $21 million. Adjusted operating margin from continuing operations was 10.9% in the reported quarter, lower than the prior-year quarter figure of 11.8%.
2018 Results
For 2018, net sales rose 6.7% to $8.68 billion, up 6.7% from 2017.
Adjusted earnings per share from continuing operations were $6.83, down from the 2017 figure of $7.12.
Financial Position
Autoliv had cash and cash equivalents of $615.8 million as of Dec 31, 2018, lower than $959.5 million reported as of Dec 31, 2017. Long-term debt was $1.61 billion as of Dec 31, 2018, witnessing an increase from $1.31 billion as of Dec 31, 2017.
At the end of fourth-quarter 2018, the company’s operating cash flow decreased to $289.4 million compared with the year-ago figure of $389.4 million. Net capital expenditure decreased to $133.4 million from the year-ago figure of $167.8 million.
Guidance
For 2019, Autoliv anticipates organic sales growth of around 5% for continuing operations. Combining a positive currency translation of approximately 1%, the company expects a consolidated sales boost of approximately 4%. Further, adjusted operating margin for continuing operations is projected to be around 10.5% in 2019.
Zacks Rank and Stocks to Consider
Autoliv currently carries a Zacks Rank #4 (Sell).
A few better-ranked stocks in the auto space are Allison Transmission Holdings, Inc. (ALSN - Free Report) , Dana Incorporated (DAN - Free Report) and General Motors Company (GM - Free Report) , each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Allison Transmission has an expected long-term growth rate of 10%. Over the past three months, shares of the company have surged 10.3%.
Dana has an expected long-term growth rate of 2.9%. Over the past three months, shares of the company have risen 18.2%.
General Motors has an expected long-term growth rate of 8.5%. Over the three months, shares of the company have risen 14.7%.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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Autoliv, Inc. (ALV - Free Report) reported adjusted earnings of $1.42 per share in fourth-quarter 2018, missing the Zacks Consensus Estimate of $1.62. Moreover, the bottom line declined from the prior-year quarter figure of $2.29.
During the quarter under review, Autoliv reported net sales of $2.19 billion from continuing operations, reflecting 1.6% year-over-year rise. The Zacks Consensus Estimate for the same was pegged at $2.24 billion. Quarterly organic sales grew 4.2%, majorly driven by 19% organic sales increase in the Americas.
Operating income from continuing operations plunged 91.6% to $21 million. Adjusted operating margin from continuing operations was 10.9% in the reported quarter, lower than the prior-year quarter figure of 11.8%.
2018 Results
For 2018, net sales rose 6.7% to $8.68 billion, up 6.7% from 2017.
Adjusted earnings per share from continuing operations were $6.83, down from the 2017 figure of $7.12.
Financial Position
Autoliv had cash and cash equivalents of $615.8 million as of Dec 31, 2018, lower than $959.5 million reported as of Dec 31, 2017. Long-term debt was $1.61 billion as of Dec 31, 2018, witnessing an increase from $1.31 billion as of Dec 31, 2017.
At the end of fourth-quarter 2018, the company’s operating cash flow decreased to $289.4 million compared with the year-ago figure of $389.4 million. Net capital expenditure decreased to $133.4 million from the year-ago figure of $167.8 million.
Guidance
For 2019, Autoliv anticipates organic sales growth of around 5% for continuing operations. Combining a positive currency translation of approximately 1%, the company expects a consolidated sales boost of approximately 4%. Further, adjusted operating margin for continuing operations is projected to be around 10.5% in 2019.
Zacks Rank and Stocks to Consider
Autoliv currently carries a Zacks Rank #4 (Sell).
A few better-ranked stocks in the auto space are Allison Transmission Holdings, Inc. (ALSN - Free Report) , Dana Incorporated (DAN - Free Report) and General Motors Company (GM - Free Report) , each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Allison Transmission has an expected long-term growth rate of 10%. Over the past three months, shares of the company have surged 10.3%.
Dana has an expected long-term growth rate of 2.9%. Over the past three months, shares of the company have risen 18.2%.
General Motors has an expected long-term growth rate of 8.5%. Over the three months, shares of the company have risen 14.7%.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
See Stocks Today >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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