Autoliv, Inc. (ALV - Free Report) partners with Adient plc (ADNT - Free Report) — the leading automotive seating supplier in the world — to tackle vehicle seating problems and suit the designs of future cars with autonomous driving facility. Both companies will engage in developing products and solutions to handle challenges pertaining to safety and comfort of self-driving vehicles.
With the introduction of such sophisticated models in the market, drivers and passengers will be spending more time on non-driving activities. The interiors of these autonomous cars will thus grab more attention and play a more dominant role on the road.
Passengers will look for more internal flexibility in computer-driven vehicles than before. For instance, alternative seating positions to relax, socialize and work. Also, seatbelts, pretentioners and buckles will remain primary components to control accidents even in vehicles without manual drivers.
Autoliv, Inc. Price and Consensus
Initial focus of the collaboration is to integrate Autoliv’s safety components into the easy seating arrangement of future vehicles, improve the existing seat-mounted airbag systems and Euro NCAP’s new far-side systems. These new amenities will be available from the second half of 2018.
Both companies aim to explore opportunities in non-automotive applications to add new safety features. Their intention is to offer next generation standard of advanced vehicle seating systems. The upgraded interior protections will make consumers confident and assure them that their vehicles are well equipped with safety features.
Autoliv frequently collaborates with other companies to develop innovative products. Previously, it had also teamed up with Australia-based Seeing Machines to develop driver monitoring systems for driverless vehicles. (Read more: Autoliv to Partner Seeing Machines for Driver Monitor).
Autoliv’s shares have slipped 2.6% year to date, underperforming the 21.4% gain of the industry it belongs to.
Zacks Rank & Key Picks
Autoliv currently carries a Zacks Rank #3 (Hold).
A few better-ranked automobile stocks are Toyota Motor Corporation (TM - Free Report) and Allison Transmission Holdings, Inc. (ALSN - Free Report) , both currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Toyota has a long-term growth rate of 7%.
Allison Transmission has a long-term growth rate of 10%.
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