We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why You Should Invest in Aptiv (APTV) Stock Right Now
Read MoreHide Full Article
A wise investment decision involves buying stocks at the right time while selling those at risk. A rise in share price and fundamentals signal a stock’s bullish run.
Aptiv PLC (APTV - Free Report) is a technology services stock that has performed extremely well over the past three months and has the potential to carry the momentum in the near term. Therefore, if you haven’t taken advantage of the share price appreciation yet, it’s time you add the stock to your portfolio.
Let’s take a look at the factors that make the stock an attractive pick.
Share Price Performance
A glimpse of the company’s price trend reveals that the stock has had an run on the bourse over the past three months. Aptiv returned 11% compared with the industry’s increase of 10.2%.
Solid Rank
Aptiv has a Zacks Rank #2 (Buy). Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or 2 offer the attractive investment opportunities for investors. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions
Two estimates for 2018 moved north over the past 60 days versus no southbound revision, reflecting analysts’ confidence in the company. The Zacks Consensus Estimate for 2018 inched up 1.1%.
Positive Earnings Surprise History
Aptiv boasts impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in three of the trailing four quarters with an average positive surprise of 3.5%.
Solid Growth Prospects
The Zacks Consensus Estimate of $5.36 for current-year earnings depicts a year-over-year improvement of 15.5%. For 2019, the bottom line is expected to register 8.7% growth. Aptiv has an expected long-term earnings growth rate of 13.4%.
Key Growth Drivers
Aptiv is well poised to gain from secular trends toward connected cars. With safety becoming a key selling point for these cars, automakers are increasingly seeking related technologies. This is one of the reasons behind quick advancement of the driver-assistance system market. Demand for personalization, infotainment connectivity and convenience are also increasing rapidly.
Furthermore, added features require more wiring inside vehicles. We believe that with excellent system integration expertise, Aptiv is well positioned to leverage on growing electrification, connectivity and autonomy trends in the automotive sector.
The company’s "smart architecture" provides a competitive advantage and should help it continue gaining market share. Decreasing environmental impact and increasing fuel economy is a key trend in the industry today and OEMs have increased their search for better engine management and lower power consumption. Aptiv intends to take advantage of this trend as its “smart architecture” reduces wiring requirement in cars, thus helping them to become more fuel efficient and add new features.
Acquisition is a key growth strategy for Aptiv. The acquisition of MVL strengthens the company’s position in the high voltage market, especially in the Asia Pacific Region. While, the Unwired and Antaya buyout expanded Aptiv’s portfolio of connected technologies, HellermanTyton added opportunities in the adjacent industrial end markets.
Movimento and Control-Tec are the foundation of the company’s connected services platform. Aptiv intends to continue making investments aimed at organic as well as inorganic growth. Investments are an integral part of Aptiv’s productivity initiatives, which should help the company grow on its operating margin, going ahead.
Last month, the company completed the purchase of KUM, a South Korea-based provider of connectors and cable management solutions. The buyout is expected to complement Aptiv’s robust growth in the Asia-Pacific belt and boost its Signal and Power Solutions segment.
Other Key Picks
Some other top-ranked stocks in the broader Business Services sector are Automatic Data Processing, Inc. (ADP - Free Report) , The Dun & Bradstreet Corp. (DNB - Free Report) and FLEETCOR Technologies, Inc. . While Automatic Data Processing and Dun & Bradstreet sport a Zacks Rank #1, FLEETCOR is a Zacks #2 Ranked stock.
The expected long-term earnings per share (three to five years) growth rate for Automatic Data Processing, Dun & Bradstreet and FLEETCOR Technologies is 11.3%, 6% and 16.5%, respectively.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6% and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Here's Why You Should Invest in Aptiv (APTV) Stock Right Now
A wise investment decision involves buying stocks at the right time while selling those at risk. A rise in share price and fundamentals signal a stock’s bullish run.
Aptiv PLC (APTV - Free Report) is a technology services stock that has performed extremely well over the past three months and has the potential to carry the momentum in the near term. Therefore, if you haven’t taken advantage of the share price appreciation yet, it’s time you add the stock to your portfolio.
Let’s take a look at the factors that make the stock an attractive pick.
Share Price Performance
A glimpse of the company’s price trend reveals that the stock has had an run on the bourse over the past three months. Aptiv returned 11% compared with the industry’s increase of 10.2%.
Solid Rank
Aptiv has a Zacks Rank #2 (Buy). Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or 2 offer the attractive investment opportunities for investors. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions
Two estimates for 2018 moved north over the past 60 days versus no southbound revision, reflecting analysts’ confidence in the company. The Zacks Consensus Estimate for 2018 inched up 1.1%.
Positive Earnings Surprise History
Aptiv boasts impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in three of the trailing four quarters with an average positive surprise of 3.5%.
Solid Growth Prospects
The Zacks Consensus Estimate of $5.36 for current-year earnings depicts a year-over-year improvement of 15.5%. For 2019, the bottom line is expected to register 8.7% growth. Aptiv has an expected long-term earnings growth rate of 13.4%.
Key Growth Drivers
Aptiv is well poised to gain from secular trends toward connected cars. With safety becoming a key selling point for these cars, automakers are increasingly seeking related technologies. This is one of the reasons behind quick advancement of the driver-assistance system market. Demand for personalization, infotainment connectivity and convenience are also increasing rapidly.
Furthermore, added features require more wiring inside vehicles. We believe that with excellent system integration expertise, Aptiv is well positioned to leverage on growing electrification, connectivity and autonomy trends in the automotive sector.
The company’s "smart architecture" provides a competitive advantage and should help it continue gaining market share. Decreasing environmental impact and increasing fuel economy is a key trend in the industry today and OEMs have increased their search for better engine management and lower power consumption. Aptiv intends to take advantage of this trend as its “smart architecture” reduces wiring requirement in cars, thus helping them to become more fuel efficient and add new features.
Aptiv PLC Revenue (TTM)
Aptiv PLC Revenue (TTM) | Aptiv PLC Quote
Acquisition is a key growth strategy for Aptiv. The acquisition of MVL strengthens the company’s position in the high voltage market, especially in the Asia Pacific Region. While, the Unwired and Antaya buyout expanded Aptiv’s portfolio of connected technologies, HellermanTyton added opportunities in the adjacent industrial end markets.
Movimento and Control-Tec are the foundation of the company’s connected services platform. Aptiv intends to continue making investments aimed at organic as well as inorganic growth. Investments are an integral part of Aptiv’s productivity initiatives, which should help the company grow on its operating margin, going ahead.
Last month, the company completed the purchase of KUM, a South Korea-based provider of connectors and cable management solutions. The buyout is expected to complement Aptiv’s robust growth in the Asia-Pacific belt and boost its Signal and Power Solutions segment.
Other Key Picks
Some other top-ranked stocks in the broader Business Services sector are Automatic Data Processing, Inc. (ADP - Free Report) , The Dun & Bradstreet Corp. (DNB - Free Report) and FLEETCOR Technologies, Inc. . While Automatic Data Processing and Dun & Bradstreet sport a Zacks Rank #1, FLEETCOR is a Zacks #2 Ranked stock.
The expected long-term earnings per share (three to five years) growth rate for Automatic Data Processing, Dun & Bradstreet and FLEETCOR Technologies is 11.3%, 6% and 16.5%, respectively.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6% and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>