Autoliv (NYSE:ALV) Announces Quarterly Earnings Results

Autoliv (NYSE:ALV) announced its earnings results on Friday. The auto parts company reported $2.43 EPS for the quarter, missing the consensus estimate of $2.46 by ($0.03), Briefing.com reports. Autoliv had a return on equity of 29.03% and a net margin of 6.45%.Autoliv’s revenue was up 3.3% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.21 EPS.

Here are the key takeaways from Autoliv’s conference call:

• Autoliv reported a record second quarter for both sales and adjusted operating income, with net sales above $2.8 billion and adjusted EPS up to $2.43. Management said the results show the company’s resilience and strong market position despite a challenging backdrop.
• The company reiterated full-year 2026 guidance, including flat organic sales, adjusted operating margin of about 10.5%-11%, and operating cash flow around $1.2 billion. Management expects continued outperformance versus global light vehicle production, especially in China and India.
• Cash generation was strong, with second-quarter operating cash flow of $434 million and leverage improving to 1.2x even after $264 million of shareholder returns. Autoliv also maintained a high cash conversion rate and lower capital intensity.
• Autoliv announced a gradual shutdown of manufacturing in Turkey and transfer of production to other EMEA facilities, affecting about 2,200 employees. The company expects roughly $142 million of restructuring charges, though it also sees about $40 million of annual pre-tax savings starting in 2027.
• Management said the second-half margin cadence will be back-end loaded, with most recovery from customer compensation, engineering income, and self-help expected in Q4. The company also highlighted strong momentum with Chinese OEMs, including new cooperation agreements with Great Wall Motor and XPENG.

Autoliv Trading Up 1.9%

NYSE ALV opened at $125.07 on Friday. Autoliv has a 12 month low of $99.16 and a 12 month high of $132.17. The company has a current ratio of 1.08, a quick ratio of 0.82 and a debt-to-equity ratio of 0.64. The stock has a 50 day moving average of $121.85 and a 200-day moving average of $118.62. The company has a market cap of $9.36 billion, a PE ratio of 13.45, a PEG ratio of 0.81 and a beta of 1.35.

Autoliv Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 8th. Shareholders of record on Wednesday, May 20th were paid a $0.87 dividend. This represents a $3.48 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date was Wednesday, May 20th. Autoliv’s dividend payout ratio (DPR) is currently 37.42%.

Insider Transactions at Autoliv

In other news, Director Jan Carlson sold 19,607 shares of the stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $130.00, for a total value of $2,548,910.00. Following the completion of the transaction, the director owned 60,000 shares of the company’s stock, valued at approximately $7,800,000. This represents a 24.63% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.34% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ALV. Invesco Ltd. lifted its stake in shares of Autoliv by 5.5% during the 4th quarter. Invesco Ltd. now owns 717,991 shares of the auto parts company’s stock valued at $85,226,000 after buying an additional 37,117 shares in the last quarter. Caitlin John LLC purchased a new stake in shares of Autoliv in the 4th quarter worth $321,000. First Citizens Bank & Trust Co. increased its holdings in Autoliv by 1.4% in the 4th quarter. First Citizens Bank & Trust Co. now owns 11,373 shares of the auto parts company’s stock worth $1,350,000 after acquiring an additional 159 shares in the last quarter. Mackenzie Financial Corp bought a new position in Autoliv in the 4th quarter worth $5,453,000. Finally, Empowered Funds LLC boosted its stake in shares of Autoliv by 24.2% in the fourth quarter. Empowered Funds LLC now owns 16,689 shares of the auto parts company’s stock worth $1,981,000 after acquiring an additional 3,252 shares during the period. 69.57% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on ALV shares. Barclays reduced their price target on Autoliv from $140.00 to $135.00 and set an “overweight” rating for the company in a report on Monday, March 30th. Jefferies Financial Group raised Autoliv to a “hold” rating in a report on Monday, June 15th. TD Cowen decreased their price target on Autoliv from $150.00 to $147.00 and set a “buy” rating on the stock in a research note on Wednesday, April 15th. Robert W. Baird increased their target price on Autoliv from $119.00 to $130.00 and gave the stock a “neutral” rating in a report on Monday, April 20th. Finally, UBS Group raised their target price on shares of Autoliv from $110.00 to $122.00 and gave the company a “neutral” rating in a research note on Monday, June 15th. Eight research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $135.93.

About Autoliv

Autoliv Inc (NYSE: ALV) is a leading global supplier of automotive safety systems, specializing in the design, development and manufacture of passive and active safety products. Its core product portfolio includes airbags, seatbelts, steering wheels, restraint control modules and pedestrian protection systems. In recent years, the company has also expanded into active safety technologies, offering radar, camera and sensor solutions that support advanced driver assistance systems (ADAS) and autonomous driving applications.

Founded in 1997 following the spin-off of Electrolux’s automotive safety business, Autoliv has evolved into a multinational organization with a presence in over 27 countries.