Financial Contrast: Aptiv (APTV) and Its Rivals

Aptiv (NYSE:APTV) is one of 148 publicly-traded companies in the “Automobile Components” industry, but how does it compare to its competitors? We will compare Aptiv to similar companies based on the strength of its institutional ownership, analyst recommendations, valuation, profitability, earnings, dividends and risk.

Profitability

This table compares Aptiv and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Aptiv	1.17%	17.10%	7.03%
Aptiv Competitors	-41.04%	-0.36%	-2.05%

Analyst Recommendations

This is a summary of current ratings for Aptiv and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aptiv	2	4	17	1	2.71
Aptiv Competitors	1083	4487	6122	202	2.46

Aptiv presently has a consensus target price of $72.60, suggesting a potential upside of 76.05%. As a group, “Automobile Components” companies have a potential upside of 72.56%. Given Aptiv’s stronger consensus rating and higher probable upside, analysts plainly believe Aptiv is more favorable than its competitors.

Insider & Institutional Ownership

94.2% of Aptiv shares are owned by institutional investors. Comparatively, 48.3% of shares of all “Automobile Components” companies are owned by institutional investors. 0.1% of Aptiv shares are owned by company insiders. Comparatively, 19.6% of shares of all “Automobile Components” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Aptiv and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Aptiv	$20.40 billion	$165.00 million	38.90
Aptiv Competitors	$6.49 billion	$70.54 million	5.27

Aptiv has higher revenue and earnings than its competitors. Aptiv is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

Aptiv has a beta of 1.43, indicating that its stock price is 43% more volatile than the S&P 500. Comparatively, Aptiv’s competitors have a beta of 3.88, indicating that their average stock price is 288% more volatile than the S&P 500.

Summary

Aptiv beats its competitors on 11 of the 13 factors compared.

About Aptiv

Aptiv PLC engages in design, manufacture, and sale of vehicle components in North America, Europe, Middle East, Africa, the Asia Pacific, South America, and internationally. The company provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets. It operates through two segments, Signal and Power Solutions, and Advanced Safety and User Experience. The Signal and Power Solutions segment designs, manufactures, and assembles vehicle’s electrical architecture, including engineered component products, connectors, wiring assemblies and harnesses, cable management products, electrical centers, and hybrid high voltage and safety distribution systems. Its Advanced Safety and User Experience segment provides critical technologies and services for vehicle safety, security, comfort, and convenience, such as sensing and perception systems, electronic control units, multi-domain controllers, vehicle connectivity systems, application software, autonomous driving technologies, and end-to-end DevOps tools. The company was formerly known as Delphi Automotive PLC and changed its name to Aptiv PLC in December 2017. Aptiv PLC was incorporated in 2011 and is based in Dublin, Ireland.