Autoliv (NYSE:ALV – Get Free Report) released its quarterly earnings data on Friday. The auto parts company reported $2.43 earnings per share for the quarter, missing the consensus estimate of $2.46 by ($0.03), Briefing.com reports. The firm had revenue of $2.80 billion for the quarter, compared to analyst estimates of $2.77 billion. Autoliv had a net margin of 6.45% and a return on equity of 29.03%. The company’s revenue was up 3.3% compared to the same quarter last year. During the same period last year, the business earned $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 Down 3.6%
Shares of ALV stock opened at $120.47 on Friday. Autoliv has a 1-year low of $99.16 and a 1-year 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 market cap of $9.02 billion, a price-to-earnings ratio of 14.19, a PEG ratio of 0.80 and a beta of 1.35. The stock has a 50-day moving average of $121.82 and a 200-day moving average of $118.63.
Autoliv Announces Dividend
Key Autoliv News
Here are the key news stories impacting Autoliv this week:
- Positive Sentiment: Autoliv reported Q2 revenue of $2.80 billion, ahead of expectations, and said sales rose 3.3% year over year, with management highlighting record sales and strong Asia growth. Autoliv, Inc. (ALV) Q2 Earnings and Revenues Top Estimates
- Positive Sentiment: The company also reiterated its 2026 operating margin outlook of 10.5%-11% and said it expects about $40 million in annual pretax savings from closing its Turkey operations, which supports future profitability. Autoliv reiterates 2026 10.5%-11% margin outlook while planning $40M annual pretax savings from Turkey closure
- Neutral Sentiment: Q2 adjusted EPS came in at $2.43, slightly below the $2.46 consensus estimate, even though it was above last year’s $2.21, making the quarter a modest earnings miss on the bottom line. Autoliv earnings release summary
- Negative Sentiment: Investor reaction may also reflect caution around the company’s exposure to weaker vehicle production and the fact that earnings narrowly missed estimates, which can limit enthusiasm even after a revenue beat. Why Autoliv (ALV) stock is trading lower today
Wall Street Analyst Weigh In
ALV has been the subject of several research reports. Wall Street Zen downgraded Autoliv from a “buy” rating to a “hold” rating in a research report on Saturday, July 4th. Royal Bank Of Canada boosted their price target on Autoliv from $138.00 to $148.00 and gave the stock an “outperform” rating in a report on Monday, July 13th. UBS Group boosted their price target on Autoliv from $110.00 to $122.00 and gave the stock a “neutral” rating in a report on Monday, June 15th. Jefferies Financial Group raised Autoliv to a “hold” rating in a research note on Monday, June 15th. Finally, Weiss Ratings raised shares of Autoliv from a “buy (b-)” rating to a “buy (b)” rating in a report on Monday, July 6th. Eight equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat.com, Autoliv currently has a consensus rating of “Moderate Buy” and an average price target of $135.93.
Get Our Latest Research Report on Autoliv
Insider Activity at Autoliv
In related news, Director Jan Carlson sold 19,607 shares of the company’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $130.00, for a total value of $2,548,910.00. Following the sale, the director directly owned 60,000 shares in the company, valued at $7,800,000. This represents a 24.63% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 0.34% of the stock is currently owned by corporate insiders.
Institutional Inflows and Outflows
Hedge funds and other institutional investors have recently modified their holdings of the company. Charles Schwab Investment Management Inc. increased its position in shares of Autoliv by 1.1% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,562,641 shares of the auto parts company’s stock worth $304,185,000 after buying an additional 28,415 shares during the period. Dimensional Fund Advisors LP lifted its holdings in Autoliv by 2.0% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,881,828 shares of the auto parts company’s stock valued at $223,385,000 after buying an additional 37,661 shares during the period. AQR Capital Management LLC lifted its holdings in Autoliv by 32.7% in the fourth quarter. AQR Capital Management LLC now owns 1,225,359 shares of the auto parts company’s stock valued at $145,450,000 after buying an additional 301,659 shares during the period. Invesco Ltd. boosted its position in Autoliv by 5.5% during the fourth quarter. Invesco Ltd. now owns 717,991 shares of the auto parts company’s stock valued at $85,226,000 after acquiring an additional 37,117 shares during the last quarter. Finally, Morgan Stanley boosted its position in Autoliv by 12.7% during the fourth quarter. Morgan Stanley now owns 613,501 shares of the auto parts company’s stock valued at $72,823,000 after acquiring an additional 69,040 shares during the last quarter. Institutional investors and hedge funds own 69.57% of the company’s stock.
Autoliv Company Profile
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.
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