Autoliv (NYSE:ALV – Get Free Report) posted its quarterly earnings results on Friday. The auto parts company reported $2.43 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.46 by ($0.03), Briefing.com reports. Autoliv had a net margin of 6.45% and a return on equity of 29.03%. The company had revenue of $2.80 billion during the quarter, compared to analyst estimates of $2.77 billion. During the same period in the prior year, the business earned $2.21 EPS. Autoliv’s revenue for the quarter was up 3.3% on a year-over-year basis.
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 Price Performance
Autoliv stock opened at $120.47 on Friday. The firm has a market capitalization of $9.02 billion, a PE ratio of 12.95, a P/E/G ratio of 0.83 and a beta of 1.35. Autoliv has a 52 week low of $99.16 and a 52 week high of $132.17. The firm’s 50-day simple moving average is $121.82 and its 200 day simple moving average is $118.63. The company has a quick ratio of 0.82, a current ratio of 1.08 and a debt-to-equity ratio of 0.64.
Autoliv Dividend Announcement
Insiders Place Their Bets
In other news, Director Jan Carlson sold 19,607 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $130.00, for a total transaction of $2,548,910.00. Following the completion of the transaction, the director directly owned 60,000 shares of the company’s stock, valued at $7,800,000. This trade represents a 24.63% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 0.34% of the company’s stock.
Institutional Investors Weigh In On Autoliv
Several hedge funds have recently made changes to their positions in the business. Parkside Financial Bank & Trust increased its stake in Autoliv by 863.6% in the fourth quarter. Parkside Financial Bank & Trust now owns 212 shares of the auto parts company’s stock valued at $25,000 after purchasing an additional 190 shares during the last quarter. IFP Advisors Inc boosted its holdings in shares of Autoliv by 110.3% in the 3rd quarter. IFP Advisors Inc now owns 204 shares of the auto parts company’s stock valued at $25,000 after purchasing an additional 107 shares during the last quarter. Quarry LP acquired a new position in Autoliv in the third quarter valued at $36,000. Johnson Financial Group Inc. purchased a new position in shares of Autoliv in the 3rd quarter valued at $37,000. Finally, Northwestern Mutual Wealth Management Co. increased its stake in Autoliv by 35.9% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 454 shares of the auto parts company’s stock worth $56,000 after buying an additional 120 shares during the period. Institutional investors and hedge funds own 69.57% of the company’s stock.
Autoliv News Roundup
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
Several brokerages have recently weighed in on ALV. Barclays cut their target price on Autoliv from $140.00 to $135.00 and set an “overweight” rating on the stock in a research report on Monday, March 30th. Royal Bank Of Canada lifted their target price on Autoliv from $138.00 to $148.00 and gave the stock an “outperform” rating in a research report on Monday. Wall Street Zen cut Autoliv from a “buy” rating to a “hold” rating in a research report on Saturday, July 4th. Wells Fargo & Company increased their price target on shares of Autoliv from $116.00 to $122.00 and gave the stock an “equal weight” rating in a research note on Thursday, June 25th. Finally, UBS Group increased 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. Eight research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $135.93.
Get Our Latest Research Report on ALV
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.
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