Aptiv PLC (APTV) | Investment Case

1. Company Snapshot

1.a. Company Description

Aptiv PLC designs, manufacturers, and sells vehicle components worldwide.The company provides electrical, electronic, and safety technology solutions to the automotive and commercial vehicle markets.It operates in two segment, 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.The Advanced Safety and User Experience segment provides critical components, systems integration, and software development for vehicle safety, security, comfort, and convenience, such as sensing and perception systems, electronic control units, multi-domain controllers, vehicle connectivity systems, application software, and autonomous driving technologies.The company was formerly known as Delphi Automotive PLC and changed its name to Aptiv PLC in December 2017.

Aptiv PLC was founded in 2011 and is based in Dublin, Ireland.

Show Full description

1.b. Last Insights on APTV

Aptiv PLC faced negative drivers, including a 14.4% plunge in four weeks, which may have exhausted selling pressure, positioning the stock for a trend reversal. The company's Q3 earnings revealed double-digit growth, driven by North American performance. Despite this, concerns persist regarding customer concentration. Aptiv upgraded to 'BUY' rating, citing attractive valuation and improving fundamentals. Partnerships, such as with Robust.AI to co-develop AI-powered collaborative robots, and a strong product lineup, are positives. (Source: Analyst/Investor Day Transcript)

1.c. Company Highlights

Last Price	76.37
Change Percentage	-0.09%
Open	76.6
Previous Close	76.44
Market Cap ( Millions)	16502
Volume	1383221
Year High	88.8
Year Low	47.19
M A 50	81.62
M A 200	71.08

FCF Yield	10.74%
Dividend Yield	0.00%
ROE	3.21%
Debt / Equity	4.54%
Net Debt / EBIDTA	-55.69%
Price To Book	1.79
Price Earnings Ratio	56.28
Price To FCF	9.31
Price To sales	0.82
EV / EBITDA	6.98

2. Aptiv's Q3 2025 Earnings: A Strong Performance

Aptiv reported a record Q Page 1 3 2025 revenue of $5.2 billion, representing a 6% increase driven by strength in North America and Asia Pacific, as well as growth in non-automotive Page 6 markets. Operating income rose 10% to $654 million, and earnings per share reached a record $2.17, up 19% from the previous year. The company's actual EPS of $2.17 exceeded estimates of $1.81, demonstrating a strong financial performance.

Publication Date: Nov -01

                                    📋 Highlights
                                    Record Revenue and Profit Growth::
                                                Q3 revenue hit $5.2B (+6%), driven by North America, Asia-Pacific, and non-automotive markets; operating income rose 10% to $654M, and EPS reached $2.17 (+19%).
Segment Booking Strength::
                                                $8.4B in new business, led by $4.7B in Electrical Distribution Systems, $2.1B in Engineered Components, and $1.6B in Advanced Safety & User Experience.
Segment Performance Variance::
                                                Electrical Distribution Systems revenue grew 11% (all regions), Engineered Components +6% (China), while Advanced Safety & User Experience revenue remained flat.
2025 Guidance Raised::
                                                Revenue growth expected at 2% ($3.22B EBITDA, $7.55–$7.85 EPS +23% at midpoint); operating cash flow forecast at $2B.
Non-Automotive Expansion::
                                                Non-auto revenue surged 14% (nearing $4B), with energy storage, robotics, and drones as key growth drivers, and $3B in active safety bookings YTD.

                                

Segment Performance

The Advanced Safety and User Experience segment saw flat revenue, with growth in Wind River offset by headwinds from a legacy infotainment program and Chinese OEM cancellations. In contrast, the Engineered Components Group revenue grew 6%, driven by growth in China, while Electrical Distribution Systems revenue rose 11%, driven by growth across all regions.

Bookings and Guidance

Aptiv reported $8.4 billion in new business bookings, with significant contributions from Advanced Safety and User Experience, Engineered Components Group, and Electrical Distribution Systems. The company raised its 2025 guidance, expecting revenue growth of 2%, with adjusted EBITDA and operating income of approximately $3.22 billion and $2.45 billion, and adjusted earnings per share of $7.55-$7.85, up 23% at the midpoint.

Valuation and Outlook

With a P/E Ratio of 59.77 and an EV/EBITDA of 8.19, Aptiv's valuation appears Page Page pros Corpus pros Page to be factoring in significant growth expectations. The company's non Page Page Page MEM Pageະ Page Page auto Page business is approaching $4 billion, growing at high single digits to almost double digits, and is expected to continue growing in line with current rates. Aptiv's guidance Page for 4Q implies a meaningful pickup in bookings, with areas seeing momentum including ADAS user experience and SVA opportunities.

Growth Prospects

A era Page Aptiv expects solid return to growth in 2026 due to the shorter time frame between program award and launches in China. The user experience product line is expected to return to growth mode in 2026, after a low double-digit decline in growth year-over-year in Page the second half of the year. Analysts estimate next year's revenue growth at 4.0%, indicating a continued upward trajectory for the company.

3. NewsRoom

Aptiv Announces Håkan Agnevall to Join Aptiv's Board of Directors

Dec -05

Source: businesswire.com

Aptiv PLC (APTV) Presents at UBS Global Industrials and Transportation Conference Transcript

Dec -04

Source: seekingalpha.com

Touchstone Value Fund Q3 2025 Portfolio Update

Dec -03

Source: seekingalpha.com

APTV vs. MOD: Which Stock Is the Better Value Option?

Dec -01

Source: zacks.com

Aptiv PLC $APTV Stake Boosted by Charles Schwab Investment Management Inc.

Nov -29

Source: defenseworld.net

Aptiv to Present at UBS Global Industrials and Transportation Conference

Nov -25

Source: businesswire.com

Is APTIV HLDS LTD (APTV) Stock Outpacing Its Auto-Tires-Trucks Peers This Year?

Nov -24

Source: zacks.com

After Plunging 14.4% in 4 Weeks, Here's Why the Trend Might Reverse for APTIV HLDS LTD (APTV)

Nov -20

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.50%)

6. Segments

Signal and Power Solutions

Expected Growth: 10.2%

Aptiv's growth is driven by increasing adoption of advanced safety and autonomous driving technologies, as well as growing demand for electrification and connectivity solutions in the automotive industry.

Advanced Safety and User Experience

Expected Growth: 15.4%

Growing demand for autonomous mobility and increasing adoption of smart vehicle architectures drive Aptiv’s Advanced Safety and User Experience segment growth, fueled by rising safety concerns and government regulations.

Eliminations and Other

Expected Growth: 5.5%

Aptiv PLC’s Eliminations and Other segment's residual value is driven by growth in autonomous driving, increased electrification, and expansion in emerging markets, resulting in a forecast CAGR of 5.5%.

7. Detailed Products

Autonomous Mobility

Aptiv's Autonomous Mobility solutions provide a comprehensive suite of technologies and services to enable the development and deployment of autonomous vehicles.

Electrification

Aptiv's Electrification solutions provide a range of products and services to support the transition to electric vehicles, including electric motors, power electronics, and charging systems.

Smart Vehicle Architecture

Aptiv's Smart Vehicle Architecture solutions provide a comprehensive suite of technologies and services to enable the development of connected and autonomous vehicles.

Active Safety

Aptiv's Active Safety solutions provide a range of products and services to improve vehicle safety, including advanced driver-assistance systems (ADAS) and autonomous emergency braking (AEB).

Connectivity and Infotainment

Aptiv's Connectivity and Infotainment solutions provide a range of products and services to enable connected vehicles, including infotainment systems, connectivity modules, and cybersecurity solutions.

Vehicle Motion and Power

Aptiv's Vehicle Motion and Power solutions provide a range of products and services to improve vehicle performance, including powertrain systems, transmission systems, and chassis systems.

8. Aptiv PLC's Porter Forces

Forces Ranking

Threat Of Substitutes

Aptiv PLC faces moderate threat from substitutes due to the presence of established players in the automotive technology industry, but the company's focus on innovative solutions and partnerships helps to mitigate this threat.

Bargaining Power Of Customers

Aptiv PLC's customers, mainly automotive OEMs, have limited bargaining power due to the company's strong market position and diversified customer base.

Bargaining Power Of Suppliers

Aptiv PLC's suppliers, mainly component manufacturers, have moderate bargaining power due to the company's dependence on them for critical components, but the company's scale and diversification efforts help to mitigate this risk.

Threat Of New Entrants

The threat of new entrants is low for Aptiv PLC due to the high barriers to entry in the automotive technology industry, including significant capital requirements and the need for specialized expertise.

Intensity Of Rivalry

The intensity of rivalry in the automotive technology industry is high, with many established players competing for market share, but Aptiv PLC's strong brand and innovative solutions help the company to maintain its competitive position.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	37.02%
Debt Cost	3.95%
Equity Weight	62.98%
Equity Cost	13.50%
WACC	9.96%
Leverage	58.77%

11. Quality Control: Aptiv PLC passed 5 out of 9 key points

Strong Liquidity

Low Deb

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Relais

A-Score: 6.0/10

Value: 5.4

Growth: 8.9

Quality: 4.7

Yield: 5.6

Momentum: 5.5

Volatility: 6.0

1-Year Total Return ->

Michelin

A-Score: 5.9/10

Value: 6.4

Growth: 4.7

Quality: 4.7

Yield: 8.8

Momentum: 3.0

Volatility: 8.0

1-Year Total Return ->

AB Dynamics

A-Score: 5.1/10

Value: 3.5

Growth: 8.0

Quality: 7.0

Yield: 5.0

Momentum: 0.5

Volatility: 6.7

1-Year Total Return ->

Continental

A-Score: 4.7/10

Value: 7.7

Growth: 3.3

Quality: 4.6

Yield: 5.6

Momentum: 4.0

Volatility: 3.0

1-Year Total Return ->

Aptiv

A-Score: 4.4/10

Value: 6.0

Growth: 5.6

Quality: 3.8

Yield: 0.0

Momentum: 7.0

Volatility: 4.0

1-Year Total Return ->

Mobileye

A-Score: 3.2/10

Value: 6.5

Growth: 3.1

Quality: 2.6

Yield: 0.0

Momentum: 6.5

Volatility: 0.3

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

0.15%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

9.96%

Aptiv PLC - JE00B783TY65

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on APTV

1.c. Company Highlights

Weak Momentum

Lower Yield

Medium Volatility

Earnings Beats

Revenues Miss

Stable Momentum

Average Growth

Earnings Miss

Revenues Beats

Fairly Valued

Average Quality

Strong Momentum

2. Aptiv's Q3 2025 Earnings: A Strong Performance

Segment Performance

Bookings and Guidance

Valuation and Outlook

Growth Prospects

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.50%)

6. Segments

Signal and Power Solutions

Expected Growth: 10.2%

Advanced Safety and User Experience

Expected Growth: 15.4%

Eliminations and Other

Expected Growth: 5.5%

7. Detailed Products

Autonomous Mobility

Electrification

Smart Vehicle Architecture

Active Safety

Connectivity and Infotainment

Vehicle Motion and Power

8. Aptiv PLC's Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Aptiv PLC passed 5 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

76.37$

Current Price

76.37$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA