American Axle & Manufacturing (DCH) versus Its Peers Head-To-Head Review

American Axle & Manufacturing (NYSE:DCH) is one of 71 publicly-traded companies in the “AUTO/TRUCK – ORIG” industry, but how does it contrast to its rivals? We will compare American Axle & Manufacturing to related companies based on the strength of its valuation, analyst recommendations, institutional ownership, dividends, profitability, risk and earnings.

Analyst Ratings

This is a breakdown of current ratings and price targets for American Axle & Manufacturing and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Axle & Manufacturing	2	3	6	0	2.36
American Axle & Manufacturing Competitors	804	3652	4830	265	2.48

American Axle & Manufacturing presently has a consensus target price of $10.12, indicating a potential upside of 81.71%. As a group, “AUTO/TRUCK – ORIG” companies have a potential upside of 24.74%. Given American Axle & Manufacturing’s higher possible upside, analysts plainly believe American Axle & Manufacturing is more favorable than its rivals.

Valuation and Earnings

This table compares American Axle & Manufacturing and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
American Axle & Manufacturing	$5.84 billion	-$19.70 million	-30.94
American Axle & Manufacturing Competitors	$6.36 billion	$181.04 million	32.66

American Axle & Manufacturing’s rivals have higher revenue and earnings than American Axle & Manufacturing. American Axle & Manufacturing is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares American Axle & Manufacturing and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Axle & Manufacturing	-0.34%	10.00%	1.17%
American Axle & Manufacturing Competitors	-2,041.24%	-29.40%	-6.51%

Volatility and Risk

American Axle & Manufacturing has a beta of 1.61, suggesting that its stock price is 61% more volatile than the S&P 500. Comparatively, American Axle & Manufacturing’s rivals have a beta of 4.63, suggesting that their average stock price is 363% more volatile than the S&P 500.

Institutional and Insider Ownership

91.4% of American Axle & Manufacturing shares are held by institutional investors. Comparatively, 65.0% of shares of all “AUTO/TRUCK – ORIG” companies are held by institutional investors. 3.7% of American Axle & Manufacturing shares are held by company insiders. Comparatively, 8.0% of shares of all “AUTO/TRUCK – ORIG” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

American Axle & Manufacturing rivals beat American Axle & Manufacturing on 7 of the 13 factors compared.

American Axle & Manufacturing Company Profile

American Axle & Manufacturing Holdings, Inc. engages in the manufacture, engineering, design, and validation of driveline systems and related components. It operates through the Driveline and Metal Forming segments. The Driveline segment consists of axles, drive shafts, power transfer units, rear drive modules, and electric and hybrid driveline products and systems for light trucks, service utility vehicles, crossover vehicles, passenger cars, and commercial vehicles. The Metal Forming segment manufactures axle shafts, ring and pinion gears, differential gears, transmission gears, and shafts and suspension components for original equipment manufacturers (OEMs), and Tier 1 automotive suppliers. The company was founded by Richard E. Dauch on March 1, 1994, and is headquartered in Detroit, MI.