Autoliv (NYSE:ALV) Shares Down 6.8% on Disappointing Earnings

Autoliv, Inc. (NYSE:ALV)’s share price dropped 6.8% during trading on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $110.69 and last traded at $110.7540. Approximately 370,052 shares changed hands during trading, a decline of 50% from the average session volume of 744,557 shares. The stock had previously closed at $118.88.

The auto parts company reported $2.19 earnings per share for the quarter, missing analysts’ consensus estimates of $2.23 by ($0.04). Autoliv had a return on equity of 29.36% and a net margin of 5.79%. The company had revenue of $2.69 billion during the quarter, compared to analyst estimates of $2.73 billion. During the same period in the previous year, the company posted $2.32 earnings per share. Autoliv’s revenue for the quarter was down .5% on a year-over-year basis.

Autoliv Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Friday, August 28th were paid a dividend of $0.87 per share. This represents a $3.48 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date was Friday, August 28th. Autoliv’s dividend payout ratio is presently 40.99%.

Analyst Ratings Changes

ALV has been the topic of several recent analyst reports. TD Cowen lowered shares of Autoliv from a “buy” rating to a “hold” rating and dropped their target price for the company from $148.00 to $137.00 in a report on Tuesday, September 8th. Wells Fargo & Company boosted their price target on shares of Autoliv from $116.00 to $122.00 and gave the stock an “equal weight” rating in a report on Thursday, June 25th. Jefferies Financial Group cut their target price on shares of Autoliv from $134.00 to $119.00 and set a “hold” rating for the company in a research report on Tuesday, September 22nd. Royal Bank Of Canada dropped their target price on shares of Autoliv from $147.00 to $146.00 and set an “outperform” rating for the company in a research report on Monday, October 12th. Finally, Wall Street Zen cut shares of Autoliv from a “buy” rating to a “hold” rating in a report on Saturday, July 4th. Six research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $134.92.

Institutional Investors Weigh In On Autoliv

Hedge funds have recently modified their holdings of the business. BlackRock Inc. purchased a new stake in Autoliv during the 2nd quarter worth approximately $573,245,000. Dimensional Fund Advisors LP increased its stake in Autoliv by 3.7% during the first quarter. Dimensional Fund Advisors LP now owns 1,952,252 shares of the auto parts company’s stock worth $205,270,000 after purchasing an additional 70,424 shares during the period. Wellington Management Group LLP grew its position in shares of Autoliv by 21.4% during the second quarter. Wellington Management Group LLP now owns 821,589 shares of the auto parts company’s stock worth $95,444,000 after buying an additional 145,013 shares in the last quarter. Bank of New York Mellon Corp purchased a new stake in Autoliv during the second quarter worth approximately $65,124,000. Finally, ABN AMRO Bank N.V. purchased a new position in shares of Autoliv during the second quarter worth approximately $33,456,000. Hedge funds and other institutional investors own 69.57% of the company’s stock.

Autoliv Trading Down 6.8%

The company has a quick ratio of 0.79, a current ratio of 1.03 and a debt-to-equity ratio of 0.67. The company has a fifty day moving average of $117.91 and a two-hundred day moving average of $119.17. The stock has a market capitalization of $8.11 billion, a price-to-earnings ratio of 12.99, a P/E/G ratio of 0.96 and a beta of 1.39.

Autoliv Company Profile

Autoliv, Inc (NYSE: ALV) develops and manufactures automotive safety systems and components for vehicle manufacturers worldwide. The company focuses primarily on passive safety products designed to help protect occupants during a collision.

Its product portfolio includes airbags, seat belts, steering wheels, pedestrian protection systems, and associated safety electronics and control systems. Autoliv supplies these products to major automakers and supports vehicle programs across passenger cars and commercial vehicles.

Autoliv traces its roots to Sweden and has grown into an international automotive supplier with operations and customers across North America, Europe, Asia, and other major automotive markets.