Fri, Jun. 24, 12:00 PM
Tue, Jun. 21, 1:53 PM
- BorgWarner (BWA -4.1%) tumbles after BofA Merrill Lynch downgrades shares to Neutral from Buy, saying the company looks set to suffer from muted revenue and profit growth going forward.
- The downgrade is just one of several among auto parts suppliers amid lower than expected U.S. auto sales this year, as BofA cuts its 2016 U.S. auto sales estimate to 17.7M from an earlier view of 18.2M.
- In addition to BWA, the firm also downgrades American Axle (AXL -6%), Lear (LEA -3.5%) and Metaldyne (MPG -5.9%) to Neutral from Buy, and Cooper-Standard (CPS -3.6%) to Underperform from Neutral.
- BofA adds that investor sentiment towards the auto supplier sector has become more negative, meaning that all the downgraded stocks likely will trade at relatively low multiples.
Tue, Jun. 21, 12:00 PM
Fri, Apr. 1, 11:14 AM
- Auto parts stock are lower after March U.S. auto sales from the Detroit Three fall short of the estimates of research firms.
- Leading decliners include Metaldyne (MPG -6.7%), Dana Holding (DAN -4.9%), American Axle & Manufacturing (AXL -3.4%), Tenneco (TEN -3.6%), Lear Corp. (LEA -3.1%), Meritor (MTOR -2.4%), and Gentherm (THRM -2.1%).
- Now read The U.S. Auto Market: How Many Brands, How Many Models?
Nov. 11, 2015, 3:45 PM
- Metaldyne Performance (MPG -2.2%) is downgraded to Equal Weight from Overweight with a $23 price target at Barclays, which foresees a sluggish near-term growth outlook with cycle risk over the mid-term, even as organic growth likely accelerates beyond 2016.
- The firm likes MPG's industry-leading EBITDA margins and above-average free cash generation, but finds it hard to ignore lackluster organic growth in 2015-16 and sees revenue headwinds driving below-average organic growth.
- While the firm expects organic growth to accelerate to 6% in 2017 as headwinds fade and new business ramps, it also considers cycle risk in the mid-term.
Sep. 4, 2015, 12:45 PM
Metaldyne Performance Group, Inc. is a diversified manufacturing company in metal forming technologies with global value-added capabilities focused on transmission, engine, driveline, and safety critical applications in passenger, commercial, and industrial vehicles. The company's powertrain... More
Sector: Consumer Goods
Industry: Auto Parts
Country: United States
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