American Axle (AXL) vs. The Competition Head-To-Head Contrast

American Axle (NYSE: AXL) is one of 45 public companies in the “Motor vehicle parts & accessories” industry, but how does it compare to its rivals? We will compare American Axle to similar companies based on the strength of its analyst recommendations, dividends, valuation, risk, institutional ownership, profitability and earnings.

Institutional and Insider Ownership

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75.5% of shares of all “Motor vehicle parts & accessories” companies are held by institutional investors. 1.1% of American Axle shares are held by insiders. Comparatively, 12.0% of shares of all “Motor vehicle parts & accessories” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

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

Gross Revenue Net Income Price/Earnings Ratio
American Axle $6.27 billion $337.10 million 4.17
American Axle Competitors $7.96 billion $495.49 million 12.85

American Axle’s rivals have higher revenue and earnings than American Axle. American Axle 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.

Analyst Ratings

This is a breakdown of current recommendations and price targets for American Axle and its rivals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
American Axle 2 2 8 0 2.50
American Axle Competitors 254 1264 1837 82 2.51

American Axle presently has a consensus price target of $19.89, suggesting a potential upside of 27.09%. As a group, “Motor vehicle parts & accessories” companies have a potential upside of 11.85%. Given American Axle’s higher possible upside, research analysts clearly believe American Axle is more favorable than its rivals.

Profitability

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

Net Margins Return on Equity Return on Assets
American Axle 5.38% 32.04% 5.48%
American Axle Competitors 2.22% 22.58% 5.69%

Volatility & Risk

American Axle has a beta of 1.37, indicating that its stock price is 37% more volatile than the S&P 500. Comparatively, American Axle’s rivals have a beta of 1.35, indicating that their average stock price is 35% more volatile than the S&P 500.

Summary

American Axle rivals beat American Axle on 8 of the 13 factors compared.

About American Axle

American Axle & Manufacturing Holdings, Inc., together with its subsidiaries, designs, engineers, validates, and manufactures driveline, metal forming, powertrain, and casting products. The company's Driveline segment offers axles, driveshafts, power transfer units, rear drive modules, transfer cases, and electric and hybrid driveline products and systems for light trucks, sport utility vehicles, crossover vehicles, passenger cars, and commercial vehicles. Its Metal Forming segment provides axle and transmission shafts, ring and pinion gears, differential gears, transmission gears and shafts, and suspension components for original equipment manufacturers and automotive suppliers. The company's Powertrain segment offers transmission module and differential assemblies, transmission valve bodies, connecting rod forging and assemblies, torsional vibration dampers, and variable valve timing products for original equipment manufacturers and automotive suppliers. Its Casting segment produces thin wall castings and high strength ductile iron castings, as well as differential cases, steering knuckles, control arms, brackets, and turbo charger housings for the light vehicle, commercial, and industrial markets. The company has operations in the United States, Canada, Mexico, South America, China, Europe, other Asian countries, and internationally. American Axle & Manufacturing Holdings, Inc. was founded in 1994 and is headquartered in Detroit, Michigan.

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