Despite its impressive fundamentals,APTIV PLC (NYSE:APTV) remains undervalued.

Our stock screening tool has pinpointed APTIV PLC (NYSE:APTV) as an undervalued stock. NYSE:APTV maintains a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Valuation Analysis for NYSE:APTV

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NYSE:APTV has earned a 7 for valuation:

• APTV is valuated reasonably with a Price/Earnings ratio of 10.14.
• Compared to the rest of the industry, the Price/Earnings ratio of APTV indicates a somewhat cheap valuation: APTV is cheaper than 76.74% of the companies listed in the same industry.
• Compared to an average S&P500 Price/Earnings ratio of 29.75, APTV is valued rather cheaply.
• A Price/Forward Earnings ratio of 8.69 indicates a reasonable valuation of APTV.
• Compared to the rest of the industry, the Price/Forward Earnings ratio of APTV indicates a somewhat cheap valuation: APTV is cheaper than 79.07% of the companies listed in the same industry.
• The average S&P500 Price/Forward Earnings ratio is at 22.44. APTV is valued rather cheaply when compared to this.
• Based on the Price/Free Cash Flow ratio, APTV is valued a bit cheaper than the industry average as 76.74% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The excellent profitability rating of APTV may justify a higher PE ratio.
• APTV's earnings are expected to grow with 16.00% in the coming years. This may justify a more expensive valuation.

Evaluating Profitability: NYSE:APTV

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NYSE:APTV scores a 8 out of 10:

• Looking at the Return On Assets, with a value of 7.62%, APTV belongs to the top of the industry, outperforming 81.40% of the companies in the same industry.
• Looking at the Return On Equity, with a value of 20.32%, APTV belongs to the top of the industry, outperforming 90.70% of the companies in the same industry.
• The Return On Invested Capital of APTV (9.95%) is better than 81.40% of its industry peers.
• The 3 year average ROIC (8.46%) for APTV is below the current ROIC(9.95%), indicating increased profibility in the last year.
• APTV has a better Profit Margin (9.07%) than 90.70% of its industry peers.
• In the last couple of years the Profit Margin of APTV has grown nicely.
• APTV's Operating Margin of 10.32% is amongst the best of the industry. APTV outperforms 83.72% of its industry peers.

Assessing Health for NYSE:APTV

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:APTV has earned a 5 out of 10:

• Looking at the Altman-Z score, with a value of 2.28, APTV is in the better half of the industry, outperforming 62.79% of the companies in the same industry.
• The Debt to FCF ratio of APTV (5.17) is better than 67.44% of its industry peers.

ChartMill's Evaluation of Growth

ChartMill assigns a Growth Rating to every stock. This score ranges from 0 to 10 and evaluates the different growth aspects like EPS and Revenue, both in the past as in the future. NYSE:APTV scores a 5 out of 10:

• APTV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.84%, which is quite impressive.
• The Earnings Per Share is expected to grow by 15.34% on average over the next years. This is quite good.
• When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

For an up to date full fundamental analysis you can check the fundamental report of APTV

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.