APTV Stock Forecast & Price Target

Aptiv PLC is expected to experience substantial margin expansion, with projected EBITDA margins increasing from 18.7% in FY24 to approximately 22.4-22.6% by FY28, representing an annual growth rate of 90-100 basis points. This growth is supported by favorable industry dynamics, including the upward revision of light-duty vehicle production estimates, which reflect a positive market environment and improved supply chain conditions. Additionally, the absence of significant headwinds from US tariffs has contributed to a more optimistic outlook for Aptiv's revenue growth, suggesting potential for further stock re-rating.

Aptiv PLC faces significant macroeconomic risks that may adversely impact consumer confidence and spending, potentially leading to reduced demand for its products. The company's projected adj. EBITDA growth of 10.0-14.0% from an estimated $2.3 billion in FY24 may not be sufficient to offset challenges posed by adverse market conditions. Furthermore, any loss of a significant customer could have a detrimental effect on Aptiv's profitability and cash flow, further exacerbating its financial outlook.