08:55 AM EDT, 07/18/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We raise our 12-month target by $10 to $140, based on a 2026 P/E of 13.0x, a justified discount to ALV's five-year forward P/E of 16.7x. Our adjusted EPS estimates increase to $9.30 from $9.20 for 2025 and to $10.75 from $10.50 for 2026. Following a much stronger-than-expected Q2, we are reiterating our Buy opinion and raising our price target on shares of ALV. ALV raised prior full year guidance for organic sales growth to 3% from 2%, while adjusted operating margin of 10.0%-10.5% was unchanged. The higher organic net sales growth guidance was largely a reflection of more favorable foreign exchange impacts (now expected to be flat versus a 3% negative impact previously). With a robust balance sheet and free cash flow, recent commitment to more generous cash returns to shareholders (including a 21% dividend increase), ALV remains a preferred name in a sub-industry with ongoing risks from tariffs, although the company is doing an exceptional job recovering tariff costs in Q2 (~80%).