7 Best Auto Components and Parts Stocks to Buy Right Now

4. Autoliv, Inc. (NYSE:ALV)

Number of Hedge Fund Holders: 37

Autoliv, Inc. (NYSE:ALV) specializes in passive safety systems for the automotive industry. It operates through two main subsidiaries, Autoliv AB and Autoliv ASP, Inc. The company offers a wide range of products, including airbags, seatbelts, steering wheels, and advanced safety technologies like pedestrian protection and connected safety services. It takes the 4th spot on our list of auto components and parts stocks.

Its operations span 25 countries and 14 technical centers equipped with 20 test tracks. In 2023, the company’s products saved 35,000 lives and prevented 450,000 injuries. The company aims to save 100,000 human lives annually.

The company is further expanding its foot print in the flying vehicle segment. In June, Autoliv’s (NYSE:ALV) China division and XPENG AEROHT signed a strategic partnership to develop safety solutions for flying cars. The collaboration combines Autoliv’s expertise in automotive safety with XPENG AEROHT’s innovation in electric flying vehicles. The companies plan to develop the safest flying cars using advanced technologies.

On September 12, Goldman Sachs analyst George Galliers reaffirmed his Buy rating Autoliv (NYSE:ALV) as reported by TipRanks. The analyst mentioned its strong position in the European supplier market despite short-term challenges like lower volumes and market volatility.

Galliers highlighted the company’s cost-saving strategies, pricing improvements, and R&D reimbursements as key factors expected to support margins. Although earnings estimates have been slightly lowered, these measures are seen as mitigating the impact of current difficulties. He also noted that the company’s stock is attractive compared to competitors, with higher projected margins, and expects growth due to stricter global safety regulations and increasing demand for safety products. Moreover, Autoliv’s (NYSE:ALV) strong presence in China further positions it for long-term success.