アメリカン・アクスル&マニュファクチャリング・ホールテに関するコメント

Insider transactions at American Axle & Manufacturing Holdings over the past year are not promising. However, insiders owning shares indicates alignment with other shareholders. The company has 2 warning signs that warrant attention before investing.

The stock's performance has been disappointing, falling 8% annually over the last five years. The loss over the last year isn't as bad as the 8% per annum loss investors have suffered over the last half decade. Investors are likely watching for signs of a turnaround.

Investors believe that the firm's poor revenue performance may persist as its growth forecast trails industry average. Thus, its recent surge in share price might be short-lived.

Though the lack of recent insider purchases may worry investors, insider and shareholder alignment is reasonable. Yet, this warrants caution for potential investors. Absence of insider buyers in the last year might suggest doubt in near-term prospects or stock overpricing.

Analyst John Murphy suggests the market condition might slow American Axle's recovery versus other suppliers. He also noted the positive mix benefiting the company may not continue, posing a headwind against suppliers in 2024.

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2Q Earnings Expectations
The US auto suppliers are expected to deliver robust earnings in 2Q, with most companies meeting or exceeding consensus estimates. The latest IHS estimate indicates a YoY increase of +5% to 86.7 million units for the full year, while production volatility is expected to improve quarter over quarter. However, despite the improving volume environment, inflation from labor and energy continues to of...