📊 ALV Key Takeaways
Is Autoliv Inc. (ALV) a Good Investment?
Autoliv demonstrates solid fundamental strength with robust profitability metrics (28.6% ROE, 10.1% operating margin) and healthy revenue growth of 4.1% YoY despite a mature automotive supplier market. The company generates strong free cash flow of $716M with a healthy interest coverage ratio of 10.6x, indicating financial stability and capacity for debt service and shareholder returns.
Autoliv shows solid fundamental quality with positive revenue growth, double-digit operating margins, and strong cash generation that converts into meaningful free cash flow. Profitability appears durable, supported by 10.6x interest coverage and healthy returns on equity and assets, though flat net income and tight liquidity suggest execution and working-capital discipline remain important.
Why Buy Autoliv Inc. Stock? ALV Key Strengths
- Exceptional return on equity of 28.6% indicates efficient capital deployment
- Strong free cash flow generation of $716M provides financial flexibility
- Solid interest coverage ratio of 10.6x demonstrates manageable debt burden
- Consistent profitability with 6.8% net margin in cyclical automotive industry
- Moderate leverage at 0.67x Debt/Equity ratio provides balance sheet cushion
- Consistent profitability with 19.2% gross margin, 10.1% operating margin, and 6.8% net margin
- Strong cash generation with $1.16B operating cash flow and $716M free cash flow
- Balanced leverage profile with debt/equity of 0.67x and solid 10.6x interest coverage
ALV Stock Risks: Autoliv Inc. Investment Risks
- Weak liquidity position with current ratio of 1.05x and quick ratio of 0.79x suggests limited short-term flexibility
- Revenue growth of 4.1% is modest for a company requiring significant ongoing capex of $441M annually
- Flat net income growth (0.0% YoY) despite revenue gains indicates margin pressure or operational headwinds
- Gross margin of 19.2% is relatively thin in a capital-intensive business
- High insider trading activity (32 Form 4 filings in 90 days) warrants monitoring for sentiment shifts
- Net income was flat year over year despite revenue growth, which may indicate cost pressure or limited operating leverage
- Liquidity is somewhat tight with a 1.05x current ratio and 0.79x quick ratio
- Cyclical automotive production exposure could pressure margins and cash flow if customer demand weakens
Key Metrics to Watch
- Operating margin trends and gross margin sustainability amid cost pressures
- Free cash flow conversion and capital allocation efficiency
- Current and quick ratios to assess working capital adequacy
- Net income growth acceleration relative to revenue expansion
- Debt reduction trajectory and leverage management
- Operating margin and net income growth
- Free cash flow generation and working capital/liquidity ratios
Autoliv Inc. (ALV) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Autoliv Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
ALV Profit Margin, ROE & Profitability Analysis
ALV vs Automotive Sector: How Autoliv Inc. Compares
How Autoliv Inc. compares to Automotive sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Autoliv Inc. Stock Overvalued? ALV Valuation Analysis 2026
Based on fundamental analysis, Autoliv Inc. appears fundamentally strong relative to the Automotive sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Autoliv Inc. Balance Sheet: ALV Debt, Cash & Liquidity
ALV Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Autoliv Inc.'s revenue has grown significantly by 27% over the 5-year period, indicating strong business expansion. The most recent EPS of $5.72 reflects profitable operations.
ALV Revenue Growth, EPS Growth & YoY Performance
ALV Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $2.6B | $138.0M | $1.74 |
| Q2 2025 | $2.6B | $138.0M | $1.71 |
| Q1 2025 | $2.6B | $126.0M | $1.52 |
| Q3 2024 | $2.6B | $134.0M | $1.57 |
| Q2 2024 | $2.6B | $53.0M | $0.61 |
| Q1 2024 | $2.5B | $74.0M | $0.86 |
| Q3 2023 | $2.3B | $105.0M | $1.21 |
| Q2 2023 | $2.1B | $53.0M | $0.61 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Autoliv Inc. Dividends, Buybacks & Capital Allocation
ALV SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Autoliv Inc. (CIK: 0001034670)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ALV
What is the AI rating for ALV?
Autoliv Inc. (ALV) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 77% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ALV's key strengths?
Claude: Exceptional return on equity of 28.6% indicates efficient capital deployment. Strong free cash flow generation of $716M provides financial flexibility. ChatGPT: Consistent profitability with 19.2% gross margin, 10.1% operating margin, and 6.8% net margin. Strong cash generation with $1.16B operating cash flow and $716M free cash flow.
What are the risks of investing in ALV?
Claude: Weak liquidity position with current ratio of 1.05x and quick ratio of 0.79x suggests limited short-term flexibility. Revenue growth of 4.1% is modest for a company requiring significant ongoing capex of $441M annually. ChatGPT: Net income was flat year over year despite revenue growth, which may indicate cost pressure or limited operating leverage. Liquidity is somewhat tight with a 1.05x current ratio and 0.79x quick ratio.
What is ALV's revenue and growth?
Autoliv Inc. reported revenue of $10.8B.
Does ALV pay dividends?
Autoliv Inc. pays dividends, with $238.0M distributed to shareholders in the trailing twelve months.
Where can I find ALV SEC filings?
Official SEC filings for Autoliv Inc. (CIK: 0001034670) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ALV's EPS?
Autoliv Inc. has a diluted EPS of $9.55.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is ALV a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Autoliv Inc. has a BUY rating with 77% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is ALV stock overvalued or undervalued?
Valuation metrics for ALV: ROE of 28.6% (sector avg: 12%), net margin of 6.8% (sector avg: 6%). Higher ROE suggests strong returns relative to peers.
Should I buy ALV stock in 2026?
Our dual AI analysis gives Autoliv Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is ALV's free cash flow?
Autoliv Inc.'s operating cash flow is $1.2B, with capital expenditures of $441.0M. FCF margin is 6.6%.
How does ALV compare to other Automotive stocks?
Vs Automotive sector averages: Net margin 6.8% (avg: 6%), ROE 28.6% (avg: 12%), current ratio 1.05 (avg: 1.2).
Why is ALV's return on equity (ROE) so high?
Autoliv Inc. has a return on equity of 28.6%, significantly above the Automotive sector average of 12%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 6.8% net margin.