Merrill Lynch Downgrades Delphi Automotive to Sell

By Jason Carr

In a report released today, John Murphy from Merrill Lynch downgraded Delphi Automotive (NYSE: DLPH) to Sell, with a price target of $60. The company’s shares closed yesterday at $70.11.

According to TipRanks.com, Murphy is a 4-star analyst with an average return of 8.4% and a 65.2% success rate. Murphy covers the Consumer Goods sector, focusing on stocks such as Fiat Chrysler Automobiles, Cooper-Standard Holdings, and Honda Motor Company.

Delphi Automotive has an analyst consensus of Moderate Buy, with a price target consensus of $79.20.

Delphi Automotive’s market cap is currently $19.02B and has a P/E ratio of 18.02. The company has a book value ratio of 7.4527.

Based on the recent corporate insider activity of 58 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of DLPH in relation to earlier this year. Most recently, in February 2016, Timothy Manganello, a Director at DLPH bought 4,800 shares for a total of $300,000.

Delphi Automotive Plc operates as a global vehicle components manufacturer and provides electrical and electronic, active safety and thermal technology solutions to the global automotive and commercial vehicle markets. The company operates its business through the following segments: Electrical/Electronic Architecture, Powertrain Systems and Electronics & Safety. The Electrical/Electronic Architecture segment provides complete design of the vehicle’s electrical architecture, including connectors, wiring assemblies and harnesses, electrical centers and hybrid high voltage and safety distribution systems. Its products provide the critical electrical and electronics backbone that supports increased vehicle content and electrification, reduced emissions and higher fuel economy through weight savings. The Powertrain Systems segment provides systems integration of full end-to-end gasoline and diesel engine management systems including fuel handling, fuel injection, combustion, electronic controls, test and validation capabilities, diesel and automotive aftermarket, and original equipment services. The Electronics & Safety segment provides critical components, systems and advanced software for passenger safety, security, comfort and infotainment, as well as vehicle operation, including body controls, reception systems, infotainment and connectivity systems, hybrid vehicle power electronics, passive and active safety electronics, displays and mechatronics. Delphi Automotive was founded on May 19, 2011 and is headquartered in Gillingham, the United Kingdom.