American Axle & Manufacturing (DCH) versus Its Rivals Head-To-Head Review

American Axle & Manufacturing (NYSE:DCH) is one of 71 public companies in the “AUTO/TRUCK – ORIG” industry, but how does it compare to its rivals? We will compare American Axle & Manufacturing to related businesses based on the strength of its risk, profitability, earnings, institutional ownership, analyst recommendations, dividends and valuation.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for American Axle & Manufacturing and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Axle & Manufacturing	2	3	6	0	2.36
American Axle & Manufacturing Competitors	804	3651	4830	265	2.48

American Axle & Manufacturing currently has a consensus target price of $10.12, indicating a potential upside of 81.71%. As a group, “AUTO/TRUCK – ORIG” companies have a potential upside of 24.50%. Given American Axle & Manufacturing’s higher probable upside, research analysts plainly believe American Axle & Manufacturing is more favorable than its rivals.

Institutional and Insider Ownership

91.4% of American Axle & Manufacturing shares are held by institutional investors. Comparatively, 65.0% of shares of all “AUTO/TRUCK – ORIG” companies are held by institutional investors. 3.7% of American Axle & Manufacturing shares are held by company insiders. Comparatively, 8.0% of shares of all “AUTO/TRUCK – ORIG” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares American Axle & Manufacturing and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Axle & Manufacturing	-0.34%	10.00%	1.17%
American Axle & Manufacturing Competitors	-2,041.24%	-29.40%	-6.51%

Risk and Volatility

American Axle & Manufacturing has a beta of 1.61, suggesting that its stock price is 61% more volatile than the S&P 500. Comparatively, American Axle & Manufacturing’s rivals have a beta of 4.63, suggesting that their average stock price is 363% more volatile than the S&P 500.

Valuation and Earnings

This table compares American Axle & Manufacturing and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
American Axle & Manufacturing	$5.84 billion	-$19.70 million	-30.94
American Axle & Manufacturing Competitors	$6.36 billion	$181.04 million	32.84

American Axle & Manufacturing’s rivals have higher revenue and earnings than American Axle & Manufacturing. American Axle & Manufacturing is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Summary

American Axle & Manufacturing rivals beat American Axle & Manufacturing on 7 of the 13 factors compared.

About American Axle & Manufacturing

American Axle & Manufacturing Holdings, Inc. engages in the manufacture, engineering, design, and validation of driveline systems and related components. It operates through the Driveline and Metal Forming segments. The Driveline segment consists of axles, drive shafts, power transfer units, rear drive modules, and electric and hybrid driveline products and systems for light trucks, service utility vehicles, crossover vehicles, passenger cars, and commercial vehicles. The Metal Forming segment manufactures axle shafts, ring and pinion gears, differential gears, transmission gears, and shafts and suspension components for original equipment manufacturers (OEMs), and Tier 1 automotive suppliers. The company was founded by Richard E. Dauch on March 1, 1994, and is headquartered in Detroit, MI.