Citi lowers Aptiv target, opens ‘positive catalyst watch’

Citi lowered the firm’s price target on Aptiv to $108 from $128 and keeps a Buy rating on the shares. The analyst also opened a “30-day positive catalyst watch” on the shares. Despite a tougher revenue backdrop, Aptiv’s second half of 2024 revenue growth and margins should gain momentum, the analyst tells investors in a research note. The firm believes the company will “sound upbeat” about new business sourcing trends and car maker engagements when reporting Q2 results. The Q2 call should also provide management with the opportunity to address recent concerns, Citi contends. It thinks the stock’s near-term risk/reward “tilts more favorably as Q2 could deliver a better-than-feared outcome.”