Amotiv (GUQ0) AI Stock Analysis

Company Guidance

Management guided to modest FY‑27 revenue and underlying EBITDA growth (on a like‑for‑like basis after the ECB divestment), driven by growing offshore revenue, pricing actions and Amotiv Unified benefits that offset subdued ANZ conditions; the guidance assumes prevailing economic/trading conditions with no material adverse events and includes Unified net benefits and further pricing (skewed to H2). Key numeric anchors: FY‑26 cash conversion remained very strong at ~93.1% and is expected to be maintained; leverage sits at 1.85x (within the 1.5–2.25x target range); ROCE improved 30 bps to 13.4% against a 15% medium‑term target; U.S. dollar earnings now represent ~17% of post‑tax earnings before amortization and combined non‑ANZ earnings ~32% (vs 25% PCP); first‑half FY‑27 foreign‑exchange exposure is ~100% hedged to USD; 4‑wheel‑drive pricing annualizes with further out‑of‑cycle pricing in H1 and offshore programs (Navara Q1 FY‑27, European OEM supply from late CY‑27 implying ~30k–60k incremental units p.a. by FY‑28, ~7–14% uplift); LPE margins are expected to moderate slightly (no FY‑26 one‑off ~A$2m benefit and continued U.S. investment); and PTU’s Infinitev is on track to breakeven on a run‑rate basis by end FY‑27.