WallStSmart

Autoliv Inc (ALV)vsBorgWarner Inc (BWA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BorgWarner Inc generates 29% more annual revenue ($14.33B vs $11.08B). ALV leads profitability with a 5.8% profit margin vs 2.5%. BWA appears more attractively valued with a PEG of 0.53. BWA earns a higher WallStSmart Score of 63/100 (C+).

ALV

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 6.0Quality: 6.0
Piotroski: 5/9Altman Z: 2.32

BWA

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 5.0Value: 7.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALVSignificantly Overvalued (-34.5%)

Margin of Safety

-34.5%

Fair Value

$94.03

Current Price

$124.77

$30.74 premium

UndervaluedFair: $94.03Overvalued
BWAUndervalued (+39.0%)

Margin of Safety

+39.0%

Fair Value

$103.57

Current Price

$62.20

$41.37 discount

UndervaluedFair: $103.57Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALV3 strengths · Avg: 8.3/10
Return on EquityProfitability
27.0%9/10

Every $100 of equity generates 27 in profit

PEG RatioValuation
0.858/10

Growing faster than its price suggests

P/E RatioValuation
14.2x8/10

Attractively priced relative to earnings

BWA3 strengths · Avg: 8.7/10
EPS GrowthGrowth
61.1%10/10

Earnings expanding 61.1% YoY

PEG RatioValuation
0.538/10

Growing faster than its price suggests

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

ALV3 concerns · Avg: 3.0/10
Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Profit MarginProfitability
5.8%3/10

5.8% margin — thin

EPS GrowthGrowth
-37.5%2/10

Earnings declined 37.5%

BWA4 concerns · Avg: 3.5/10
P/E RatioValuation
36.3x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

Return on EquityProfitability
6.6%3/10

ROE of 6.6% — below average capital efficiency

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : ALV

The strongest argument for ALV centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.85 suggests the stock is reasonably priced for its growth.

Bull Case : BWA

The strongest argument for BWA centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.53 suggests the stock is reasonably priced for its growth.

Bear Case : ALV

The primary concerns for ALV are Revenue Growth, Profit Margin, EPS Growth.

Bear Case : BWA

The primary concerns for BWA are P/E Ratio, Revenue Growth, Return on Equity. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

ALV carries more volatility with a beta of 1.36 — expect wider price swings.

ALV is growing revenue faster at 3.3% — sustainability is the question.

ALV generates stronger free cash flow (340M), providing more financial flexibility.

Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BWA scores higher overall (63/100 vs 58/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Autoliv Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Autoliv, Inc. develops, manufactures and supplies automotive security systems for the automotive industry in Europe, America, China, Japan and the rest of Asia. The company is headquartered in Stockholm, Sweden.

BorgWarner Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

BorgWarner Inc. is an American multinational automotive supplier headquartered in Auburn Hills, Michigan.

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