Jefferies favours auto suppliers with non-car angles in challenging 2026

AUMOVIO SE

23/01/2026 08:55

** Jefferies sees non-automotive stories as key-catalysts for German auto suppliers as it projects a weak market for 2026

** The broker predicts growing competitive pressures, limited opportunities for sales growth and supply chain risks for the sector

** Jefferies therefore prefers stocks that have a non-automotive angle or where there is a transformation angle such as Schaeffler SHA0n.DE and Forvia FRVIA.PA

** Jefferies ups Schaeffler to "buy" from "hold", saying the company is well placed to reach its 2030 target of more than 10% market share in the humanoid robots sector due to its unique value proposition in the supply chain

** It says Valeo, maintained at "hold", and Aumovio are less preferred given the lack of other elements in their equity stories to offset auto market weakness

** However, Jefferies upgrades Aumovio AMV0n.DE to "hold" from "underperform" on its valuation discount to peers and positive EU regulatory developments on local content requirements

** Aumovio and Schaeffler shares rise 2.7% and 3.5%, respectively

COMPANY
RATING
OLD RATING
Schaeffler
Buy
Hold
Forvia
Buy
-
Valeo
Hold
-
Aumovio
Hold
Underperform
Dowlais plc
Hold
-

(Reporting by Simon Ferdinand Eibach)

((Simonferdinand.eibach@thomsonreuters.com))