BofA downgrades auto suppliers on weak 2023 volume outlook

BorgWarner

09/01/2023 15:37

** BofA Global Research cuts PT and lowers ratings on auto
suppliers Aptiv PLC  APTV.N , BorgWarner  BWA.N , Magna
International  MG.TO   
    ** Brokerage expects volume environment to remain
challenging in 2023 
    ** Expects only moderate improvement in supply chain coupled
with the difficult macro backdrop - higher rates and a potential
recession
    ** For suppliers, "we anticipate that supply chain
challenges could derail the awaited operational performance
recovery as schedules remain erratic," - BofA
 COMPANY         NEW PT      OLD PT      NEW RATING  OLD RATING
 Aptiv PLC       $120        $151        Neutral     Buy
  APTV.N                                             
 BorgWarner      $50         $78         Neutral     Buy
  BWA.N                                              
 Magna           $72         $102        Neutral     Buy
 International                                       
  MG.TO                                              
 (Reporting by Kannaki Deka in Bengaluru)
 ((Kannaki.Deka@thomsonreuters.com))