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How Record Sales, Türkiye Exit Costs, and GWM Deal Will Impact Autoliv (ALV) Investors

Simply Wall St · 2d ago
  • In the past quarter, Autoliv, Inc. reported second-quarter 2026 revenue of US$2,803 million, up from US$2,714 million a year earlier, while net income fell to US$100 million and diluted EPS from continuing operations declined to US$1.35 due largely to a US$90 million restructuring charge tied to exiting manufacturing in Türkiye.
  • Alongside record sales and ongoing share repurchases totaling US$450 million for 4.96% of its shares, Autoliv deepened its cooperation with Great Wall Motor through a new global framework agreement aimed at expanding integrated safety systems, localized operations, and supply chain collaboration across international markets.
  • With restructuring costs from the Türkiye exit weighing on reported profit, we’ll now examine how this development affects Autoliv’s investment narrative.

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Autoliv Investment Narrative Recap

To stay invested in Autoliv today, you need to be comfortable with a story built around global safety content growth and disciplined cost control, while accepting exposure to auto-cycle and tariff risks. The Türkiye manufacturing exit and related US$90 million restructuring charge weigh on near term earnings optics but do not appear to change the key near term catalyst, which is execution on efficiency programs, nor the biggest current risk around slowing light vehicle production and pricing pressure from automakers.

The new global cooperation framework with Great Wall Motor feels particularly relevant here, because it reinforces Autoliv’s push to deepen ties with major Chinese OEMs at a time when Asia is a core growth driver and a partial counterweight to softer volumes or pricing elsewhere. How effectively this partnership translates into sustained content-per-vehicle and stable margins will be important for investors watching the impact of restructuring and auto demand trends.

Yet even as Autoliv strengthens relationships with Chinese automakers, investors should be aware that...

Read the full narrative on Autoliv (it's free!)

Autoliv's narrative projects $12.0 billion revenue and $923.2 million earnings by 2029.

Uncover how Autoliv's forecasts yield a $132.18 fair value, a 10% upside to its current price.

Exploring Other Perspectives

ALV 1-Year Stock Price Chart
ALV 1-Year Stock Price Chart

Five members of the Simply Wall St Community currently see Autoliv’s fair value between US$103 and about US$194 per share, highlighting a wide spread of opinion. As you weigh those views, remember that weaker reported profit from Türkiye restructuring costs comes on top of existing risks around slowing global light vehicle production and OEM pricing pressure, which could influence how the business performs over time.

Explore 5 other fair value estimates on Autoliv - why the stock might be worth 14% less than the current price!

Reach Your Own Conclusion

Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.