Autoliv Inc. – Recent Developments and Market Reaction
1. Legal Update
On 7 October 2025, Volvo Cars announced that it had withdrawn the lawsuit it had filed against Autoliv and German supplier ZF for alleged cartel activities. The claim, which dated back to 2023 and had a potential value of more than 4.5 billion Swedish kronor, was therefore terminated. The decision was reported by several Swedish news outlets and is expected to reduce legal uncertainty for Autoliv.
2. Analyst Downgrade
Several financial news services reported that UBS Research revised its view on Autoliv Inc. from “Buy” to “Neutral”. The downgrade was justified by UBS on the basis of limited upside potential for the company’s guidance and consensus for 2025. The analyst noted that the valuation of Autoliv leaves little room for near‑term upside. As a result, UBS raised its target price from $123 to $124.
| Source | Date | Action | Target Price |
|---|---|---|---|
| avanza.se | 07 Oct 2025 | UBS downgrades to Neutral | $124 |
| marketscreener.com | 07 Oct 2025 | UBS downgrades stock | $124 |
| investing.com | 07 Oct 2025 | UBS downgrades to Neutral | $124 |
| in.investing.com | 06 Oct 2025 | UBS downgrades Autoliv | $124 |
3. Stock Performance
The day after the legal development and the analyst downgrade, Autoliv’s shares traded at 1,184 SEK in Stockholm and 128.01 USD in New York, representing a 1.5 % increase in both markets. The price movement was reported by multiple market data providers (Avanza, Marketscreener, it.marketscreener.com). The rise occurred despite the downgrade, suggesting that the market had already priced in the downgrade earlier in the week.
4. Company Profile (as of 29 May 2025)
| Item | Value |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Automobile Components |
| Exchange | Stockholm Stock Exchange |
| Currency | SEK |
| Close Price (29 May 2025) | 1,002 SEK |
| 52‑Week High | 1,123.2 SEK |
| 52‑Week Low | 748 SEK |
| Market Capitalisation | 65,870,000,000 SEK |
| P/E Ratio | 11.18 |
| Core Business | Development, manufacturing and supply of automotive safety systems to the automotive industry (Stockholm‑based operations) |
5. Summary
Autoliv Inc. faced a mixed week of events. The withdrawal of Volvo’s lawsuit reduced legal exposure, while UBS’s downgrade to a neutral stance reflected concerns about limited upside in the company’s guidance and valuation. Despite the downgrade, the stock showed a modest 1.5 % gain in both Stockholm and New York markets. The company remains a significant player in the automotive safety sector, with a market cap of roughly 65.9 billion SEK and a P/E ratio of 11.18.
