Autoliv Inc. ALV has made the announcement of closing the spin-off of its electronics segment, Veoneer, Inc. This spin-off completes the process that started in September 2017 when the Stockholm, Sweden-based leader in automotive safety systems, announced its intention to establish its electronics segment as a separate entity. The underlying aim was to create two isolated entities, capable of catering to two different markets, with separate product offerings.
Prior to the spin-off, Autoliv made cash contributions to Veoneer so that Veoneer has total cash liquidity of around $1 billion. Autoliv channelized the contribution through a mixture of external funding and existing cash. With the completion of the spin-off, Veoneer will begin regular trading on the New York Stock Exchange and on Nasdaq Stockholm as an independent company.
Autoliv is engaged in developing and manufacturing automotive safety systems for all major automotive manufacturers in the world. With its robust product portfolio and capabilities, Autoliv is likely to further drive innovation.
In the past year, shares of Autoliv have outperformed the industry
it belongs to. During the period, its stock has grown 28.5% in comparison with the industry's increase of 15.4%.
Autoliv currently has a Zacks Rank #3 (Hold).
A few better-ranked stocks in the auto space are Allison Transmission Holdings, Inc. ALSN , Ferrari N.V. RACE and Fox Factory Holding Corp. FOXF . While both Allison Transmission and Ferrari sport a Zacks Rank #1 (Strong Buy), Fox Factory carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Allison Transmission has an expected long-term growth rate of 10%. Over the past year, shares of the company have gained 7.1%.
Ferrari has an expected long-term growth rate of 17.3%. Over the past year, shares of the company have gained 57.3%.
Fox Factory has an expected long-term growth rate of 11.5%. Shares of the company have risen 28.1% over the past year.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fox Factory Holding Corp. (FOXF): Free Stock Analysis Report Autoliv, Inc. (ALV): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Ferrari N.V. (RACE): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research