FCA US, a member of Fiat Chrysler Automobiles N.V. FCAU family of companies, has made the announcement of investing more than $30 million at its Chelsea Proving Grounds ("CPG") in southeast Michigan. The aim of the company is to go ahead with the development and testing of autonomous vehicles, and safety technologies.
Through this enhancement of advanced safety technologies, FCA US will be able to offer various features required by the customers across its brand portfolio in a better way. This will also aid the company in effectively rolling out the five-year strategy spelt out by the company early this year.
This new facility, which is likely to start testing programs this month only, includes an autonomous highway-speed track, safety-feature evaluation area of 35 acre and a high-tech command center. Notably, the command center contains over 6,500 square feet and features computer equipment, crucial to GPS capability and test vehicle communication. The new facility will aid in testing various levels of autonomy and equip the company to assess FCA vehicles, using test protocols from third parties.
Over the past three months, shares of Fiat Chrysler have underperformed the industry
it belongs to. Over this time frame, shares of the company have decreased 20.7%, whereas the industry decreased by 12.4%. Further, the Zacks Consensus Estimate for both the current quarter and current year earnings has decreased over the past two months. Zacks Rank & Key Picks
Fiat Chrysler currently carries a Zacks Rank #3 (Hold). A few better-ranked stocks in the auto space are Fox Factory Holding Corp. FOXF
, AB Volvo VLVLY
and Honda Motor Co., Ltd. HMC
. While Fox Factory and Volvo sport a Zacks Rank #1 (Strong Buy), Honda carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here
Fox Factory has an expected long-term growth rate of 16.8%. Over a year, shares of the company have gained 74.1%.
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Honda has an expected long-term growth rate of 3%. Shares of the company have risen 1.6% in the past year. The Hottest Tech Mega-Trend of All
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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 Fiat Chrysler Automobiles N.V. (FCAU): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report AB Volvo (VLVLY): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research