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American Axle (NYSE:AXL) & Manufacturing Holdings Inc. (AXL) stock has reached a 52-week low, dipping to $4.38, as the automotive parts supplier grapples with a challenging market environment. This latest price level reflects a significant downturn over the past year, with the company’s stock experiencing a 1-year change of -38.47%. The decline to this 52-week low underscores the broader pressures facing the auto industry, including supply chain disruptions and shifting consumer demand. Despite these challenges, the company maintains a strong free cash flow yield and analysts expect profitability this year, with an EPS forecast of $0.52 for FY2025. Investors and analysts are closely monitoring American Axle’s performance as it navigates these headwinds in an effort to recover and stabilize its stock value. InvestingPro analysis suggests the stock is currently undervalued, with 8 additional exclusive ProTips and a comprehensive Pro Research Report available for subscribers seeking deeper insights into AXL’s potential recovery trajectory.
In other recent news, American Axle & Manufacturing reported its fourth-quarter 2024 earnings, surpassing analyst expectations with an adjusted EPS of -$0.06 compared to the forecasted -$0.12. However, revenue slightly missed the mark at $1.38 billion against the anticipated $1.39 billion. For the full year, the company achieved sales of $6.1 billion and an adjusted EBITDA of $749 million. In a significant move, American Axle announced progress in its acquisition of Dowlais Group plc, having reached a key regulatory milestone under the Hart-Scott-Rodino Antitrust Improvements Act. The acquisition aims to enhance American Axle’s global capabilities, with completion contingent on shareholder approval and customary conditions. Additionally, American Axle appointed Terry Grayson-Caprio to its Board of Directors, bringing her extensive financial expertise from her tenure at KPMG LLP. These developments reflect the company’s strategic focus on growth and adaptation within the automotive sector.
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