Head-To-Head Comparison: American Axle & Manufacturing (DCH) versus Its Competitors

American Axle & Manufacturing (NYSE:DCH) is one of 71 public companies in the “AUTO/TRUCK – ORIG” industry, but how does it contrast to its peers? We will compare American Axle & Manufacturing to similar companies based on the strength of its valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Valuation & Earnings

This table compares American Axle & Manufacturing and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
American Axle & Manufacturing	$5.84 billion	-$19.70 million	-32.22
American Axle & Manufacturing Competitors	$6.36 billion	$162.12 million	32.77

American Axle & Manufacturing’s peers have higher revenue and earnings than American Axle & Manufacturing. American Axle & Manufacturing is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

American Axle & Manufacturing has a beta of 1.61, meaning that its share price is 61% more volatile than the S&P 500. Comparatively, American Axle & Manufacturing’s peers have a beta of 4.63, meaning that their average share price is 363% more volatile than the S&P 500.

Institutional and Insider Ownership

91.4% of American Axle & Manufacturing shares are owned by institutional investors. Comparatively, 66.2% of shares of all “AUTO/TRUCK – ORIG” companies are owned by institutional investors. 3.7% of American Axle & Manufacturing shares are owned by company insiders. Comparatively, 8.2% of shares of all “AUTO/TRUCK – ORIG” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares American Axle & Manufacturing and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Axle & Manufacturing	-0.34%	10.00%	1.17%
American Axle & Manufacturing Competitors	-2,041.24%	-29.48%	-6.52%

Analyst Ratings

This is a breakdown of current recommendations and price targets for American Axle & Manufacturing and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Axle & Manufacturing	1	4	6	0	2.45
American Axle & Manufacturing Competitors	806	3655	4833	265	2.48

American Axle & Manufacturing currently has a consensus price target of $10.12, indicating a potential upside of 74.51%. As a group, “AUTO/TRUCK – ORIG” companies have a potential upside of 24.15%. Given American Axle & Manufacturing’s higher probable upside, research analysts plainly believe American Axle & Manufacturing is more favorable than its peers.

Summary

American Axle & Manufacturing peers beat American Axle & Manufacturing on 7 of the 13 factors compared.

American Axle & Manufacturing Company Profile

American Axle & Manufacturing Holdings, Inc. engages in the manufacture, engineering, design, and validation of driveline systems and related components. It operates through the Driveline and Metal Forming segments. The Driveline segment consists of axles, drive shafts, power transfer units, rear drive modules, and electric and hybrid driveline products and systems for light trucks, service utility vehicles, crossover vehicles, passenger cars, and commercial vehicles. The Metal Forming segment manufactures axle shafts, ring and pinion gears, differential gears, transmission gears, and shafts and suspension components for original equipment manufacturers (OEMs), and Tier 1 automotive suppliers. The company was founded by Richard E. Dauch on March 1, 1994, and is headquartered in Detroit, MI.