VLEEF - American Axle - Ample Risks But Maybe Ample Rewards Too
- American Axle generated meaningfully better revenue and profits than expected in the second quarter, and the company is well-placed to leverage eventually inventory-rebuilding of SUVs and pickups.
- The key debate still centers on AXL's position in electrification; I don't find the eDrive offering that exciting, but there are multiple components that AXL can sell to EV OEMs.
- American Axle shares already seem to be pricing in a bearish case for the company's future, leaving more room for execution-driven upside as component shortages ease in 2022.
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American Axle - Ample Risks, But Maybe Ample Rewards Too