MTOR - Auto suppliers trade lower as supply chain disruptions impact near-term expectations
BorgWarner (BWA -4.7%) and Lear Corporation (LEA -5.0%) are lower after weaker-than-anticipated Europe sales trends dent sentiment and Jefferies downgrades both stocks to Hold from Buy. Jefferies lifted Visteon Corporation (VC -2.6%) to a Buy rating, but shares are also lower due to the Europe auto sales update. The general tone from Jefferies is that disruption in the auto supply chain will impact near-term results for a while even if the shortages are now on the other side of the peak. Other notable decliners in the sector on the day include VOXX International (VOXX -9.0%), American Axle & Manufacturing (AXL -8.0%), Meritor (MTOR -6.4%) and Magna International (MGA -3.6%). Compare Seeking Alpha Quant Ratings across the auto parts sector.
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Auto suppliers trade lower as supply chain disruptions impact near-term expectations