Is a Breakout in the Charts for Aptiv (APTV)?

Aptiv PLC (APTV) is one of the leading global technology and mobility companies that serves the automotive industry. The company’s signal and power solutions segment supplies components and systems that make up a vehicle’s electrical system backbone, including wiring assemblies and harnesses, connectors, electrical centers, and hybrid electrical systems…

Aptiv PLC (APTV) is poised to benefit from growing electrification, connectivity, and autonomy trends in the automotive industry. It is increasing investments in advanced technology. For instance, APTV has developed automated driving software and key active safety sensing technologies.

APTV had $2.8 billion in cash as of the end of the last quarter, compared with only $78 million in short-term debt. The company also has a debt-to-equity ratio of only 0.5. While earnings are down 76% over the past year, analysts forecast 161.8% year over year growth in the second quarter.

The stock does look overvalued with a trailing P/E of 103.14 and a forward P/E of 41.84. APTV has shown mixed performance this year as shown in the chart below.

Take a look at the 1-year chart of APTV below with added notations…

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