American Axle & Mfg, Dowlais Agree On Terms Of Cash And Share Offer - Quick Facts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 29 2025
0mins
Source: Business Insider
Agreement Details: American Axle & Mfg Hldgs (AAM) has proposed a cash and share offer for Dowlais, valuing each Dowlais share at 85.2 pence, which includes 0.0863 New AAM shares, 42 pence in cash, and up to 2.8 pence as a final cash dividend.
Ownership Structure Post-Completion: After the deal, Dowlais shareholders will own approximately 49% and AAM shareholders about 51% of the combined entity, allowing Dowlais shareholders to receive immediate cash benefits and potential future value growth.
Analyst Views on AXL
Wall Street analysts forecast AXL stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for AXL is 7.03 USD with a low forecast of 4.50 USD and a high forecast of 8.50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Analyst Rating
2 Buy
3 Hold
1 Sell
Hold
Current: 8.140
Low
4.50
Averages
7.03
High
8.50
Current: 8.140
Low
4.50
Averages
7.03
High
8.50
About AXL
American Axle & Manufacturing Holdings, Inc. is an automotive and mobility supplier. It designs, engineers and manufactures driveline and metal forming technologies to support electric, hybrid and internal combustion vehicles. Its segment includes Driveline and Metal Forming. The Driveline products consist primarily of front and rear axles, driveshafts, differential assemblies, clutch modules, balance shaft systems, disconnecting driveline technology, and electric and hybrid driveline products and systems for light trucks, sport utility vehicles, crossover utility vehicles, passenger cars and commercial vehicles. The Metal Forming products consist primarily of engine, transmission, driveline and safety-critical components for traditional internal combustion engine and electric vehicle architectures, including light vehicles, commercial vehicles, and off-highway vehicles, as well as products for industrial markets. It is a supplier of driveline components to General Motors Company.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
