JOHANNESBURG, South Africa -- The U.S. automobile industry has
experienced some of the most dramatic restructuring imaginable.
Nonetheless, recovery in this industry has been remarkable, with
automakers seeing sales improvement in the early months of 2010,
according to
Rothman Research.
With automakers once again on the go, the natural trend is for auto
parts suppliers to follow suit. Last week, Moody's raised its outlook
for the U.S. auto parts suppliers to "positive," citing surging demand
for auto parts as vehicles sales go up.
Morgan Stanley took the same initiative this week, lifting the
industry's outlook to "attractive" and in the process the analyst
upgraded two of the industry's players, Johnson Controls Inc. and TRW
Automotive Holdings Corp.
BorgWarner Inc. also got its rating upgraded from "hold" to "buy" by
UBS. UBS stated that BorgWarner's unique positioning in the auto parts
industry could result in the company's organic growth to radically
exceed that of the industry.
The auto parts industry is now forging ahead as U.S. auto market
improves. Now with the world's biggest auto market located in the Far
East, the auto part suppliers in the U.S. will be looking forward for
growth, says Rothman Research.
Free downloadable research reports on Johnson Controls Inc. and
BorgWarner Inc. are available from Rothman Research by signing up at
http://www.rothmanresearch.com/article/jci/23592/Jun-17-2010.html
or http://www.rothmanresearch.com/article/bwa/23593/Jun-17-2010.html