In the past few sessions, American Axle & Manufact. Holdings shares have suffered from a sharp fall and are now coming back to significant level support.
From a fundamental viewpoint, the company seems undervalued in terms of enterprise value. Based on the current price, its market capitalization, plus its net debt, represents 0.66 times its revenues.
This valuation is only 6.75 and 6.49 times the two next years earnings.
Furthermore, EPS estimates have been revised upward in the last few months by analysts.
The bearish movement has been stopped near the USD 19.23 support and that gives credit to a potential technical rebound. Thus, the stock could find new energy and would rise towards the next USD 20.96 resistance.
Therefore, the proximity of the USD 18.64 support is an opportunity to go long on American Axle & Manufact. Holdings. The first goal is a return in the USD 20.96 resistance area, that is a potential of 6.7%. In fact, the security has to cross this area in order to re-establish a bullish trend in the mid term. A stop loss order can be placed under the support currently tested.
American Axle & Manufacturing Holdings, Inc. is an automotive and mobility supplier. The Company designs, engineers and manufactures driveline and metal forming technologies to support electric, hybrid and internal combustion vehicles. The Company operates through two segments: Driveline and Metal Forming. 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 (SUVs), crossover utility vehicles (CUVs), passenger cars and commercial vehicles. Its 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.
AMERICAN AXLE & MANUFACTURING HOLDINGS, INC. 
