Tim Nash Delphi Technologies DLPH-N COMMENT Mar 14, 2019

Great management team and great prospects. Auto-parts is pretty much a long-term growth business. Attractive area to be in. Historically is pretty highly correlated with housing recovery. At the same time you have emerging-market growth. This company is involved in 3 key areas including 1) fuel efficiency 2) electronic architecture in cars and 3) active safety such as electronic scanning radar for lane departure warning systems, which is still a high margin business. Trades at the discount to the sector because of a pretty ugly history.

This has technology that optimizes the powertrain. That’s important, because you have all these regulations that come out on vehicle emissions globally, and thinks this one is being grouped in with the North American peak auto fears, but most of their revenue is from outside of North America, and they have powerful tailwinds from regulatory standards coming out. Also, they make about 5X more on electric vehicles. (Analysts' price target is $60.)

Spun out recently. They do power train parts. Electrification is an opportunity for them. Trades at a really low multiple despite having strong growth prospects ahead of it. (Analysts’ price target is $61.25)

(Past Top Pick on Feb. 15, 2018, Down 4.5%) Good report today and enjoyed a pop. It's a misunderstood story Delphi split into two companies; this one is their powertrain unit where there are good growth drivers. Now, there's just noise in the stock. Be patient.

It had a great report today. Strong secural growth drivers in reducing emissions for carmakers and the move to e-cars. Messy now with the recent spin-out, but they will do well in the next few years (Analysts' price target $60.13)