Alpha IR Group and its leaders have supported the Investor Relations efforts of public companies in every link of the auto and truck supply chain for the past 20 years. We believe the second half of 2018 and calendar 2019 will be particularly important time periods for auto supplier financial communications, as the sector has recently entered a period of perfect-storm conditions that are creating uncertainty in the marketplace. Perceived fears of an overextended U.S. auto cycle have been lingering for some time, but now investors are grappling with the impacts of strengthening commodity prices and other input cost increases, rising interest rates, tax-reform tailwinds, and foreign trade policy concerns. All of these topics are weighing heavily on the minds of investors, but many auto and truck suppliers have improved their financial positions and remain fairly attractive from a valuation standpoint. For investor relations practitioners in the industry, now is the time to be asking, “how can my company effectively navigate this complex environment and communicate the ongoing strength of our position in the U.S. auto market so that we maintain our appeal as a strong investment opportunity?”
Based on our routine buy- and sell-side discussions and formal survey work, we have identified six factors that remain critical near-term issues for the Street and require creative and strategic communication to differentiate an investment thesis within the capital markets.
To view these factors, click the following link to read our recent Industry Perspectives piece, “Auto & Truck Suppliers -Strategic IR Needed Today“