Federal-Mogul Boosts CrushShield Production - Analyst Blog
May 16 2013 - 6:50AM
Zacks
The Powertrain Segment of Federal-Mogul Corp.
(FDML) is increasing the production of CrushShield systems in view
of its rising demand. The technology, which was introduced in 2011,
provides protection to the high-voltage cables in the hybrid and
electric vehicles in case there is a crash.
The CrushShield safeguards occupants by preventing the wiring of
critical systems from being cut in case a crash occurs. The system
keeps the high voltage electrical system in hybrid and electric
vehicles separated from the rest of the vehicle, thus abiding by
the Federal Motor Vehicle Safety Standards (FMVSS) 305 compliance.
The customers also use CrushShield in the power, safety and
communication systems of other vehicles to provide better
protection.
With technological improvement and modernization, the automakers
use electric or electro-hydraulic systems in all types of vehicles.
The CrushShield protects the electric power systems, including
electrical oil pump wire harnesses, power steering motor cables and
emergency communications system wiring.
The CrushShield is a cost effective protection system for the
automakers. CrushShield makes the wiring harness assembly lighter
and easier to install compared with other protection systems.
Federal-Mogul is a leading global supplier of powertrain, chassis
and safety technologies. The company’s leading technology and
innovation, lean manufacturing expertise, as well as marketing and
distribution deliver world-class products, brands and services with
excellent quality at a competitive cost. Currently, it carries a
Zacks Rank #3 (Hold).
Federal-Mogul posted a 45.7% fall in earnings per share to 19 cents
in the first quarter of 2013 from 35 cents in the corresponding
quarter last year. However, earnings per share comfortably outpaced
the Zacks Consensus Estimate of a loss of 29 cents.
Revenues also decreased 2.4% to $1.69 billion in the reported
quarter, missing the Zacks Consensus Estimate of $1.75 billion. The
year-over-decline was due to lower European light vehicle shipment
and reduced global commercial vehicle production.
Some other stocks that are performing well in the industry where
Federal-Mogul operates include Tower International,
Inc. (TOWR), Visteon Corp. (VC) and
STRATTEC Security Corp. (STRT). All the stocks
carry a Zacks Rank #1 (Strong Buy).
FEDERAL MOGUL-A (FDML): Free Stock Analysis Report
STRATTEC SEC CP (STRT): Free Stock Analysis Report
TOWER INTL INC (TOWR): Free Stock Analysis Report
VISTEON CORP (VC): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
Visteon (NASDAQ:VC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Visteon (NASDAQ:VC)
Historical Stock Chart
From Jul 2023 to Jul 2024