Commercial Vehicle Group

The electrical systems side is quietly becoming the growth engine, helped by work for Zoox, Amazon's self-driving taxi project, on the wiring bundles that connect all the electronics. Management has been stacking up new business wins worth tens of millions in future yearly revenue, which matters a lot for a company valued at only about 156 million dollars.

CVGI has spent the downturn closing plants, selling off weak businesses, and cutting costs. Losses have narrowed, with the net margin improving to negative 2.7% from worse levels last year, so far less revenue is needed to get back to breaking even.

This company lives and dies with the truck market, and that market is still shrinking. Revenue fell about 10% over the past year as North American heavy and medium duty truck production dropped sharply, and factories that build fewer trucks simply order fewer seats and fewer wire harnesses.

CVGI is still losing money, with a net margin of negative 2.7%, and it carries debt taken on during the slowdown. Tariffs on imported parts and steel add more cost pressure, and a small company with roughly 156 million dollars of market value has little room for error if the recovery slips another year.