UBS: These 8 stocks are going to dominate in the self-driving car revolution

Ticker: APTV

Industry: Vehicle electrical systems and software platforms

Year-to-date performance: +14.3%

UBS' take: "APTV is amongst the leaders in developing an AV operating system, which should drive growth as both L3 and L4 systems gain mass adoption. We also see an indirect benefit from added entertainment electronics content. In addition, increasing electrification is a net positive for APTV. "

UBS rating: Neutral

Source: UBS

Ticker: BWA

Industry: Powertrain supplies (transmissions, clutches) and electronics

Year-to-date performance: +2.05%

UBS' take: "We see limited direct or indirect impact from AVs for BWA. On the EV impact, we see BWA as relatively powertrain agnostic. We estimate BWA has about $900 - $1,700 of potential ICE (in-car entertainment) content vs. ~$2,200-$2,400 of potential EV content. Though the EV opportunity is higher, it may be challenging for BWA to gain as strong a share position on EVs."

UBS Rating: Neutral

Source: UBS

Ticker: DLPH

Industry: Powertrain, advanced propulsion, aftermarket products.

Year-to-date performance: -4.05%

UBS' take: "We see limited direct or indirect impact from AVs for DLPH. On the EV impact, DLPH has a strong EV opportunity with about $1,500 in possible EV content vs. only $200-$600 in ICE content today."

UBS Rating: Neutral

Source: UBS

Ticker: LEA

Industry: Supplier, seating and electrical systems

Year-to-date performance: +13.4%

UBS' take: "Lear benefits from every theme as it has added wiring content in the AV system, indirect content from advanced seating, and EV content opportunities."

UBS rating: Neutral

Source: UBS

Ticker: MGA

Industry: Vehicle bodies, electronics, seating, and vision/LiDAR systems

Year-to-date performance: +16.35%

UBS' take: "MGA has capabilities around sensors, vision in particular, and the company has developed an AV domain controller. MGA is also working with a partner to supply LiDAR to BMW and has announced a partnership with Lyft to supply AV technology on Lyft cars. However, MGA's AV software is still under development which is likely why MGA was not typically included as a key AV supplier by experts we interviewed."

UBS Rating: Neutral

Source: UBS

Ticker: TEN

Industry: Part supplier and aftermarket product manufacturer

Year-to-date performance: -18.56%

UBS' take: "We see no direct AV opportunity for TEN; however we see indirect opportunities from advanced suspension. Also the increase in miles travelled should help TEN's aftermarket business. However, TEN remains at risk in an EV world."

UBS Rating: Buy

Source: UBS

Ticker: VC

Industry: Electronics supplier

Year-to-date performance: +5.36%

UBS' take: "VC has recently developed DriveCore which is focused on the AV domain controller and AV middleware that performs sensor fusion. VC is later to AVs than other suppliers, like APTV; however, the company has a focused strategy that could prove successful over time. In addition, VC’s display electronics should benefit from the shift to AV’s."

UBS Rating: Neutral

Source: UBS