UPDATE: J.P. Morgan Reiterates Neutral Rating, Lowers PT on Visteon

In a report published Wednesday, J.P. Morgan & Co. reiterated its Neutral rating on Visteon Corporation

, but lowered its price target from $43.00 to $39.00. J.P. Morgan noted, “Visteon is well-aligned to the growth markets of tomorrow, with the most attractive geographic mix of any parts supplier we cover, including deriving 43% of (unconsolidated) sales from China, vs. 10% sector average. It is also aligned to some of the growthiest automakers, including Shanghai GM, Shanghai-GM, and SAIC. Management is taking steps to simplify VC's corporate structure and unlock shareholder value. Additional corporate actions are likely, in our view, given that VC appears to trade at a discount to the sum of its parts, but the timing of such actions is difficult to predict. The Interiors division, which derives a disproportionate amount of sales from Europe and operates in a sub-sector with significant excess capacity, represents an investment negative, in our view.” Visteon Corporation closed on Tuesday at $29.12.