American Axle & Manufacturing Holdings Inc. (AXL) saw its stock soar 5.02% in intraday trading on Friday, following the release of its third-quarter 2025 financial results that exceeded analyst expectations. The company also provided a positive outlook for the full year, further boosting investor confidence.

The auto parts manufacturer reported adjusted earnings per share of $0.16 for the quarter, surpassing the FactSet consensus estimate of $0.12. While this represents a decrease from $0.20 per share in the same period last year, it demonstrates the company's resilience in a challenging market. Sales for the quarter reached $1.51 billion, meeting analyst expectations and showing a slight increase from the previous year.

A key highlight of the report was the company's adjusted EBITDA of $194.7 million, which significantly beat the analyst consensus estimate of $180.7 million. This strong performance indicates improved operational efficiency and cost management. Additionally, American Axle reported a net income of $9.2 million for the quarter, translating to earnings per share of $0.07.

Looking ahead, American Axle provided an optimistic outlook for the full year 2025. The company is targeting sales between $5.8 billion and $5.9 billion, aligning with the FactSet estimate of $5.86 billion. Furthermore, it expects adjusted EBITDA to range from $710 million to $745 million and adjusted free cash flow between $180 million and $210 million. This positive guidance suggests continued growth and profitability for the company.

The market's enthusiastic response to American Axle's results and outlook reflects growing investor confidence in the company's ability to navigate the evolving automotive industry landscape. As the sector continues to face challenges such as supply chain disruptions and the transition to electric vehicles, American Axle's performance indicates its adaptability and strong market position.