Daimler Truck Stock: Small Rally and Price Potential

Last Updated: 12. Dezember 2023By

The Daimler Truck stock has significantly dropped in October and around the quarterly figures from the beginning of November. Now the paper of the commercial vehicle manufacturer from the DAX has put a small rally on the stock exchange floor and has clearly exceeded the mark of 30 euros (as of December 12, approx. 11 a.m.).

Although the market has cooled off recently, the prospects for Daimler Truck are at least good. 2023 should be a record year and analysts are also optimistic about the stock’s target price. A decent dividend yield rounds off the picture for long-term investors.

Daimler Truck: 2023 should be a record year Immediately after the publication of the quarterly figures, the Daimler Truck stock fell. In addition to a slightly reduced profit in Q3 compared to the previous year, the order intake in particular disappointed – it was 99,000 vehicles, 27 percent below the previous year’s level.

Despite this, Daimler Truck confirmed the goals raised in part over the summer. And these are impressive: the company’s turnover is expected to be between 56 and 58 billion and the adjusted EBIT should increase „significantly“ compared to 2022. Through cost savings, Daimler Truck can also achieve high margins in a challenging market.

Daimler Truck stock: Optimistic analysts, hefty dividend No question, the market for commercial vehicles is competitive and this is likely to intensify in the coming years. Nevertheless, some arguments speak for the Daimler Truck stock. Because the paper is currently by no means overvalued – especially if you have the development of the last 2 years in mind.

So most analysts are very optimistic about the target prices of Daimler Truck. 2 examples: JPMorgan sees significant potential in the stock with a target price of 48 euros and just last week Deutsche Bank reaffirmed its buy recommendation for the Daimler Truck stock – the target price was last around 50 euros.

What long-term investors should also have on their radar is the very decent dividend yield of around 4 percent. It is quite possible that Daimler Truck will pay out more than the 1.30 euros (amount of the dividend for 2022) in the coming year with the hefty profits.