Mercedes-Benz: Big Mistake?

Last Updated: 21. November 2023By

The stock of Mercedes-Benz has been especially weak in the last few weeks. Who is right – the stock market or the investors who are expecting a strong Mercedes-Benz stock?

Mercedes-Benz: Cheap Remains Cheap This can be determined very quickly from my point of view: Mercedes-Benz is and remains currently very cheap. The stock has recently delivered numbers and outlooks that have not met with broad approval.

Nevertheless, the data for the title is comparatively good. According to the reports, the company will achieve a turnover of around 150 billion euros this year. This turnover is said to increase slightly in the coming year, but not particularly.

The net result is – currently estimated – good 13 billion euros and in the coming year maybe about 12 to 12.5 billion euros from my perspective unchanged good. With this, the Group will achieve a price-earnings ratio (P/E) of less than 5 at a market capitalization of more than 61 billion euros – both in the current and the next year. This is still very cheap. The P/S (price-sales) ratio is approximately 0.2. This is also an attractive figure.

Mercedes-Benz: That looks good! The dividend yield has also not changed. This year, the company will presumably produce a dividend yield (payable next year) based on the current entry prices which is very good: 8.7% are currently expected. Next year, investors would come to about 8.4%.

Thus, the prospects are still at least as solid and – in my opinion – very good despite all the worries about the economy and the strength of Chinese companies, so that the risk-reward ratio is attractive for the title at present. The stock markets have apparently been very skeptical about Mercedes-Benz, in my assessment.

Analysts see it the same way. The general assessment is that the price of Mercedes-Benz will rather go up. The average price valuation is more than 39%. This would make a price of 82 euros conceivable. The target price has fallen by about 10 euros in the last eight weeks – but it is still above the current quotations. Here, too, it can be said that the stock markets have been very skeptical about Mercedes-Benz.

Mercedes-Benz: Turning Point in Sight – WKN: 710000 – ISIN: DE0007100000 Source: https://fundamental.aktienscreener.com/DE0008404005/EI/allianz-se/data

The stock of Mercedes-Benz has been especially weak in the past few weeks. Who is right – the stock market or the investors who are expecting a strong Mercedes-Benz stock?

Mercedes-Benz: Cheap Remains Cheap This can be determined very quickly from my point of view: Mercedes-Benz is and remains currently very cheap. The stock has recently delivered numbers and outlooks that have not met with broad approval.

Nevertheless, the data for the title is comparatively good. According to the reports, the company will achieve a turnover of around 150 billion euros this year. This turnover is said to increase slightly in the coming year, but not particularly.

The net result is – currently estimated – good 13 billion euros and in the coming year maybe about 12 to 12.5 billion euros from my perspective unchanged good. With this, the Group will achieve a price-earnings ratio (P/E) of less than 5 at a market capitalization of more than 61 billion euros – both in the current and the next year. This is still very cheap. The P/S (price-sales) ratio is approximately 0.2. This is also an attractive figure.

Mercedes-Benz: That looks good! The dividend yield has also not changed. This year, the company will presumably produce a dividend yield (payable next year) based on the current entry prices which is very good: 8.7% are currently expected. Next year, investors would come to about 8.4%.

Thus, the prospects are still at least as solid and – in my opinion – very good despite all the worries about the economy and the strength of Chinese companies, so that the risk-reward ratio is attractive for the title at present. The stock markets have apparently been very skeptical about Mercedes-Benz, in my assessment.

Analysts see it the same way. The general assessment is that the price of Mercedes-Benz will rather go up. The average price valuation is more than 39%. This would make a price of 82 euros conceivable. The target price has fallen by about 10 euros in the last eight weeks – but it is still above the current quotations. Here, too, it can be said that the stock markets have been very skeptical about Mercedes-Benz.

Mercedes-Benz: Turning Point in Sight – WKN: 710000 – ISIN: DE0007100000 Source: https://fundamental.aktienscreener.com/DE0008404005/EI/allianz-se/data

The stock of Mercedes-Benz has been especially weak in the past few weeks. Who is right – the stock market or the investors who are expecting a strong Mercedes-Benz stock?

Mercedes-Benz: Cheap Remains Cheap This can be determined very quickly from my point of view: Mercedes-Benz is and remains currently very cheap. The stock has recently delivered numbers and outlooks that have not met with broad approval.

Nevertheless, the data for the title is comparatively good. According to the reports, the company will achieve a turnover of around 150 billion euros this year. This turnover is said to increase slightly in the coming year, but not particularly.

The net result is – currently estimated – good 13 billion euros and in the coming year maybe about 12 to 12.5 billion euros from my perspective unchanged good. With this, the Group will achieve a price-earnings ratio (P/E) of less than 5 at a market capitalization of more than 61 billion euros – both in the current and the next year. This is still very cheap. The P/S (price-sales) ratio is approximately 0.2. This is also an attractive figure.

Mercedes-Benz: That looks good! The dividend yield has also not changed. This year, the company will presumably produce a dividend yield (payable next year) based on the current entry prices which is very good: 8.7% are currently expected. Next year, investors would come to about 8.4%.

Thus, the prospects are still at least as solid and – in my opinion – very good despite all the worries about the economy and the strength of Chinese companies, so that the risk-reward ratio is attractive for the title at present. The stock markets have apparently been very skeptical about Mercedes-Benz, in my assessment.

Analysts see it the same way. The general assessment is that the price of Mercedes-Benz will likely rise. The average price valuation is more than 39%. This would make a price of 82 euros conceivable. The target price has fallen by about 10 euros in the last eight weeks – but it is still above the current quotations. Here, too, it can be said that the stock markets have been very skeptical about Mercedes-Benz.

Mercedes-Benz: Turning Point in Sight – WKN: 710000 – ISIN: DE0007100000 Source: https://fundamental.aktienscreener.com/DE0008404005/EI/allianz-se/data