expects roughly unchanged profits for 2024 but even this modest aim will be hard to achieve because of economic conditions in general and problems with electric cars in particular.
“Volkswagen is the archetypal legacy automaker: flabby, slow-moving and valued as if it was going out of business,” said Street columnist Stephen Wilmot, who added VW has yet to convince investors it has tamed what he called “profligate spending”, or electric vehicle technology. “The general economic situation remains challenging, but we are confident about 2024, despite the muted economic outlook and intense competition,” finance chief Arno Antlitz said presenting the results in mid-March.
“Given the current geopolitical situation and the uncertainty surrounding the further development of electromobility, looking beyond this is more dubious than usual,” Schwope said in an email exchange. “Cooperation with Renault is conceivable, but also with Stellantis. Or even a collaboration between Stellantis and Renault. However, I am sceptical about such cooperation. Often, after a few years and even fewer successes, they fall out and you realise that you would have worked better on your own,” Schwope said.
“VW looks attractive both in valuation terms and future prospects, but the latter requires patience and faith. A tricky year in terms of model changeovers and further retracement in China is likely to hold the shares back,” HSBC Global Research said.