Volkswagen (VWAPY) AI Stock Analysis

• Market Cap: $53.28B
• Dividend Yield: 6.16%
• Average Volume (3M): 9.91K
• Price to Earnings (P/E): 4.6
• Beta (1Y): 0.54
• Revenue Growth: 0.75%
• EPS Growth: -33.14%
• Country: US
• Employees: 679,472
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Auto - Manufacturers
• EPS (TTM): 2.31
• Shares Outstanding: 2,062,050,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 9,910
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.22
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Volkswagen's overall stock score reflects solid financial foundations but is tempered by challenges in profitability and cash flow management. The attractive valuation and strong dividend yield are key strengths, while mixed technical indicators highlight potential short-term volatility. Strategic expansions and BEV growth are positives, but market share and restructuring challenges require attention.

Volkswagen Business Overview & Revenue Model

Company Description

Volkswagen AG, known as VWAPY in the stock market, is a leading global automotive manufacturer headquartered in Wolfsburg, Germany. The company operates across various sectors including the design, production, and sale of passenger cars, commercial vehicles, and motorcycles. Volkswagen's core products and services encompass a wide range of vehicles under multiple brand names such as Volkswagen Passenger Cars, Audi, SEAT, ŠKODA, Bentley, Bugatti, Lamborghini, Porsche, Ducati, Scania, and MAN. Additionally, Volkswagen offers financial services including dealer and customer financing, leasing, banking, insurance, and fleet management.

How the Company Makes Money

Volkswagen AG generates revenue through the sale of its diverse range of vehicles, which is the primary source of income for the company. Each brand under the Volkswagen Group caters to different market segments, from mass-market vehicles to luxury and sports cars. In addition to vehicle sales, Volkswagen earns significant revenue from its financial services division, which provides a variety of financial solutions such as leasing, financing, and insurance services for both individual customers and dealerships. The company also benefits from its commercial vehicle segment, which includes trucks and buses under the Scania and MAN brands. Volkswagen's strategic partnerships and investments in technology and innovation, such as electric vehicle development and autonomous driving technologies, also play a crucial role in its revenue growth and competitive positioning in the global automotive market.

Volkswagen Financial Statement Overview

Summary

Volkswagen's financial statements indicate a company with solid foundations but facing profitability challenges and cash flow pressures. Revenue growth is slow, and while cost management remains efficient, maintaining net profitability is a concern. The balance sheet is strong with a reasonable debt level and solid asset base, supporting financial stability. Cash flow management needs attention due to negative free cash flow, potentially affecting future operational flexibility.

Income Statement

Volkswagen has demonstrated a solid financial performance with a stable gross profit margin of 18.31% in 2024, indicating efficient cost management. However, the net profit margin has decreased to 3.50%, reflecting challenges in maintaining profitability. The revenue growth rate from 2023 to 2024 is modest at 0.74%, suggesting slow growth. The EBIT margin stands at 5.87%, which, while positive, shows a decline from the previous year. EBITDA margin is robust at 15.89%, highlighting strong earnings before major deductions.

Balance Sheet

Volkswagen's balance sheet reveals a healthy equity ratio of 28.80%, showcasing financial stability. The debt-to-equity ratio is 1.08, reflecting a balanced approach to leveraging. Return on equity is at 6.23%, indicating moderate effectiveness in using equity capital to generate profits. The company's substantial total assets provide a strong foundation for future growth.

Cash Flow

The cash flow statement highlights challenges in cash generation, with a negative free cash flow of -$10.30 billion in 2024, which is a decrease from the previous year. The operating cash flow to net income ratio stands at 1.51, indicating that operating activities are generating sufficient cash relative to net income. However, the free cash flow to net income ratio is negative due to high capital expenditures, which could impact future liquidity.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
324.65B	322.28B	279.23B	250.20B	222.88B
	Gross Profit
59.47B	61.02B	52.23B	47.24B	38.95B
	EBIT
19.06B	22.58B	22.12B	19.27B	9.68B
	EBITDA
51.60B	49.94B	49.68B	49.43B	40.55B
	Net Income Common Stockholders
11.35B	16.60B	15.46B	15.38B	8.87B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
73.45B	50.91B	70.79B	66.88B	58.61B
	Total Assets
632.90B	600.34B	564.77B	528.61B	497.11B
	Total Debt
196.52B	193.97B	178.44B	183.37B	174.31B
	Net Debt
156.22B	150.52B	149.26B	143.65B	140.40B
	Total Liabilities
436.17B	410.43B	386.44B	382.45B	368.33B
	Stockholders Equity
182.29B	175.69B	165.38B	144.45B	127.05B
Cash Flow		Free Cash Flow
-10.29B	-6.44B	5.83B	20.14B	7.16B
	Operating Cash Flow
17.15B	19.36B	28.50B	38.63B	24.90B
	Investing Cash Flow
-31.57B	-19.82B	-41.82B	-26.13B	-22.69B
	Financing Cash Flow
11.14B	16.01B	4.22B	-7.75B	7.64B

Volkswagen Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.61
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VWAPY, the sentiment is Positive. The current price of 10.61 is above the 20-day moving average (MA) of 10.09, below the 50-day MA of 10.64, and above the 200-day MA of 10.14, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 56.73 is Neutral, neither overbought nor oversold. The STOCH value of 100.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VWAPY.

Volkswagen Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TM	75 Outperform	$219.94B	6.82	14.59%	2.72%	-0.59%	7.56%
HMC	74 Outperform	$47.13B	6.92	8.11%	4.06%	4.37%	6.93%
VWAPY	73 Outperform	$53.28B	4.58	6.58%	6.16%	0.75%	-33.14%
F	73 Outperform	$37.10B	6.38	13.42%	7.77%	5.00%	35.92%
GM	71 Outperform	$43.41B	6.85	9.44%	1.06%	9.08%	-15.25%
TSLA	69 Neutral	$765.43B	116.75	9.16%	―	1.03%	-53.71%
Sector *	60 Neutral	$6.55B	11.40	3.24%	4.25%	2.38%	-21.28%