Why is Mercedes stock going down?
Mercedes-Benz has reported big drops to revenues and profits in the second quarter due to the impact of trade tariffs on its business. Mercedes-Benz Group AG Dividend Information Mercedes-Benz Group AG has an annual dividend of $0. The dividend is paid once per year and the last ex-dividend date was May 9, 2025.Mercedes-Benz Group AG net current debt for the quarter ending September 30, 2024 was $-2. B, a 0% increase year-over-year. Mercedes-Benz Group AG net current debt for the twelve months ending September 30, 2024 was $-5. B, a 1430.Revenue for Mercedes-Benz is projected to reach US$111bn in 2025. Revenue is expected to show an annual growth rate (CAGR 2025-2029) of 2. US$121bn by 2029. Mercedes-Benz unit sales are expected to reach 2.
What is the target market for Mercedes-Benz?
Mercedes-Benz’s customer base primarily consists of affluent individuals, including professionals, executives, and entrepreneurs. These customers are typically in the higher income brackets, allowing them to afford luxury vehicles. The brand also targets younger generations through initiatives like ‘Generation Benz’. Unlike many other vehicles, Benz cars maintain a strong resale value due to their high demand and reputation for reliability. This means that when you decide to upgrade or change vehicles, you can expect a significant return on your initial investment, a testament to the brand’s enduring value and appeal.Several Mercedes-Benz models are known for lasting well over 100,000 miles. They are great for long-term ownership. Mercedes is famous for luxury and performance, but some models stand out for their durability.Therefore, Mercedes-Benz’s luxury positioning and its costly long-term maintenance fees are parts of its weaknesses in attracting a larger group of consumers in the EV market. Mercedes-Benz underwent several large-scale recalls in its history due to emission scandals and fire risks in its EV model EQS and EQC.If you value comfort, Mercedes is a top pick in the luxury car scene. But if you’re looking for a thrilling driving experience, BMW is the way to go. BMWs also have better reliability and safety. Hopefully, that information about BMW and Mercedes was helpful!
Is Mercedes stock undervalued?
Intrinsic Value Compared to the current market price of 53. EUR, Mercedes-Benz Group AG is Undervalued by 38%. Mercedes-Benz Group has a consensus rating of Moderate Buy which is based on 5 buy ratings, 9 hold ratings and 0 sell ratings. The average price target for Mercedes-Benz Group is 71. This is based on 14 Wall Streets Analysts 12-month price targets, issued in the past 3 months.Valuation metrics show that Mercedes-Benz Group AG may be undervalued. Its Value Score of A indicates it would be a good pick for value investors. The financial health and growth prospects of MBGYY, demonstrate its potential to outperform the market.The company is currently addressing its profitability by improving step by step, and hopefully executing on its more improved mix and strategy going forward. In any future scenario, I view Mercedes-Benz as undervalued here, and that is why I give the company a Buy rating and consider it cheap.Mercedes-Benz Group Ag has a consensus rating of Moderate Buy which is based on 5 buy ratings, 9 hold ratings and 0 sell ratings. The average price target for Mercedes-Benz Group Ag is 71.The mean historical Dividend Yield of Mercedes-Benz Group AG over the last ten years is 6. The current 8. Dividend Yield has changed 32. Over the past ten years (40 quarters), MBG. DE’s Dividend Yield was at its highest in in the June 2022 quarter at 9.
Are Mercedes in financial trouble?
BLEAK OUTLOOK. After a 30% slump in earnings in 2024, and 40% in its cars division, this year will see earnings fall even further, Mercedes-Benz said, expecting a rate of return in its car division of just 6-8%. Crisis at Mercedes: Declining Mercedes Sales Across All Segments in Q2 2025. Mercedes sales dropped by 9% in Q2 2025, with all segments—Top End, Core, and Entry—experiencing declines. Electric vehicle (EV) sales also plummeted dramatically by 24%. Only plug-in hybrid (PHEV) sales increased, up by 4% compared to Q2 2024 .BLEAK OUTLOOK. After a 30% slump in earnings in 2024, and 40% in its cars division, this year will see earnings fall even further, Mercedes-Benz said, expecting a rate of return in its car division of just 6-8%.
Is Mercedes-Benz a good buy?
Mercedes vehicles have strong safety ratings from NHTSA and IIHS. Models like the E-Class and GLE-Class earn top safety marks, contributing to the brand’s dependability reputation. Owning a Mercedes can be costly, with average annual repair costs around $908. One of the most important reasons why Mercedes-Benz is considered a luxury car is due to its superior engineering and design. Mercedes-Benz vehicles are designed with the latest technology, high-quality materials, and exceptional craftsmanship.Expensive Maintenance and Repair Costs Mercedes vehicles often require specialized knowledge and tools for servicing. Mercedes-specific parts are typically more expensive, and labor costs at authorized dealerships can be significantly higher than at independent mechanics.Mercedes vehicles have strong safety ratings from NHTSA and IIHS. Models like the E-Class and GLE-Class earn top safety marks, contributing to the brand’s dependability reputation. Owning a Mercedes can be costly, with average annual repair costs around $908.While both BMW and Mercedes-Benz prioritise safety and reliability, Mercedes-Benz often leads the way with advanced safety features and a strong reputation for durability. However, BMW has made significant improvements in recent years and newer models are generally reliable.