Lamborghini as a VW jewel: Is there a threat of a breakthrough on the stock market?

Lamborghini as a VW jewel: Is there a threat of a breakthrough on the stock market?

The stock market has its pitfalls, and investors in Volkswagen (VW) are fighting for survival. VW shares are currently at around 90 euros and have therefore recorded a not exactly pleasing 52-week high of 109.95 euros. But there are bright spots: according to a report by Deutsche Bank Lamborghini, a subsidiary of Volkswagen, is considered a “hidden gem” in the automotive sector. This valuation could even be up to 25 billion euros - a value that accounts for almost half of the entire VW Group.

Analyst Tim Rokossa is impressed by Lamborghini's brand strategy and financial metrics. The profitability gap with Ferrari has almost been closed, which underlines Deutsche Bank's buy recommendation for Lamborghini shares. Nevertheless, investor reaction remains muted as they have to wait for concrete figures, especially VW's upcoming quarterly figures, which will be published on October 30th. These could show important metrics such as operating margin and electric vehicle sales, which are crucial for the group's future.

Volkswagen and electrification

Volkswagen has big plans, especially in the area of ​​electrification. The plan is to introduce a fully electric Touareg, while production of the combustion engine Touareg will be phased out by 2026, which is causing quite a stir in the automotive world. The “Final Edition” is on the agenda, as is the fact that the all-electric successor will be based on a new SSP architecture. This is a step intended to pave the way forward.

Volkswagen also plays a significant role in global sales of fully electric vehicles. In 2023, the automaker sold approximately 770,000 BEVs (Battery Electric Vehicles), an increase of 35 percent compared to the previous year. In the latest global sales figures, Tesla leads with 1.8 million vehicles, followed by BYD, while VW secures third place. This shows that Volkswagen does not have to hide despite the challenges in the market.

The look into the future

The prospects for electromobility are promising. Global sales of around 11 million cars are forecast for 2024, which would mean an increase of 22 percent. The market for fully electric and electrified vehicles is booming, especially in China, while sales figures are also steadily increasing in Europe. Germany remains the largest electrical market in Europe.

The question remains whether VW's upcoming quarterly figures will strengthen investor confidence or not. The market is eagerly awaiting tangible figures that show whether the group can achieve its full operational potential. Until then, tensions remain high and it remains to be seen how the situation will develop for Volkswagen.