Erste Group Bank Forecasts Weaker Earnings for Volkswagen

Key Points

• Erste Group Bank trimmed its FY2026 EPS estimate for Volkswagen to $2.12 from $2.13, slightly below the broader consensus of $2.13. It also forecast FY2027 earnings of $2.70 per share.
• Volkswagen’s most recent quarterly results missed expectations, with EPS of $0.30 versus the $0.41 estimate and revenue of $88.75 billion versus the expected $91.84 billion. The company also posted a net margin of 1.96% and return on equity of 3.18%.
• Analyst opinions remain mixed, but MarketBeat’s overall view is a “Moderate Buy” despite recent downgrades from some firms. VWAGY shares were trading near their 52-week low, reflecting continued pressure on the stock.

Volkswagen AG Unsponsored ADR (OTCMKTS:VWAGY - Free Report) - Equities research analysts at Erste Group Bank dropped their FY2026 EPS estimates for Volkswagen in a report issued on Wednesday, July 15th. Erste Group Bank analyst S. Lingnau now expects that the company will earn $2.12 per share for the year, down from their prior forecast of $2.13. The consensus estimate for Volkswagen's current full-year earnings is $2.13 per share. Erste Group Bank also issued estimates for Volkswagen's FY2027 earnings at $2.70 EPS.

Volkswagen (OTCMKTS:VWAGY - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The company reported $0.30 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.41 by ($0.11). Volkswagen had a return on equity of 3.18% and a net margin of 1.96%.The business had revenue of $88.75 billion for the quarter, compared to analyst estimates of $91.84 billion.

A number of other analysts have also recently commented on VWAGY. Citigroup reiterated a "buy" rating on shares of Volkswagen in a research note on Tuesday, June 23rd. Zacks Research downgraded Volkswagen from a "hold" rating to a "strong sell" rating in a research note on Tuesday, July 7th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy".

Volkswagen Stock Performance

Shares of VWAGY stock opened at $8.52 on Thursday. Volkswagen has a fifty-two week low of $8.07 and a fifty-two week high of $12.83. The firm has a market capitalization of $42.71 billion, a price-to-earnings ratio of 6.04, a PEG ratio of 0.24 and a beta of 1.07. The stock's 50-day simple moving average is $9.56 and its 200-day simple moving average is $10.63.

Volkswagen Company Profile

Volkswagen AG is one of the world's largest integrated automakers, headquartered in Wolfsburg, Germany. Founded in 1937 to produce a mass-market "people's car," the company expanded through the post-war period into a global automotive group. Volkswagen's operations encompass the design, engineering, manufacture and distribution of a broad range of passenger cars and light commercial vehicles, and the company's consolidated brand portfolio includes Volkswagen Passenger Cars, Audi, Porsche, Škoda, SEAT, Bentley, Lamborghini and other marques operated across its group structure.

In addition to vehicle production, Volkswagen provides a range of automotive-related products and services, including powertrain technologies, component manufacturing, mobility services and vehicle financing and leasing through its Volkswagen Financial Services unit.

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