Advertisements
Home News Volkswagen Shares Plummet Following Profit Margin Revision

Volkswagen Shares Plummet Following Profit Margin Revision

by sun

Volkswagen (ETR:VOWG_p) saw its share prices plummet to their lowest point since April 2020 on Monday, triggered by the German automaker’s revision of its profit margin projection for the current year. This unexpected announcement left some investors disheartened.

Citing adverse impacts stemming from raw materials hedging, Europe’s largest automotive conglomerate indicated a revised return on sales projection of 7.0% to 7.3%. This adjustment was a substantial decrease from its prior forecast of 7.5% to 8.5%. Volkswagen, however, maintained its existing outlook for deliveries and sales.

Advertisements

As a result of this announcement, Volkswagen shares experienced a sharp decline of 2.9% in Frankfurt by 0732 GMT. This drop placed Volkswagen at the forefront of decliners within the European automotive sector, which witnessed a collective decrease of 0.5%.

Advertisements
Advertisements

The company’s move to trim its profit margin expectations has generated concerns among investors and analysts alike, who are closely monitoring how Volkswagen will navigate these challenging conditions in the coming months.

Advertisements

You may also like

Rckir is a comprehensive financial portal. The main columns include foreign exchange wealth management, futures wealth management, gold wealth management, stock wealth management, fund wealth management, insurance wealth management, trust wealth management, wealth management knowledge, etc.

【Contact us: [email protected]

© 2023 Copyright Rckir.com [[email protected]]