Volkswagen invests in new China battery factory in bid to increase EV volumes

  • Volkswagen (OTCPK:VWAGY) is setting up a new Electric Vehicle battery system factory in the eastern China city of Hefei which will be ready to produce cars in 2023.
  • By 2025, the car maker will invest over €140M ($164M) in its majority-owned joint venture with state-owned vehicle manufacturer JAC in an effort to annually produce 150K to 180K EV battery systems. Volkswagen also owns share of battery maker Gotion, which is headquartered in the city.
  • This year, Volkswagen sold around 7,000 of its ID. series electric models in China. The company hopes to sell between 80,000 and 100,000 this year.
  • In Volkswagen 's March earnings call, CEO Herbet Diess said that the company has "high-volume aspirations" for China.

    Over the current book year the company from Wolfsburg could achieve a revenue around 251.81 billion euros (consensus estimates). This is rather significant more than 2021's revenue of 222.88 billion euros.

    Historical revenues and results Volkswagen plus estimates 2021

    aandelenanalyse

    The analysts expect for 2021 a net profit of 14.27 billion euros. The majority of the analysts expects for this year a profit per share of 34.25 euros. So the price/earnings-ratio equals 7.81.

    For this year the analysts expect a dividend of 7.57 euros per share. Volkswagen 's dividend yield thus equals 2.83 percent. The average dividend yield of the automobile producers equals an attractive2.78 percent.

    Latest estimates around 262 euros

    The most recent recommendations for the automobile producer are from Kepler Capital Markets, JP Morgan and Independent Research.

    Volkswagen 's market capitalization is around 55.14 billion euros. 90

    At 15.04 the stock trades 0.3 percent lower at 267.4 euros.

    Historical stock prices Volkswagen from 2007 till 2021

    stock prices volkswagen

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