The global impact of the Volkswagen pollution crisis is growing. American investors and consumers are suing Volkswagen in large numbers right now.
Some of you might be familiar with Volkswagen as an automaker but not as a stock. After learning about the emission scandal, I imagine that many investors are eager to examine the stock prices and purchase it for the first time.
Volkswagen stock is traded on markets around the world. But Frankfurt, Germany, is its principal market. There are multiple ticker symbols for Volkswagen when searching for Volkswagen equities on the Frankfurt market. So what makes those various symbols different from one another?
Volkswagen’s ticker symbols resemble “VOW.DE.” The exchange where equities are traded is indicated in the right part. But we’ll ignore that for now. Each symbol’s differences are displayed on the left portion.
Ordinary shares are the ones with the “VOW” symbol. Ordinary shares entitle you to voting rights if you own them. The shares with the “VOW3 sign, on the other hand, are preferred shares. Preferred shares are those that provide their owners preference in a number of ways, including dividend payments, asset distribution during a liquidation, and more. However, preferred shares typically do not grant you any voting rights. In addition, if we contrast the current values of Volkswagen’s common stock (VOW) and preferred stock (VOW3), the common stock is currently more expensive.
Additionally, there are additional Volkswagen emblems, such as VOW4 and VOW5. Depository receipt with a 20% value of VOW is referred to as VOW4. After purchasing shares of a company to use as collateral, a financial institution issues depository receipts as securities. The 20% value of VOW3 is also included in VOW5, which is a depository receipt for VOW3. In other words, both VOW and VOW3 depository receipts are exchanged in the market.
It’s preferable to learn more about Volkswagen shares because it’s likely that there will be numerous pieces on Volkswagen in the media over the next few weeks.
In This Article...
What distinguishes Volkswagen ordinary shares from preference shares?
In the past, VW’s Preference Shares (OTCMKTS: VWAPY) have had substantially more trading activity than their Common Shares, making them more liquid. These do not have voting privileges, but they are given preference in the event of any corporate matters, such as the payment of dividends to shareholders.
VWAGY vs Vwapy, which is preferable?
In the United States, automobiles are still likely the most common mode of passenger transportation. Major automakers have revenues and market capitalizations that top the billion dollar mark. The sector has recently seen some ground-breaking advancements including self-driving cars and electrified vehicles. While there are established competitors in this industry like General Motors, Ford, and Toyota Motors, there are also new or rapidly expanding players like Tesla, which has significantly contributed to the rising popularity of the electric vehicle market. We’ve seen collaborations between automakers and tech behemoths like Google’s subsidiary, Waymo, as well as discussions of potential alliances as technical breakthroughs in the automotive industry gain traction.
The market capitalization of VWAGY ($84.8B) and VWAPY ($84.8B) is identical.
VWAGY’s P/E ratio is greater than VWAPY’s: VWAGY (5.35 vs. VWAPY) (4.18).
VWAPY’s YTD gains are better than VWAGY’s at -25.086. (-34.989).
EBITDA for VWAGY (50.6B) and VWAPY (50.6B) is equivalent annually.
Both VWAGY and VWAPY have the same amount of money in the bank (57.7B).
The debt for VWAGY (179B) and VWAPY (179B) is the same.
Revenues for VWAGY (253B) and VWAPY (253B) are equal.
Has Volkswagen divided its stock?
In April 1961, Volkswagen issued ordinary shares with a nominal value of DM 100.- at a cost of DM 350.-. There have been two stock splits since then. On March 17, 1969, the first split occurred at a ratio of 1:2. (from DM 100.- to DM 50.- share). The second split, with a ratio of 1:10, took place on July 6, 1998. (from DM 50.- to no-nominal-value share). In September 1986, Volkswagen introduced preference shares through a DM 300 million recapitalization.
A critical analysis of Volkswagen stock:
With the following indicators, fundamental analysis of the Volkswagen share provides intriguing medium- and long-term signals:
- Volkswagen pays out a respectable dividend, making it a desirable yield investment for investors.
- Launches that surpass expectations: According to past trends, the Volkswagen Group has a favorable surprise rate for its releases.
- Strong financial position: The company exhibits a strong financial position with intriguing earnings multiples thanks to a high level of cash and net margin.
- Divergent consensus: It is difficult to value this stock because of the wide disparity between analyst price targets for it.
- High price target: The average analyst price target for this company is quite different from the present price, indicating an intriguing upside potential.
- Weak growth predictions: Based on how sales are predicted to evolve, weak growth is predicted during the next few years.
- Low valuation: It is estimated that Volkswagen’s enterprise value is 0.15 times sales. Therefore, based on its net book value and cash flow, the stock appears to be undervalued.
A technical analysis of Volkswagen stock:
Long-term signs from Volkswagen’s chart and technical analysis data are more bearish and include the following:
- The RSI is currently showing a strong sell signal at 43.231.
- While the long-term stochastic is generating an oversold signal, the short, medium, and long-term stochastics are sending sell signals.
- The MACD is presently at 0.15 and is indicating a weak buy.
- With the exception of the MA200 simple and exponential average, which is sending a purchase signal, all simple and exponential moving averages are sending sell signals.
- The following technical support and resistance levels are at 132.64 and 108.28, respectively. The next technical support levels are at 180.02 and 203.04.
Does VWAGY offer dividends?
A $0.55 dividend per share is given by VWAGY. The yearly dividend yield for VWAGY is 2.89%.
The last ex-dividend date for Volkswagen AG was May 13, 2022. Shareholders of Volkswagen AG who held VWAGY shares before to this date were paid $0.55 per share as the company’s final dividend on June 1, 2022. The next ex-dividend date for Apple has not yet been disclosed.
Those Volkswagen AG shareholders who had VWAGY shares before to May 13, 2022 received a dividend payment of $0.55 per share on June 1, 2022, the company’s following quarterly payment date. If you want to be alerted when VWAGY pays its next dividend, add the stock to your watchlist.
Yes, VWAGY’s earnings per share for the most recent fiscal year were $3.82, and their dividend payout per share is $0.93. The sustainable dividend payout ratio for VWAGY is 15.12% ($0.93/$3.82).
Vwapy: Is it a wise investment?
The consensus price objective for Volkswagen AG among the 16 analysts who are providing 12-month price projections is 23.21, with a high estimate of 32.09 and a low estimate of 11.52. From the most recent price of 14.26, the median projection reflects a rise of +62.79%.
Analyst Recommendations
Two investing analysts were surveyed, and their current consensus is to buy Volkswagen AG stock. Since August, when it remained unchanged from a Buy rating, this rating has been stable. Mouse over the previous months for more information.
Is it wise to invest in VWAGY?
According to Zacks’ exclusive data, Volkswagen AG Unsponsored ADR is presently classified as a Zacks Rank 3, and in the coming months, we anticipate an equal return for VWAGY shares in comparison to the market. Additionally, the VGM Score for Volkswagen AG Unsponsored ADR is C. (this is a weighted average of the individual Style Scores which allow you to focus on the stocks that best fit your personal trading style). Volkswagen AG Unsponsored ADR may be undervalued, according to valuation criteria. It would be a good choice for value investors, according to its Value Score of B. VWAGY’s financial stability and expansion prospects show that it has the potential to outperform the market. Its growth score right now is C. With a Momentum Score of D, recent price fluctuations and earnings estimate revisions suggest this would not be an excellent company for momentum investors.
Volkswagen: Does it pay dividends?
Volkswagen distributes a dividend once every year. May is the payout month. The dividend calendar displays the month that each firm distributes dividends for more than 1,000 dividend stocks.