Announcement • Aug 07
Bayerische Motoren Werke Aktiengesellschaft to Report Fiscal Year 2026 Results on Mar 11, 2027 Bayerische Motoren Werke Aktiengesellschaft announced that they will report fiscal year 2026 results on Mar 11, 2027 Reported Earnings • Jul 31
Second quarter 2026 earnings: Revenues in line with analyst expectations Second quarter 2026 results: Revenue: €31.3b (down 7.9% from 2Q 2025). Net income: €1.24b (down 30% from 2Q 2025). Profit margin: 4.0% (down from 5.2% in 2Q 2025). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 2.6% growth forecast for the Auto industry in Germany. Live News • Jul 30
BMW to Cut 8,000 Jobs in Germany Through Voluntary Redundancy Programme Bayerische Motoren Werke plans to cut around 8,000 jobs in Germany through a voluntary redundancy programme focused on administrative and development roles, running from October 2026 to the end of 2027, with targeted annual savings of about €1b from 2028.
The cuts exclude production roles and are described as a response to weaker business in China and the structural transformation of the automotive industry, following similar redundancy programmes at Mercedes-Benz and Porsche.
BMW shares trade at €60.30, with the stock down 37.4% year to date.
This cost programme signals a clear push by BMW to lower its fixed cost base and reshape its workforce mix ahead of further industry change. The reliance on voluntary redundancies rather than production cuts also highlights where management currently sees the most flexibility in adjusting the business. Announcement • Jul 18
BMW AG Announces Board Changes, Effective September 1, 2026 BMW AG announced that Dorothea von Boxberg was appointed to the company's Board of Management, effective September 1, 2026, and named Labour Relations Director. She succeeded Ilka Horstmeier (57), who, in agreement with the Supervisory Board and in the shared interest of arranging an early succession, handed over her role as Member of the Board of Management responsible for People and Real Estate. Dorothea von Boxberg (52) is currently Chief Executive Officer of Brussels Airlines. Previously, she held several leadership positions at Deutsche Lufthansa AG and Lufthansa Cargo AG, including Chief Executive Officer and Chief Financial Officer of Lufthansa Cargo. After studying industrial engineering and business administration in Berlin and Paris, she also spent several years working in management consulting. Live News • Jul 02
BMW Finalizes $1.7 Billion South Carolina EV Expansion as US-Built iX5 Launch Nears BMW has completed a $1.7b expansion of its South Carolina operations, adding EV-focused capacity at the Spartanburg plant and opening a new Woodruff facility for electric vehicle assembly and high-voltage battery production, ahead of US-built iX5 output expected before the end of 2026.
The company plans to assemble at least six fully electric models in the US by 2030, using flexible drivetrains and locally sourced batteries from Woodruff to support its electric line-up as the US EV market cools.
BMW’s share price is around €60.38, with the stock down roughly 37.3% year to date.
The build-out in South Carolina gives BMW more control over US EV production costs and supply chain, but also increases fixed investment that will be sensitive to how US demand for higher-priced electric models develops over the next few years. Announcement • Jul 01
Bayerische Motoren Werke Aktiengesellschaft(XTRA:BMW3) dropped from FTSE All-World Index (USD) Bayerische Motoren Werke Aktiengesellschaft(XTRA:BMW3) dropped from FTSE All-World Index (USD) Announcement • Jun 30
BMW AG's Subsidiary BMW Group UK and Ireland Names Neil Fiorentinos as Chief Executive Officer, Effective September 1, 2026 BMW Group UK and Ireland, a subsidiary of German automaker BMW AG, had named Neil Fiorentinos as its new chief executive officer, effective September 1, 2026. Presently, Fiorentinos serves as CEO of BMW Group Central and Southeastern Europe based in Salzburg, and oversees commercial operations across 12 countries. He has served in various senior leadership roles across the organisation, including CEO of BMW Netherlands and president and CEO of BMW Group Asia. He has over three decades of international experience. Fiorentinos's appointment is pending approval by the Financial Conduct Authority. Live News • Jun 26
BMW Cuts 2026 Margin Forecast and Plans 7,700 Job Reductions on China Weakness Bayerische Motoren Werke cut its 2026 automotive EBIT margin outlook to 1–3% from 4–6%, citing weak Chinese demand, stronger local competition and the effects of the Middle East conflict. The company also plans to reduce its global workforce by up to 5% or around 7,700 jobs by the end of 2026.
Management plans cost reductions, restructuring and a greater emphasis on local production in key markets while aiming to keep its free cash flow target and dividend payout ratio intact. It will begin talks with employee representatives over the job cuts.
BMW shares trade at €59.22, with the stock down 38.5% year to date, and fell over 6% in Frankfurt after the profit warning.
The profit reset highlights BMW’s margin pressure and exposure to China, raising execution risk around restructuring and cost savings, while the company also signals a clear intent to preserve cash generation and dividends. Live News • Jun 17
BMW Stock Faces Sharp Profit Decline as Chinese Competition and Tariffs Weigh on 2026 Outlook BMW reports a 4% revenue decline for 2026 and a 76% drop in operating profit, citing pressure from Chinese electric vehicle competitors, new U.S. tariffs on Chinese autos and parts, and geopolitical tensions.
The company has lowered its 2026 automotive operating margin guidance to a range of 1% to 3%, down from 4% to 6%, and has cut full-year pretax profit expectations.
BMW plans accelerated cost-cutting and expects restructuring charges in the second half of the year. In addition, MINI intends to start local manufacturing in India to reduce import costs and diversify production.
The sharp cut to profit and margin guidance highlights how competition in electric vehicles and trade policy developments are weighing on BMW’s current profitability profile.
Future cost reductions and the move to local production in India introduce execution risk, but also show BMW is actively adjusting its footprint and cost base in response to current market pressures. Price Target Changed • Jun 17
Price target decreased by 7.2% to €83.76 Down from €90.28, the current price target is an average from 22 analysts. New target price is 35% above last closing price of €62.24. Stock is down 14% over the past year. The company is forecast to post earnings per share of €8.89 for next year compared to €11.89 last year. Live News • Jun 08
BMW Faces Sharp Profit Drop as Competition and Tariffs Hit German Carmakers German carmakers, including BMW, are seeing pressure on their business, with revenue down 4% and operating profit falling 76% in early 2026.
The sector is being squeezed by stronger competition from Chinese electric vehicle manufacturers.
Additional headwinds include tariffs imposed by the U.S. and a slower transition to electric vehicles in Germany.
These developments point to a tougher operating backdrop for BMW. Both pricing power and margins are coming under pressure at the same time as the industry is investing heavily in electric models.
When you look at the stock, it may be worth weighing the appeal of established brands and existing product lines against the competitive and regulatory risks now bearing down on German carmakers. Upcoming Dividend • May 07
Upcoming dividend of €4.40 per share Eligible shareholders must have bought the stock before 14 May 2026. Payment date: 19 May 2026. Payout ratio is a comfortable 37% but the company is not cash flow positive. Trailing yield: 5.4%. Within top quartile of German dividend payers (4.6%). In line with average of industry peers (5.3%). Reported Earnings • May 06
First quarter 2026 earnings released First quarter 2026 results: Revenue: €31.0b (down 8.1% from 1Q 2025). Net income: €1.62b (down 23% from 1Q 2025). Profit margin: 5.2% (down from 6.2% in 1Q 2025). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 2.7% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 21% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Announcement • Mar 19
Bayerische Motoren Werke Aktiengesellschaft, Annual General Meeting, May 13, 2026 Bayerische Motoren Werke Aktiengesellschaft, Annual General Meeting, May 13, 2026, at 10:00 W. Europe Standard Time. Reported Earnings • Mar 15
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: €11.89 (up from €11.62 in FY 2024). Revenue: €133.5b (down 6.3% from FY 2024). Net income: €7.29b (flat on FY 2024). Profit margin: 5.5% (up from 5.1% in FY 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 3.0%. Earnings per share (EPS) exceeded analyst estimates by 10%. Revenue is forecast to grow 2.6% p.a. on average during the next 3 years, compared to a 2.5% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 27% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Announcement • Mar 13
Bayerische Motoren Werke Aktiengesellschaft announces Annual dividend, payable on May 18, 2026 Bayerische Motoren Werke Aktiengesellschaft announced Annual dividend of EUR 4.4000 per share payable on May 18, 2026, ex-date on May 14, 2026 and record date on May 15, 2026. Announcement • Mar 12
BMW AG Announces Management Changes, Effective 13 May, 2026 The Supervisory Board of BMW AG has appointed Dr Raymond Wittmann as a member of the Board of Management, with responsibility for Production, effective from the close of the company’s Annual General Meeting on 13 May. He succeeds Milan Nedeljkovic, who will take over as Chairman of the Board of Management at the same date. Wittmann, 47, joined the BMW Group in 2015 and has held the role of Head of Corporate Strategy and Corporate Development since 2024. Earlier positions within the group include Head of Assembly at the BMW plant in Munich, Chief Financial Officer of the Americas sales region, and Project Manager for the establishment of the production site in San Luis Potosí, Mexico. He holds a doctorate in aerospace engineering and previously worked as a partner at an international strategic consultancy. Buy Or Sell Opportunity • Mar 02
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 4.6% to €85.46. The fair value is estimated to be €108, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 33%. For the next 3 years, revenue is forecast to grow by 2.4% per annum. Earnings are also forecast to grow by 4.5% per annum over the same time period. Announcement • Mar 02
Bayerische Motoren Werke Aktiengesellschaft to Report Fiscal Year 2025 Results on Mar 12, 2026 Bayerische Motoren Werke Aktiengesellschaft announced that they will report fiscal year 2025 results at 7:30 AM, Central European Standard Time on Mar 12, 2026 Announcement • Jan 31
BMW Group Announces Executive Changes Within Its Sales and Marketing Division BMW Group has announced the following personnel changes within its Sales and Marketing division: Christian Ach, who currently leads market operations in Germany, will take on the role of President of BMW Group Region China, effective April 1, 2026. In this key position, he will be responsible for coordinating and overseeing a wide range of market activities in China. Ach began his career at the BMW sales branch in Munich in 1998 and has since held various positions within the BMW Group sales organisation. From 2010 to 2018, he managed MINI in Germany. From 2018 to 2021, Ach served as head of Sales for BMW Germany; from 2021, he was responsible for the Northern Europe sales region, which includes Sweden, Norway, Denmark and Finland. As of March 1, 2024, Ach became CEO of BMW for Germany. Effective April 1, 2026, Christian Ach will be succeeded by Tim Beltermann as head of the German market. Beltermann joined the company over 20 years ago and brings a wealth of experience from his roles at the BMW branches, BMW Bank, Alphabet and various managerial positions at the sales headquarters for the German market. Since 2019, Beltermann has overseen BMW sales to end customers and held other comprehensive in-house responsibilities in sales management and retail network development. Maru Escobedo, currently President and CEO of BMW Group Brazil, will take on the role of President of the Latin America region, effective March 1, 2026. Previously, Maru Escobedo was responsible for the Mexican market and has many years of experience in sales operations. She will succeed Reiner Braun, who will prepare for a new role starting March 1, 2026. Reiner Braun is an experienced executive within the BMW Group, having held previous leadership positions in Canada, China, and the Middle East, where he was mainly active in sales, marketing, and MINI. Sean Green, the current President and CEO of BMW Group Region China, will assume a new important role within the company after more than 10 years in the Chinese market. Buy Or Sell Opportunity • Jan 05
Now 20% undervalued Over the last 90 days, the stock has risen 7.1% to €93.72. The fair value is estimated to be €117, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has declined by 33%. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings are also forecast to grow by 5.3% per annum over the same time period. Announcement • Dec 12
BMW Announces CEO Changes BMW 's supervisory board has appointed Milan Nedeljkovi, the German carmaker's current head of production, as chief executive, succeeding Oliver Zipse, the company announced on December 9, 2025. Zipse, who previously held the production role before becoming chief executive in 2019, will step down on May 13, the day of BMW's annual general meeting. He will turn 62 in February, exceeding BMW's informal age limit of 60 for board members. During his tenure, Zipse oversaw the launch of the New Class, the cornerstone of the company's electric vehicle strategy. Nedeljkovi who will be 57 when he assumes office, has been board member for production since 2019 and oversaw the start of New Class production. Reported Earnings • Nov 07
Third quarter 2025 earnings: Revenues miss analyst expectations Third quarter 2025 results: Revenue: €32.3b (flat on 3Q 2024). Net income: €1.67b (up 330% from 3Q 2024). Profit margin: 5.2% (up from 1.2% in 3Q 2024). Revenue missed analyst estimates by 2.3%. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 33% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Reported Earnings • Aug 03
Second quarter 2025 earnings: EPS and revenues miss analyst expectations Second quarter 2025 results: EPS: €2.85 (down from €4.16 in 2Q 2024). Revenue: €33.9b (down 8.2% from 2Q 2024). Net income: €1.75b (down 33% from 2Q 2024). Profit margin: 5.2% (down from 7.1% in 2Q 2024). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 3.2%. Earnings per share (EPS) also missed analyst estimates by 4.6%. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 31% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Announcement • Aug 01
Lyft, Inc. (NasdaqGS:LYFT) completed the acquisition of Intelligent Apps GmbH from Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW). Lyft, Inc. (NasdaqGS:LYFT) entered into a definitive agreement to acquire Intelligent Apps GmbH from Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) for €175 million on April 16, 2025. The transaction will be financed with the available cash in hand. Intelligent Apps will continue operating as it does today, with its talented leadership team and employees.
The transaction subject to customary closing conditions and regulatory approvals and is expected to close in the second half of 2025.
Guggenheim Securities, LLC acted as financial advisor to Lyft, Inc. Baker & McKenzie LLP acted as legal advisor to Lyft, Inc. Lazard & Co. GmbH acted as financial advisor to Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft. Christoph Dachner, Benjamin Parameswaran, Tim Arndt, Björn Enders, Burkhard Führmeyer, Semin O, Jérôme Halphen, Thilo Streit, Enno Ahlenstiel of DLA Piper acted as legal advisor to Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft.
Lyft, Inc. (NasdaqGS:LYFT) completed the acquisition of Intelligent Apps GmbH from Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) on July 31, 2025. Lyft and FREENOW team members will start working side by side to roll out new features for riders and drivers around the world. The acquisition will not impact Lyft’s Q2 financial results. Buy Or Sell Opportunity • Jun 30
Now 21% undervalued Over the last 90 days, the stock has risen 1.8% to €75.46. The fair value is estimated to be €95.31, however this is not to be taken as a buy recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 2.4% per annum. Earnings are also forecast to grow by 6.9% per annum over the same time period. Announcement • May 21
Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) announces an Equity Buyback for €1,650 million worth of its shares. Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) announces a share repurchase program. Under the program, the company will repurchase up to €1,650 million worth of its common shares. The purpose of the program is to reduce registered share capital of the company or to be used to transfer shares to employees of the company or a group company within the framework of an employee share program. The program will be valid till April 30, 2027. New Risk • May 09
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 4.7% Last year net profit margin: 6.9% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (7.7% operating cash flow to total debt). Minor Risks Paying a dividend despite having no free cash flows. Profit margins are more than 30% lower than last year (4.7% net profit margin). Reported Earnings • May 09
First quarter 2025 earnings: Revenues miss analyst expectations First quarter 2025 results: Revenue: €33.8b (down 7.8% from 1Q 2024). Net income: €2.10b (down 25% from 1Q 2024). Profit margin: 6.2% (down from 7.6% in 1Q 2024). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 3.6%. Revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 2.2% growth forecast for the Auto industry in Germany. Upcoming Dividend • May 08
Upcoming dividend of €4.30 per share Eligible shareholders must have bought the stock before 15 May 2025. Payment date: 19 May 2025. Payout ratio is a comfortable 37% but the company is not cash flow positive. Trailing yield: 5.7%. Within top quartile of German dividend payers (4.4%). Lower than average of industry peers (6.4%). Announcement • Apr 17
Lyft, Inc. (NasdaqGS:LYFT) entered into a definitive agreement to acquire Intelligent Apps GmbH from Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) for €175 million. Lyft, Inc. (NasdaqGS:LYFT) entered into a definitive agreement to acquire Intelligent Apps GmbH from Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) for €175 million on April 16, 2025. The transaction will be financed with the available cash in hand. Intelligent Apps will continue operating as it does today, with its talented leadership team and employees.
The transaction subject to customary closing conditions and regulatory approvals and is expected to close in the second half of 2025.
Guggenheim Securities, LLC acted as financial advisor for Lyft, Inc. Baker & McKenzie LLP acted as legal advisor for Lyft, Inc. Lazard & Co. GmbH acted as financial advisor for Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft. DLA Piper Germany acted as legal advisor for Mercedes-Benz Mobility AG and Bayerische Motoren Werke Aktiengesellschaft. Announcement • Apr 15
BMW Launches All New BMW 5 Series with V2X Technology in China, Cooperating with JOYNEXT to Build Smart Cities Starting from January 2025, BMW has released its All-New BMW 5 Series equipped with JOYNEXT's Vehicle-to-Everything (V2X) technology in China, marking BMW's first model to feature integrated V2X capabilities. This cooperation not only accelerates the promotion of smart connectivity technology but also demonstrates BMW's firm commitment to more profound local cooperation in China, and the drive for ecological development and innovation within the industry. V2X is one of the key technologies that are turning advanced intelligent vehicles and autonomous driving into a reality. It ensures vehicle-road-cloud communication, providing a large variety of proactive safety information. The risk of traffic accidents could be reduced through real-time warning of potential collision hazards. The all-new BMW 5 Series that integrate V2X technology will help users to enjoy safer and smarter travel experience and further enhance travel efficiency. Declared Dividend • Mar 23
Dividend reduced to €4.30 Dividend of €4.30 is 28% lower than last year. Ex-date: 15th May 2025 Payment date: 19th May 2025 Dividend yield will be 5.4%, which is lower than the industry average of 6.1%. Sustainability & Growth Dividend is covered by earnings (37% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 4.0% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 28% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 18
BMW AG Appoints Joachim Post as Its New Head of Development, Effective June 1, 2025 BMW AG has appointed Joachim Post as its new head of development effective June 1, 2025. Post is to succeed Frank Weber. He joined BMW and has served as a member of the board of management for purchasing and supplier network. Reported Earnings • Mar 16
Full year 2024 earnings: Revenues miss analyst expectations Full year 2024 results: Revenue: €142.4b (down 8.4% from FY 2023). Net income: €7.29b (down 35% from FY 2023). Profit margin: 5.1% (down from 7.3% in FY 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 3.5%. Revenue is forecast to grow 3.8% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Auto industry in Germany. Announcement • Feb 15
Bayerische Motoren Werke Aktiengesellschaft to Report Fiscal Year 2024 Results on Mar 14, 2025 Bayerische Motoren Werke Aktiengesellschaft announced that they will report fiscal year 2024 results at 7:30 AM, Central European Standard Time on Mar 14, 2025 Announcement • Dec 19
BMW AG Announces Director Changes for Its Subsidiary Mini UK and Ireland Mini UK and Ireland, a subsidiary of BMW AG, has named David Beattie as its new director effective January 1,2025. Beattie was previously responsible for Mini sales from 2018. He joined BMW Group UK in 2005 and has extensive sales and marketing experience. He has been heading BMW Group's used car business since 2023. The new director succeeds Federico Izzo, who has taken a new role as head of Mini Region Europe, after leading the brand through its model line-up relaunch in the UK. Announcement • Dec 16
BMW Group Announces Changes in the MINI Management Team, Effective January 1, 2025 BMW Group announced that Federico Izzo takes over as Head of MINI region Europe. Ulrike von Mirbach assumes responsibility for brand management and marketing of the MINI brand worldwide. Munich. Federico Izzo, currently Head of MINI UK, will take over as Head of the MINI brand for Europe on January 01, 2025. Federico joined the BMW Group in 2007. After various management positions, including Head of Marketing BMW and MINI in Italy and Managing Director of the BMW Group in the Czech Republic, he moved to MINI UK in 2022. As Head of the MINI brand in their home market, he has successfully introduced the new MINI family in the UK. Ulrike von Mirbach, currently heading the MINI brand in Europe, will assume responsibility for brand management and marketing of the MINI brand worldwide on January 01, 2025. At the beginning of her career, she was responsible, amongst others for the BMW brand's marketing strategy in the German market. From 2015 to 2020, she led the marketing of the MINI brand in Germany. In 2021, she took over as Head of the MINI brand in Germany and moved to the European level just one year later. Ulrike von Mirbach has made a significant contribution to preparing and converting MINI sales in Europe, manufacturers and retailers, to the new direct sales model. To date, ten national MINI distributors are working in the new direct sales model. Ulrike von Mirbach's predecessor Sebastian Beuchel will take over as Head of Special Protection Vehicles Sales, Special Customers of the BMW Group on January 01, 2025. Reported Earnings • Nov 07
Third quarter 2024 earnings: Revenues miss analyst expectations Third quarter 2024 results: Revenue: €32.4b (down 16% from 3Q 2023). Net income: €389.0m (down 86% from 3Q 2023). Profit margin: 1.2% (down from 7.0% in 3Q 2023). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 2.8%. Revenue is forecast to grow 2.4% p.a. on average during the next 3 years, compared to a 4.8% growth forecast for the Auto industry in Germany. New Risk • Nov 06
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.5% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (12% operating cash flow to total debt). Earnings are forecast to decline by an average of 0.5% per year for the foreseeable future. Minor Risk Dividend is not well covered by cash flows (dividend per share is over 54x cash flows per share). Major Estimate Revision • Sep 11
Consensus EPS estimates fall by 13% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from €156.8b to €153.2b. EPS estimate also fell from €16.44 per share to €14.34 per share. Net income forecast to shrink 12% next year vs 1.8% decline forecast for Auto industry in Germany. Consensus price target down from €106 to €97.72. Share price fell 12% to €71.08 over the past week. Valuation Update With 7 Day Price Move • Sep 10
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to €68.98, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 5x in the Auto industry in Germany. Total returns to shareholders of 4.1% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €131 per share. New Risk • Sep 10
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.2% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (12% operating cash flow to total debt). Earnings are forecast to decline by an average of 0.2% per year for the foreseeable future. Minor Risk Dividend is not well covered by cash flows (dividend per share is over 54x cash flows per share). Buy Or Sell Opportunity • Aug 05
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 21% to €82.06. The fair value is estimated to be €103, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% over the last 3 years. Earnings per share has declined by 5.7%. For the next 3 years, revenue is forecast to grow by 2.7% per annum. Earnings are also forecast to grow by 0.5% per annum over the same time period. Reported Earnings • Aug 04
Second quarter 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2024 results: EPS: €4.16 (down from €4.39 in 2Q 2023). Revenue: €36.9b (flat on 2Q 2023). Net income: €2.61b (down 6.8% from 2Q 2023). Profit margin: 7.1% (down from 7.5% in 2Q 2023). Revenue missed analyst estimates by 1.3%. Earnings per share (EPS) exceeded analyst estimates by 5.8%. Revenue is forecast to grow 2.7% p.a. on average during the next 3 years, compared to a 2.6% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Buy Or Sell Opportunity • Jul 01
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 16% to €89.14. The fair value is estimated to be €111, however this is not to be taken as a buy recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings are also forecast to grow by 0.6% per annum over the same time period. Buy Or Sell Opportunity • Jun 27
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 18% to €87.96. The fair value is estimated to be €111, however this is not to be taken as a buy recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings are also forecast to grow by 0.6% per annum over the same time period. Buy Or Sell Opportunity • Jun 13
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 16% to €88.26. The fair value is estimated to be €111, however this is not to be taken as a buy recommendation but rather should be used as a guide only. For the next 3 years, revenue is forecast to grow by 2.6% per annum. Earnings are also forecast to grow by 0.6% per annum over the same time period. Upcoming Dividend • May 09
Upcoming dividend of €6.00 per share Eligible shareholders must have bought the stock before 16 May 2024. Payment date: 21 May 2024. Payout ratio is a comfortable 34% but the company is paying out more than the cash it is generating. Trailing yield: 5.9%. Within top quartile of German dividend payers (4.7%). In line with average of industry peers (5.8%). Reported Earnings • May 08
First quarter 2024 earnings: EPS exceeds analyst expectations First quarter 2024 results: EPS: €4.42 (down from €5.33 in 1Q 2023). Revenue: €36.6b (flat on 1Q 2023). Net income: €2.79b (down 18% from 1Q 2023). Profit margin: 7.6% (down from 9.3% in 1Q 2023). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 6.0%. Revenue is forecast to grow 2.8% p.a. on average during the next 3 years, compared to a 3.7% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. New Risk • Mar 25
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 19% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (19% operating cash flow to total debt). Earnings are forecast to decline by an average of 2.1% per year for the foreseeable future. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (7.3% net profit margin). New Risk • Mar 24
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 2.1% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 2.1% per year for the foreseeable future. Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (7.3% net profit margin). Declared Dividend • Mar 17
Dividend reduced to €6.00 Dividend of €6.00 is 29% lower than last year. Ex-date: 16th May 2024 Payment date: 20th May 2024 Dividend yield will be 5.7%, which is lower than the industry average of 6.1%. Sustainability & Growth Dividend is covered by both earnings (49% earnings payout ratio) and cash flows (54% cash payout ratio). The dividend has increased by an average of 13% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 5.5% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 15
BMW Group Middle East Announces Board Appointments Bayerische Motoren Werke Aktiengesellschaft announced that Karim-Christian Haririan, Jean-Philippe Parain and Dr Dr Hamid Haqparwar BMW Group Middle East has announced the appointment of Karim-Christian Haririan as the Managing Director, succeeding Dr Hamid Haqparwar who departs the BMW Group after 18 years with the company. Haririan brings extensive automotive industry experience exclusively with the BMW brand. Starting his career with the company as a sales executive in 1991, he progressed through various roles globally. Notably, he drove regional sales of BMW Group products in diverse global markets, before becoming CEO of BMW Group Greece in 2015. As CEO and Managing Director of BMW Group Poland from 2020 onwards, his achievements include signifi-cantly expanding the brand's growth in various model categories, such as the GKL 7 Series and the high-performance M models. Under his leadership, BMW Group Poland went from 17,000 cars sold in 2020 to 24,000 in 2022. Dr Haqparwar has been a driving force in the company, holding the position as Manager Director of BMW Group Middle East since 2018 and guiding business and sales across 13 markets in the Middle East. He joined the BMW Group in 2006 and since held several key positions in the Middle East, Germany and India, culminating in his role as Managing Director of BMW Group Middle East since 2018. His tenure has been marked by exceptional results and a transformative mobility approach. Under Hamid's leadership, BMW Group Middle East experienced some of the most successful years in the company's history. His leadership was also invaluable during the challenging trials that the company faced, particularly during the Covid-19 pandemic, the company said. Dr Haqparwar and team have also set the strategic direction for the transformation of BMW Group towards sustainable mobility, in addition to corporate and social responsibility in the region. Reflecting a forward-thinking approach and his own expertise, He has extended BMW Group's presence in the realm of esports and blockchain technologies in the region, underscoring the company's dedication to innova-tion and engagement with contemporary trends. New Risk • Feb 12
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 4.9% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 3.4% per year for the foreseeable future. Minor Risks High level of debt (84% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (7.3% net profit margin). Shareholders have been diluted in the past year (4.9% increase in shares outstanding). Announcement • Jan 16
BMW Partner May Sell Stake in Chinese JV Brilliance China Automotive Holdings Limited (SEHK:1114) is in preliminary negotiations to sell its 25% stake in a joint venture with German automaker Bayerische Motoren Werke Aktiengesellschaft (XTRA:BMW) (BMW AG), Bloomberg reported, citing people in the know. Reportedly, carmaker China FAW Group Co., Ltd. is involved in the discussions. The report comes as Brilliance Auto Group Holdings, the parent of Brilliance China, is restructuring its operations after financial difficulties. The company has faced a default on debt payments and regulatory fines. Reported Earnings • Nov 05
Third quarter 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2023 results: EPS: €4.59 (up from €4.26 in 3Q 2022). Revenue: €38.5b (up 3.4% from 3Q 2022). Net income: €2.93b (up 5.4% from 3Q 2022). Profit margin: 7.6% (up from 7.5% in 3Q 2022). Revenue exceeded analyst estimates by 4.6%. Earnings per share (EPS) missed analyst estimates by 7.9%. Revenue is forecast to grow 1.6% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Auto industry in Germany. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has only increased by 13% per year, which means it is significantly lagging earnings growth. 
