Financial Comparison: Volkswagen (VWAGY) and Its Competitors

Volatility and Risk

Volkswagen has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500. Comparatively, Volkswagen’s competitors have a beta of 3.62, meaning that their average stock price is 262% more volatile than the S&P 500.

Valuation & Earnings

This table compares Volkswagen and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Volkswagen	$348.78 billion	$17.97 billion	4.11
Volkswagen Competitors	$47.10 billion	$2.53 billion	16.00

Volkswagen has higher revenue and earnings than its competitors. Volkswagen is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Dividends

Volkswagen pays an annual dividend of $0.65 per share and has a dividend yield of 6.0%. Volkswagen pays out 24.6% of its earnings in the form of a dividend. As a group, “Motor vehicles & car bodies” companies pay a dividend yield of 1.9% and pay out 18.9% of their earnings in the form of a dividend.

Institutional & Insider Ownership

45.8% of shares of all “Motor vehicles & car bodies” companies are owned by institutional investors. 13.7% of shares of all “Motor vehicles & car bodies” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Volkswagen and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Volkswagen	3.77%	6.35%	1.96%
Volkswagen Competitors	-1,554.77%	-26.85%	-9.57%

Summary

Volkswagen beats its competitors on 6 of the 11 factors compared.

About Volkswagen

Volkswagen AG manufactures and sells automobiles primarily in Europe, North America, South America, and the Asia-Pacific. The company operates in four segments: Passenger Cars and Light Commercial Vehicles, Commercial Vehicles, Power Engineering, and Financial Services. The Passenger Cars and Light Commercial Vehicles segment develops vehicles and engines, and light commercial vehicles; and produces and sells passenger cars and related parts. The Commercial Vehicles segment develops, produces, and sells trucks and buses; and offers parts and related services. The Power Engineering segment offers large-bore diesel engines, turbomachinery, special gear units, and propulsion components. The Financial Services segment provides dealer and customer financing, leasing, banking and insurance, fleet management, and mobility services. The company also offers motorcycles. It provides its products under the Volkswagen Passenger Cars, Audi, ŠKODA, SEAT, Bentley, Porsche, Volkswagen Commercial Vehicles, Scania, MAN, Lamborghini, Ducati, and Bugatti brands. Volkswagen AG was incorporated in 1937 and is based in Wolfsburg, Germany. Volkswagen AG operates as a subsidiary of Porsche Automobil Holding SE.