Volkswagen AG

XTRA:VOW3 Stock Report

Market Cap: €42.8b

Volkswagen Valuation

Is VOW3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of VOW3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: VOW3 (€82.98) is trading below our estimate of fair value (€374.49)

Significantly Below Fair Value: VOW3 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for VOW3?

Key metric: As VOW3 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for VOW3. This is calculated by dividing VOW3's market cap by their current earnings.
What is VOW3's PE Ratio?
PE Ratio3.4x
Earnings€12.26b
Market Cap€42.85b

Price to Earnings Ratio vs Peers

How does VOW3's PE Ratio compare to its peers?

The above table shows the PE ratio for VOW3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average6.7x
BMW Bayerische Motoren Werke
5.3x5.6%€42.9b
MBG Mercedes-Benz Group
4.6x1.7%€51.0b
P911 Dr. Ing. h.c. F. Porsche
14x11.3%€56.8b
PAH3 Porsche Automobil Holding
2.8x18.5%€10.8b
VOW3 Volkswagen
3.4x9.6%€42.8b

Price-To-Earnings vs Peers: VOW3 is good value based on its Price-To-Earnings Ratio (3.4x) compared to the peer average (6.7x).

Price to Earnings Ratio vs Industry

How does VOW3's PE Ratio compare vs other companies in the Global Auto Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
VOW3 3.4xIndustry Avg. 14.7xNo. of Companies17PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: VOW3 is good value based on its Price-To-Earnings Ratio (3.4x) compared to the Global Auto industry average (14.7x).

Price to Earnings Ratio vs Fair Ratio

What is VOW3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

VOW3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.4x
Fair PE Ratio8.3x

Price-To-Earnings vs Fair Ratio: VOW3 is good value based on its Price-To-Earnings Ratio (3.4x) compared to the estimated Fair Price-To-Earnings Ratio (8.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst VOW3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€82.98
€117.02
+41.0%
18.9%€180.50€84.00n/a21
Nov ’25€88.50
€117.60
+32.9%
18.3%€180.50€84.00n/a21
Oct ’25€93.30
€124.68
+33.6%
20.1%€185.00€84.00n/a21
Sep ’25€96.18
€131.22
+36.4%
17.6%€185.00€97.00n/a21
Aug ’25€99.18
€136.22
+37.3%
17.2%€185.00€100.00n/a21
Jul ’25€106.05
€141.69
+33.6%
16.5%€185.00€100.00n/a21
Jun ’25€115.00
€141.74
+23.3%
16.7%€185.00€100.00n/a21
May ’25€115.15
€142.64
+23.9%
15.8%€185.00€100.00n/a21
Apr ’25€122.84
€142.88
+16.3%
16.0%€185.00€100.00n/a21
Mar ’25€119.16
€140.98
+18.3%
15.6%€185.00€100.00n/a22
Feb ’25€118.18
€138.88
+17.5%
15.8%€185.00€100.00n/a21
Jan ’25€111.80
€140.48
+25.6%
15.9%€190.00€100.00n/a20
Dec ’24€107.02
€138.38
+29.3%
17.2%€190.00€100.00n/a20
Nov ’24€99.79
€141.78
+42.1%
17.1%€190.00€100.00€88.5020
Oct ’24€108.94
€158.31
+45.3%
31.3%€344.00€100.00€93.3021
Sep ’24€108.32
€159.07
+46.9%
30.9%€344.00€100.00€96.1821
Aug ’24€120.00
€162.02
+35.0%
28.9%€344.00€115.00€99.1821
Jul ’24€122.94
€165.69
+34.8%
27.3%€336.00€115.00€106.0521
Jun ’24€118.08
€168.26
+42.5%
28.1%€336.00€115.00€115.0021
May ’24€123.68
€171.75
+38.9%
28.2%€336.00€115.00€115.1522
Apr ’24€125.64
€171.44
+36.5%
29.2%€336.00€111.70€122.8423
Mar ’24€128.50
€173.65
+35.1%
26.9%€295.00€111.70€119.1622
Feb ’24€128.42
€173.74
+35.3%
26.8%€295.00€111.70€118.1822
Jan ’24€116.42
€181.92
+56.3%
27.6%€295.00€111.70€111.8022
Dec ’23€139.38
€187.08
+34.2%
27.0%€295.00€111.70€107.0221
Nov ’23€132.20
€193.14
+46.1%
27.2%€295.00€111.70€99.7920

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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