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To own Daimler Truck, you have to believe its push into zero emission and digital freight solutions can offset cyclical pressure in North American trucks and heavy investment needs. The Innoviz LiDAR upgrade fits that thesis by reinforcing the autonomous freight story, but it does not change that near term demand softness and execution on cost and ZEV programs remain the key catalyst and the main risk.
Among recent announcements, the unchanged €1.90 per share dividend proposal for 2024 stands out beside this autonomy news, because it underlines management’s confidence in cash generation while sales and earnings have softened. For investors, that mix of ongoing shareholder returns and heavier R&D into autonomous and zero emission platforms sharpens the focus on whether Daimler Truck can improve margins without overstraining its balance sheet.
Yet investors should also be aware that if North American truck demand weakens again, despite autonomy and ZEV investments, then...
Read the full narrative on Daimler Truck Holding (it's free!)
Daimler Truck Holding's narrative projects €58.3 billion revenue and €3.8 billion earnings by 2028. This requires 3.6% yearly revenue growth and a roughly €1.4 billion earnings increase from €2.4 billion today.
Uncover how Daimler Truck Holding's forecasts yield a €42.06 fair value, a 14% upside to its current price.
Four members of the Simply Wall St Community see Daimler Truck’s fair value between €38.44 and about €60.64, highlighting very different expectations. Set against that wide range, the reliance on a recovery in North American truck demand and successful zero emission rollout gives you strong reasons to compare several viewpoints on what could drive or cap the company’s performance.
Explore 4 other fair value estimates on Daimler Truck Holding - why the stock might be worth just €38.44!
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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