BMW's influence on the EURO STOXX 50
BMW has a weighting of 0.68% in the EURO STOXX 50 (measured in December 2024). BMW's share price is influenced by factors such as global car sales, commodity prices, inflation and the growth of the electric vehicle market.
Investment analysis & outlook
Below is BMW's share price performance compared to the EURO STOXX 50 over the past five years. While the index achieved a price performance of +43.42%, BMW showed a more modest return of +16.26%. In April 2024, BMW was still on a gain of about 70% compared to four years earlier, but the company failed to maintain this upward trend.
In the second quarter of 2024, it was announced that BMW faced significant challenges, including a recall of 1.5 million vehicles due to defects in the integrated braking system on 2023-2025 models such as the X5 and X7. This led to disruptions in delivery and dealer operations. In addition, the recall of 140,000 electric Mini Cooper SEs was announced due to battery overheating, mainly affecting 2020-2024 vehicles. These developments were discussed at length at the time in the September 2024 BMW article, read it here: BMW: Waiting to buy on the special offer
Despite these headwinds, BMW continues to benefit from growing demand for electric vehicles and premium cars. However, the company does struggle with rising costs for raw materials and batteries, which puts pressure on margins. However, the focus on sustainability and innovation remains a key pillar for future growth. Management has announced ambitious plans to introduce fully autonomous vehicles by 2025 and double sales of electric cars, strengthening BMW's position in the rapidly changing car market.
News & updates
BMW recently announced it will significantly increase its battery production in Germany and the U.S. as part of a €2 billion investment in sustainable technologies. The company is also working with Qualcomm and Nvidia to accelerate its autonomous driving technology.
With a strong focus on electric mobility, digital transformation and sustainability, BMW remains well positioned to benefit from global trends in the automotive industry. For more information about this company, please visit: www.bmw.com.
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