Affärsvärlden gives a neutral rating on carmaker Volvo Cars in an analysis on Monday.
The company held a strategy day last week at which a major product launch was presented. Volvo Cars aims to raise its operating margin to 8 percent.
It was announced over the weekend that Volvo Cars will have a new CEO, German national Klaus Zellmer. He most recently comes from Skoda, which he successfully repositioned from a budget car brand to a more premium one.
“He appears to have a good track record. How successfully he will increase Volvo’s appeal while cutting costs remains to be seen,” the newspaper writes.
The share has had a tough time on the stock market, with a 75 percent decline since its listing at the end of 2021.
“The share’s return potential varies unusually widely across several highly plausible scenarios. The upside in a moderately optimistic base-case scenario is no higher than 30 percent. That is not attractive when the risks are this numerous and substantial. We are staying on the sidelines with a neutral rating,” Affärsvärlden writes.
