The Deutsche Bank has confirmed its buy recommendation for the Mercedes-Benz stock, despite the looming US tariffs on European car imports. This decision is based on the persistently strong demand for Mercedes-Benz vehicles in the US. Deutsche Bank analysts rely on statements from the Chief Financial Officer of Mercedes-Benz, who has expressed confidence in the development of the US market.
Background and Justification
1. Robust US Demand
Deutsche Bank justifies its buy recommendation with the stable demand for Mercedes-Benz vehicles in the US. In the first quarter of 2025, the company was able to increase its car sales in the US by one percent to 67,391 vehicles.
2. Resilience to Geopolitical Uncertainties
Mercedes-Benz is praised for its resilience to geopolitical uncertainties. Deutsche Bank sees no immediate negative impact from the impending US tariffs on the company’s business.
3. Price Target
The price target for the Mercedes-Benz stock has been left at 90 euros. This corresponds to a potential price increase of about 65 to 69 percent compared to the current price level.
Investor Interest
The confirmation of the buy recommendation by Deutsche Bank is of interest to investors as it indicates a positive assessment of the company. Despite the challenges posed by possible tariffs, Mercedes-Benz remains an attractive investment opportunity, particularly due to its strong positioning in the North American market.
Conclusion
Overall, the Mercedes-Benz stock remains a recommended investment for those who believe in the resilience and growth potential of the company. Deutsche Bank is betting on the continued strength of Mercedes-Benz in key markets like the US and China, despite current challenges.