Volkswagen: Stifel still a buyer despite doubts surrounding

(CercleFinance.com) - Stifel maintains its "buy" recommendation on Volkswagen shares, with a target price of 308 euros.


The broker says doubts remain about the future of Herbert Diess, VW's chief executive, even after Tuesday's supervisory board meeting.

Citing German business daily Handelsblatt, Stifel reports that Herbert Diess has not been involved in the next 150-billion euro budget planning cycle for the next five years.

Two options are emerging: continue with a weakened CEO, or replace the person behind the carmaker's electrical and software strategy.

While Diess' contract was extended last July to run until 2025, the supervisory board would already seem ready to cancel it, the analyst said, although he believes that the conflict between Diess and the unions should be resolved one way or another in the next few weeks.

The Volkswagen share is currently flat in Frankfurt.



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