Should I buy Volkswagen stock in 2025? Expert Guide for Irish Investors
Is Volkswagen stock a buy right now?
Volkswagen AG, listed on XETRA in Germany, is currently trading at approximately €96.48 with an average daily trading volume of 1.36 million shares. Over the past year, the stock has experienced moderate volatility, constrained by sector-wide headwinds and internal restructuring but recovering solidly from its six-month lows. The latest results show pressures on operating margins and a slight dip in Chinese sales, yet Volkswagen remains fundamentally robust. Notably, the recently announced €5.8 billion strategic partnership with Rivian positions the group at the cutting edge of electric vehicle software and systems, an essential move in the competitive EV landscape. Technical indicators point towards a strong buy, bolstered by a well-diversified brand portfolio (Audi, Porsche, Bentley, Lamborghini) and a dividend yield of 6.64%, attractive by European large-cap standards. While investor sentiment has been neutral to slightly cautious, mounting evidence of successful cost discipline and rapid EV expansion suggests confidence is likely to improve. With a consensus target price of €125.42—supported by over 29 national and international banks—Volkswagen stands out in the automotive sector for its blend of resilience, innovation, and income potential. As the group escalates its electrification strategy, the current market context offers investors a moment to reassess Volkswagen’s standing in a rapidly evolving mobility market.
- ✅Leading electric vehicle orders in Western Europe with 88% growth in 2024.
- ✅Robust 6.64% dividend yield, higher than most sector peers.
- ✅Strong technical signals indicate continued upward momentum in the short term.
- ✅Diverse premium brand portfolio covers all automotive market segments.
- ✅Strategic Rivian alliance accelerates software innovation and cost competitiveness.
- ❌Short-term margin pressure from elevated restructuring costs in Germany.
- ❌Recent year-over-year sales dip in China tempers near-term global performance.
- ✅Leading electric vehicle orders in Western Europe with 88% growth in 2024.
- ✅Robust 6.64% dividend yield, higher than most sector peers.
- ✅Strong technical signals indicate continued upward momentum in the short term.
- ✅Diverse premium brand portfolio covers all automotive market segments.
- ✅Strategic Rivian alliance accelerates software innovation and cost competitiveness.
Is Volkswagen stock a buy right now?
- ✅Leading electric vehicle orders in Western Europe with 88% growth in 2024.
- ✅Robust 6.64% dividend yield, higher than most sector peers.
- ✅Strong technical signals indicate continued upward momentum in the short term.
- ✅Diverse premium brand portfolio covers all automotive market segments.
- ✅Strategic Rivian alliance accelerates software innovation and cost competitiveness.
- ❌Short-term margin pressure from elevated restructuring costs in Germany.
- ❌Recent year-over-year sales dip in China tempers near-term global performance.
- ✅Leading electric vehicle orders in Western Europe with 88% growth in 2024.
- ✅Robust 6.64% dividend yield, higher than most sector peers.
- ✅Strong technical signals indicate continued upward momentum in the short term.
- ✅Diverse premium brand portfolio covers all automotive market segments.
- ✅Strategic Rivian alliance accelerates software innovation and cost competitiveness.
- What is Volkswagen?
- How much is Volkswagen stock?
- Our full analysis on Volkswagen stock
- How to buy Volkswagen stock in Ireland?
- Our 7 tips for buying Volkswagen stock
- The latest news about Volkswagen
- FAQ
What is Volkswagen?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | Germany | Global automaker with a strong base and history in the European market. |
💼 Market | XETRA (Deutsche Börse) | Listed on Germany’s leading stock exchange, offering high liquidity for investors. |
🏛️ ISIN code | DE0007664039 | Identifies Volkswagen's preferred stock for international trading and portfolio allocation. |
👤 CEO | Oliver Blume | New leadership focused on restructuring and advancing electric mobility strategies. |
🏢 Market cap | €48.86 billion | Valuation reflects restructuring challenges and margin pressure in 2024. |
📈 Revenue | €324.7 billion (2024) | Slight growth year-over-year amid weak car sales, especially in China. |
💹 EBITDA | €27.2 billion (2024 est.) | Healthy EBITDA, but lower operational margin signals cost pressures. |
📊 P/E Ratio (Price/Earnings) | 5.20 | Low ratio suggests undervaluation but reflects current earnings and competitive challenges. |
How much is Volkswagen stock?
The price of Volkswagen stock is falling this week. Currently trading at €96.48, the share is up 0.69% over the past 24 hours but down 0.6% for the week. Volkswagen's market capitalisation stands at €48.86 billion, with an average 3-month volume of 1.36 million shares.
Metric | Value |
---|---|
P/E ratio | 5.20 |
Dividend yield | 6.64% |
Beta | 1.07 |
The stock shows a P/E ratio of 5.20, a solid dividend yield of 6.64%, and a beta of 1.07, reflecting moderate market volatility. Investors should note this mix of attractive valuation and higher yield, but also the potential for market swings.
Compare the finest brokers in Ireland and find the best one for you!Compare brokersOur full analysis on Volkswagen stock
Having examined Volkswagen’s latest financial reports and its share price performance over the last three years, we have integrated a multi-source analysis—combining up-to-date financial metrics, technical indicators, market dynamics, and a comparative sector review—using our proprietary financial algorithms. Drawing on this comprehensive approach, several clear bullish signals emerge. So, why might Volkswagen stock once again become a compelling and strategic entry point into the global automotive and mobility technology sector in 2025?
Recent Performance and Market Context
Volkswagen’s (VOW3) shares are currently trading at €96.48 on XETRA as of 30 May 2025, marking an intraday gain of +0.69%. This level stands approximately 19.5% above its six-month low, reflecting a confident upward movement over the medium term, even if the 12-month performance remains down (-15.7%) due to sector-wide challenges in 2024. Notably, the past six months have seen a steady recovery as investors increasingly anticipate positive impacts from the group’s strategic shift towards electrification, premium branding, and operational efficiency.
On the macro front, the European consumer discretionary sector has benefited from stabilising inflation, improving consumer sentiment, and sustained government support for electric vehicle (EV) infrastructure. These trends are especially favourable in Ireland and wider Europe, where policy incentives align closely with Volkswagen’s core business objectives. Positive recent events, notably the announcement of a $5.8 billion strategic joint venture with Rivian—focused on next-generation electric vehicle software and platforms—have attracted renewed market interest and positioned Volkswagen as an innovation frontrunner among legacy automotive names.
In summary, the combination of a recovering stock price and an improving macroeconomic backdrop strongly supports the view that Volkswagen may be entering a more attractive phase for shareholders seeking exposure to both traditional and future-facing mobility solutions.
Technical Analysis
- Relative Strength Index (RSI–14 days): At 57.67, RSI stands in neutral territory but is edging closer to the positive 60-mark, suggesting minimal overbought risk and solid potential for further upside.
- MACD (12,26,9): A strongly positive reading at +1.65 indicates robust buying momentum, reinforcing the short-term bullish case.
- Moving Averages:
- 20-day: €94.56 (buy signal)
- 50-day: €91.29 (buy signal)
- 100-day: €91.82 (buy signal)
- 200-day: €87.93 (buy signal)
- Each average now sits below the current price, forming a strong support base and highlighting a clear upward trend since late November 2024.
- Key Supports: Well-established at €94.88-96.47, €87.07, and the €83.84-85.36 range, providing multiple technical “floors” that enhance downside protection.
- Consensus Signals: With 17 out of 22 major technical indicators now bullish, the momentum structure is robustly tilted towards further upward movement.
Taken together, these indicators suggest Volkswagen stock is staging a strong technical recovery and may be entering the early stages of a new bullish cycle.
Fundamental Analysis
Volkswagen’s fundamental position continues to warrant a positive outlook despite short-term margin pressure. The group closed 2024 with €324.7 billion in annual revenue, a modest but significant +0.8% year-on-year increase against a challenging global backdrop. Its operating result, while down 15% at €19.1 billion, still reflects underlying profitability and resilience.
Valuation remains a noteworthy advantage:
- Price/Earnings Ratio (TTM): At 5.2, Volkswagen trades at a deep discount compared to global auto peers such as Tesla or Mercedes-Benz, both of which command higher multiples without necessarily offering superior brand breadth or technological roadmaps.
- Dividend Yield: A headline yield of 6.64% (€6.36 per share), amongst the highest in the sector, further underpins shareholder value and mitigates short-term volatility.
- Premium Brands Portfolio: Ownership of Audi, Porsche, Bentley, and Lamborghini ensures exposure to high-margin, defensible market segments.
- Innovation Pipeline: Aggressive R&D budget allocations underline Volkswagen’s commitment to electrification and software-driven mobility—key growth pillars for the coming decade.
Strategically, Volkswagen’s geographic expansion in the US and advances in Western European EV sales (+88% orders in 2024) point to a robust, diversified topline outlook—particularly as the Rivian partnership promises to close the “software gap” with leading EV disruptors.
Volume and Liquidity
With an average daily trading volume of 1.36 million shares, liquidity in Volkswagen’s preference shares remains ample, supporting dynamic price discovery and granting investors sufficient flexibility to manage positioning. This robust level of activity, combined with a substantial free float, signals a high degree of market confidence and offers a cushion against excessive volatility—features particularly important for Irish and European institutional portfolios where liquidity risk is a core consideration.
Moreover, durable trading volumes reinforce the validity of recent technical signals and suggest renewed institutional interest—a crucial factor when seeking confirmation of a trend reversal.
Catalysts and Positive Outlook
The upcoming months offer a unique constellation of bullish catalysts:
- Rivian Partnership: The $5.8 billion joint venture stands as a transformational milestone, accelerating the development of sophisticated EV platforms and next-gen software. This move has the potential to reposition Volkswagen as not merely a follower, but a category leader in automotive tech.
- ESG and Electrification Offensive: The group’s EV orders in Western Europe surged by 88% in 2024, vindicating its commitment to sustainable mobility and ensuring compliance with tightening EU environmental mandates. In the Irish context, with burgeoning demand for clean transport, these trends are doubly relevant.
- Cost Restructuring: Aggressive work is underway to streamline German operations—targeting reductions in fixed costs that can rapidly restore operating margin leverage.
- Geographic Diversification: Ongoing expansion of US operations introduces an additional driver of revenue growth, lessening dependence on the Chinese market (where a 10% sales contraction was seen in 2024).
- Premium Brand Strength: Audi, Porsche, Bentley, and Lamborghini continue to deliver robust profitability, supporting group stability across cycles.
Collectively, these drivers position Volkswagen to benefit from both structural and cyclical tailwinds throughout 2025 and beyond.
Investment Strategies
For investors considering Volkswagen, several entry points and strategies seem attractive given the current market structure:
- Short-term positioning: With technical supports just below the current levels (€94.88–96.47), tactical entry during minor pullbacks could capture further upside, powered by imminent corporate updates or sector-wide rallies.
- Medium-term view: With the July 2025 earnings release and subsequent updates on the Rivian partnership likely to act as catalysts, a holding strategy through Q3 and Q4 appears strongly justified.
- Long-term conviction: The ongoing transition to electrification, substantial R&D investment, and embedded value in the group’s premium brands—including exposure to luxury, performance, and emerging tech—support a multiyear accumulation strategy. The attractive P/E, premium yield, and deep discount to fair value underpin the risk/reward profile, especially at current valuations well off 52-week highs.
Positioning ahead of further confirmation from restructuring achievements or EV technology pivots may present a favourable risk/reward equation—particularly for investors seeking both yield and capital appreciation potential.
Is It the Right Time to Buy Volkswagen?
Taking all factors into account, Volkswagen’s current share price and strategic roadmap seem to represent an excellent opportunity for investors wishing to access the intersection of legacy automotive strength and transformative mobility innovation. The group’s demonstrated ability to adapt, impressive R&D muscle, sector-leading premium portfolio, and above-average yield provide a strong margin of safety. With robust technical indicators, ample trading liquidity, and a raft of upcoming value-catalysts, the conditions are aligning for renewed upside.
While the group faces challenges—notably margin pressures and evolving global demand patterns—the fundamentals, technical structure, and strategic initiatives justify clear renewed interest. The evidence increasingly points to Volkswagen entering a new bullish phase, with several catalysts on the horizon that may support significant share price appreciation.
For investors and institutions focused on quality names at an inflection point, Volkswagen stock appears to offer a compelling blend of defensive value, growth optionality, and income, all while trading at a notable discount to intrinsic worth. The moment may well be approaching when Volkswagen reclaims its position as a cornerstone investment in the evolving landscape of global mobility and technology.
The conviction is strong: in the current context, Volkswagen may be approaching an inflection point that offers rare upside potential for discerning investors positioned for the future of automotive innovation.
How to buy Volkswagen stock in Ireland?
Buying Volkswagen stock online is straightforward and secure when you use a regulated broker. Irish investors can easily choose between two main approaches: buying shares outright (spot buying, also called cash purchase) or trading Volkswagen via CFDs (Contracts for Difference), each offering different opportunities and risks. Both options can be accessed via digital platforms with user-friendly interfaces and robust protections. To help you make the best choice for your needs, you'll find a broker comparison further down the page.
Spot Buying
A cash purchase means you buy actual Volkswagen shares that are held in your name, giving you ownership rights—such as receiving dividends and participating in shareholder votes. Most brokers charge a fixed commission per order, generally between €3 and €9 for Irish retail investors.
Example
Let's look at a practical example: If the Volkswagen share price is €96.48, a €1,000 investment (about $1,087 USD) lets you buy approximately 10 shares (€964.80), factoring in a modest brokerage fee of €5. Gain scenario: If the share price increases by 10%, your stake is now worth €1,100—resulting in a €100 gross gain, or +10% on your investment.
Trading via CFD
CFD trading lets you speculate on Volkswagen’s price movements without owning the underlying shares. CFDs are leveraged products, which means you can open a position larger than your initial deposit. Typical fees include the spread (difference between buy and sell price) and overnight financing costs for holding leveraged positions.
Example
For example, opening a CFD position with €1,000 and 5x leverage gives you a market exposure of €5,000. Gain scenario: If Volkswagen shares rise by 8%, your position gains 8% x 5 = 40%, resulting in a €400 gain on your €1,000 investment (excluding fees).
Final advice
Before investing, it’s essential to compare brokers’ fee structures, trading platforms, and service conditions. Each investor’s optimal choice will depend on their financial goals, risk tolerance, and investment style. To find the most suitable option for you, consult the broker comparison further down the page. Investing in Volkswagen can be a rewarding step towards building a diversified portfolio—when suited to your profile and objectives.
Compare the finest brokers in Ireland and find the best one for you!Compare brokersOur 7 tips for buying Volkswagen stock
📊 Step | 📝 Specific tip for Volkswagen |
---|---|
Analyse the market | Examine Volkswagen’s recent stock performance and sector outlook, focusing on the company’s electric mobility strategy and German market context. European policy and green incentives can strongly influence Volkswagen shares. |
Choose the right trading platform | Opt for an Irish or EU-regulated trading platform that offers access to XETRA (Deutsche Börse), clear EUR conversion, and cost-effective commissions for trading Volkswagen. |
Define your investment budget | Decide in advance how much you can invest in Volkswagen, keeping in mind recent volatility and the stock’s exposure to global risks. Diversify to spread risk, especially if this is your first German stock holding. |
Choose a strategy (short or long term) | Due to ongoing restructuring and the Rivian partnership, consider a long-term buy-and-hold approach, allowing time for strategic initiatives to reflect in Volkswagen’s share price. |
Monitor news and financial results | Stay updated with Volkswagen’s quarterly reports, major partnership announcements, and fleet electrification updates, as these often trigger significant price movements. |
Use risk management tools | Set stop-loss orders or alerts at key support levels (for example, €94.88), and use position sizing to limit exposure if wider European auto stocks turn volatile. |
Sell at the right time | Plan to take profits at technical peaks or near resistance zones (such as €103.50 or above), or before anticipated negative news, to secure gains from Volkswagen’s cyclical moves. |
The latest news about Volkswagen
Volkswagen's partnership with Rivian secures €5.3 billion investment in electric vehicle software development. In the past week, Volkswagen AG confirmed the launch of a strategic joint venture with Rivian, focusing on electric vehicle (EV) software and electronic systems. This substantial €5.3 billion investment is aimed at accelerating innovation and reducing future EV ownership costs, addressing industry demands for modern, connected vehicles. The collaboration, officially announced and backed by both companies’ boards, is designed to reinforce Volkswagen’s competitive edge in Europe and globally. Given Ireland's ambitious EV transition goals and the VW Group's strong presence—particularly through the popular Audi, Volkswagen, and Skoda brands—this partnership signals a notable technological upgrade in models distributed locally, fostering greater consumer confidence and supporting government decarbonization targets.
Technical analysis indicates a strong buy signal, driven by bullish momentum across key moving averages and technical indicators. As of May 30, 2025, Volkswagen’s technical outlook is particularly positive: twelve out of its main moving average indicators and seventeen other technical signals all point to a strong buy recommendation. The stock price (€96.48) remains above all major moving averages (20, 50, 100, and 200-day), suggesting sustained upward momentum. Despite a slight weekly decline (-0.6%), the six-month gain of +19.52% reflects strong recovery and resilience. This technical environment is favorable for Irish investors seeking exposure to international automotive leaders, especially in light of dividend yields and sector momentum.
Dividend yield remains attractive at 6.64%, reinforcing Volkswagen as a viable income asset for Irish portfolios. Following its most recent ex-dividend date on May 19, 2025, Volkswagen offers a dividend yield well above sector averages at 6.64% (€6.36 per share), providing substantial income potential. For Irish investors accustomed to Euro-denominated blue chips and focused on long-term accumulation, this steady payout is a constructive factor, especially given the European Central Bank’s stable rate outlook and ongoing demand for income-generating equities.
Volkswagen's EV sales in Western Europe surged by 88% in 2024, with positive spillover effects in Ireland. Official figures reveal that Volkswagen’s orders for electric vehicles in Western Europe rose 88% year-on-year, reflecting consumer demand and rapid market adaptation. In Ireland specifically, Volkswagen is a dominant player in the EV market—most notably with the ID.3, ID.4, and Audi e-tron models regularly leading local registrations. The group’s robust performance in this segment aligns with Ireland’s climate policy and supports the expansion of EV infrastructure, directly benefiting local dealers and reinforcing Volkswagen’s regional leadership.
Ongoing cost-cutting and operational restructuring aim to boost competitiveness and margins, sustaining investor optimism. Volkswagen is advancing a major restructuring, particularly in its German operations, to optimize its cost base and streamline production. These measures target improved operational efficiency and competitiveness, essential given price pressures and evolving global demand. For Irish institutional investors and wealth managers tracking European multinationals, successful execution of such restructuring bodes well for improving margins and future profitability, despite recent short-term earnings pressure. This constructive corporate strategy, combined with expanding EV and premium portfolios, underlines attractive long-term prospects for Volkswagen shareholders in Ireland.
FAQ
What is the latest dividend for Volkswagen stock?
Volkswagen currently pays a dividend. The latest dividend is €6.36 per share, with the ex-dividend date set for 19 May 2025. This results in a yield of 6.64%, which is considered attractive for the sector. Historically, Volkswagen has maintained robust dividend payments, supporting its reputation as a reliable income stock despite recent profit challenges.
What is the forecast for Volkswagen stock in 2025, 2026, and 2027?
Based on recent market data, the projected Volkswagen share price is €125.42 at the end of 2025, €144.72 at the end of 2026, and €192.96 at the end of 2027. These forecasts reflect potential upside as the company accelerates its electric vehicle strategy and benefits from strategic partnerships, particularly with Rivian.
Should I sell my Volkswagen shares?
Holding onto your Volkswagen shares may be appropriate for long-term investors. The company combines a strong brand portfolio with active restructuring and innovation in electrification. While recent results showed pressure, technical indicators remain bullish, and the price-to-earnings ratio is relatively low. With ongoing transformation and sector tailwinds, Volkswagen’s fundamentals suggest long-term value.
How are dividends and capital gains from Volkswagen shares taxed for Irish investors?
Dividends from Volkswagen are subject to German withholding tax and are also taxable at standard Irish income tax rates. Capital gains on disposal of shares are liable to Irish Capital Gains Tax. Volkswagen shares are not eligible for tax-advantaged investment schemes like the Irish Approved Retirement Fund (ARF), so investors should plan for these tax obligations when holding foreign stocks.
What is the latest dividend for Volkswagen stock?
Volkswagen currently pays a dividend. The latest dividend is €6.36 per share, with the ex-dividend date set for 19 May 2025. This results in a yield of 6.64%, which is considered attractive for the sector. Historically, Volkswagen has maintained robust dividend payments, supporting its reputation as a reliable income stock despite recent profit challenges.
What is the forecast for Volkswagen stock in 2025, 2026, and 2027?
Based on recent market data, the projected Volkswagen share price is €125.42 at the end of 2025, €144.72 at the end of 2026, and €192.96 at the end of 2027. These forecasts reflect potential upside as the company accelerates its electric vehicle strategy and benefits from strategic partnerships, particularly with Rivian.
Should I sell my Volkswagen shares?
Holding onto your Volkswagen shares may be appropriate for long-term investors. The company combines a strong brand portfolio with active restructuring and innovation in electrification. While recent results showed pressure, technical indicators remain bullish, and the price-to-earnings ratio is relatively low. With ongoing transformation and sector tailwinds, Volkswagen’s fundamentals suggest long-term value.
How are dividends and capital gains from Volkswagen shares taxed for Irish investors?
Dividends from Volkswagen are subject to German withholding tax and are also taxable at standard Irish income tax rates. Capital gains on disposal of shares are liable to Irish Capital Gains Tax. Volkswagen shares are not eligible for tax-advantaged investment schemes like the Irish Approved Retirement Fund (ARF), so investors should plan for these tax obligations when holding foreign stocks.