1113 GMT - Volkswagen has the broadest risk-reward ratio in the sector due to its compelling valuation offset by its competitive challenges, Morgan Stanley analysts Javier Martinez de Olcoz Cerdan and Shaqeal A Kirunda write. The auto maker's new guidance could be a step in the right direction, with a reduction in automotive investment and a product pipeline driving earnings ahead of expectations, they say. The outlook for China remains weak for now, with full-year 2025 EBIT expected at 0.5 billion-1 billion euros, down from 1.7 billion euros in 2024, and 2.6 billion euros in 2023. However, the company is taking measures to improve efficiency and become leaner, they add. Shares rise 1.9%. (dominic.chopping@wsj.com)
(END) Dow Jones Newswires
March 11, 2025 07:13 ET (11:13 GMT)
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