Mercedes-Benz Unveils Battery System for New Flagship Electric Sedan, the EQS
Emission Scandal Impacted FEZ’s Auto Manufacturing Industry
FEZ’s auto manufacturing industry provided a return of -2% in 2015. The emission scandal in September had a negative impact on Volkswagen.
How Ferrari Got Its Start
Ferrari (RACE) is one of the most prestigious brands in the automobile industry. The Italian racing and sports car manufacturer entered the business in 1947.
What Drove Ferrari’s Shipments to the Americas Higher in 1Q17?
In 1Q17, Ferrari’s (RACE) shipments to the Americas rose 4.2% year-over-year to 545 car units from 523 units in 1Q16.
Positive Manufacturing Reports Drive the FEZ Up
The SPDR Euro Stoxx 50 ETF (FEZ) is a US exchange-traded ETF that tracks the performance of the 50 largest companies across the Eurozone.
Eurozone Manufacturing Up in November: Will ECB Boost Stimulus?
In line with the flash estimate, the Eurozone manufacturing PMI rose to 52.8 in November 2015, up 0.5 points from the 52.3 reading in October.
What Are Ferrari’s Key Geographical Markets?
Stable demand and strong brand image have kept Ferrari (RACE) moving forward, regardless of adverse global economic conditions.
How Ferrari Manages to Remain Profitable
By focusing on extraordinary vehicle design and exclusivity, Ferrari is able to sell luxury cars with high-profit margins to end consumers.
Can European Indexes Rally in the Current Global Turmoil?
In the current global scenario, the possibility of further devaluation of the Chinese yuan is a major concern for global equity markets. The Chinese PMI data released on January 31, 2016, indicated a slowdown in the Chinese economy.
How Ferrari’s Formula 1 Racing Team Became So Critical to Its Image
Ferrari spends extravagantly on Formula 1 events, as its Formula 1 racing team has been critical to the brand’s image.
Germany’s Inflation Remains Stable at 0.2% in August
Germany’s inflation data is on the radar of financial investors. As one of the largest economies in Europe, Germany serves as a growth engine for the continent.
Uh Oh: BMW Fell 5.6%, Recalling i8 for Stability Control Problem
On Wednesday, January 13, 2016, the stocks at the bottom of the SPDR Euro STOXX 50 ETF (FEZ) were BMW, Daimler (DDAIF), Deutsche Bank (DB), SAP (SAP), and Siemens (SIEGY).
Société Générale Fell 5.8% and Became FEZ’s Biggest Loser
On Friday, January 15, 2016, Société Générale stock fell 5.8%, putting it at the bottom of the SPDR Euro STOXX 50 ETF (FEZ).
How Ferrari Classifies Its Offerings
Ferrari aims to incorporate the technology of its Formula One racing cars in its sports cars.
Declining oil prices benefit Europe, says Draghi
On Monday, March 17, ECB (European Central Bank) chief Mario Draghi stated that declining oil prices benefit Europe and cited the economic benefits.
Should You Worry about Ferrari’s Flat Revenue in the Americas?
While Greater China accounted for just 9% of the company’s total shipments, it’s still strategically important for Ferrari due to China’s future growth potential.
Ferrari Has Its Own Space in the Luxury Supercar Segment
Ferrari (RACE) is considered a symbol of power, speed, and passion by many motorsport enthusiasts. There are only a few key market players in the luxury supercar segment.
Germany’s Industrial Production Fell, Energy Production Rose
Germany’s IIP (industrial production index) fell by 0.3% month-over-month in November—compared to a revised rise of 0.5% in October 2015.
Analyzing Ferrari’s Separation from Fiat Chrysler Automobiles
In October 2014, Fiat Chrysler Automobiles (FCAU) announced its intentions to spin off Ferrari (RACE) as an independent entity.
Falling Fuel Prices Turned September Euro Area Inflation Negative
According to Eurostat, the euro area annual inflation rate fell to -0.1% in September 2015 against 0.1% in August 2015.
Why Has CIGRX Delivered Below-Average Returns?
The Calamos International Growth Fund – Class A (CIGRX) seems to be cautious about its portfolio positioning for now.
Total Topped FEZ: What Impacted Its Returns?
On December 18, 2015, the stocks at the top of the SPDR Euro STOXX 50 ETF (FEZ) were Total, Muenchener Rueckver, Volkswagen, Sanofi, and ING Groep.
Germany’s Manufacturing Activity Rose to 4-Month High in December
According to Markit, Germany’s manufacturing PMI rose to 53.2 in December 2015, compared to its November level of 52.9 level.
Must-Knows about Tesla’s German Gigafactory 4
During the Golden Steering Wheel awards ceremony, Tesla’s (TSLA) CEO Elon Musk revealed that Berlin was selected for the company’s next Gigafactory.
Daimler Self-Driving Truck Seen in Virginia
Daimler (DDAIF) Trucks, along with Torc Robotics, has tested its SAE level 4 self-driving trucks, which it’s planning to launch commercially.
China Did for Tesla What Trump Didn’t
Tesla CEO Elon Musk visited China last week to attend the World Artificial Intelligence Conference. He also visited Tesla’s Gigafactory in the country.
Daimler Fell, Cut Its 2019 Outlook Due to High Recall Costs
On June 23, Daimler AG (DDAIF) announced a cut in its 2019 outlook. The company expects its 2019 EBIT to be nearly flat compared to the previous year.
Is Tesla Delaying Its Semi Production Plan?
Tesla (TSLA) unveiled its Semi on November 16, 2017. The Semi unveiling event witnessed great fanfare and cheers from the crowd.
How GM Raised Its Bets on Autonomous Vehicles in 2017
In June 2017, General Motors revealed that it had produced 130 units of its Chevrolet Bolt next-generation autonomous vehicles.
Fiat Chrysler’s 1Q17 Performance in Europe Stunned Its US Peers
In 1Q17, Fiat Chrysler’s (FCAU) shipments in the European market rose 11.8% to 340,000 vehicle units, from 304,000 units in the corresponding quarter of 2016.
Euro Depreciation and Its Impact on Trade with the US
As the US economy gains strength, its impact on euro trade comes significant.
GM Saw These Key Developments in 2016
In January 2016, GM launched Maven, its personal mobility car-sharing brand, which provides residential and peer-to-peer car-sharing services.
How Has Modi’s ‘Make in India’ Campaign Performed?
The minister has also stated that FDI inflows to India (EPI) (IFN) rose by a whopping 46% during October 2014 to May 2016 in response to the “Make in India” campaign, which launched in September 2014.
Sector Composition of the Vanguard European Stock Index Fund
The Vanguard European Stock Index Fund’s assets were spread across a staggering 1,250 stocks as of June 2016, and it was managing assets worth $17.8 billion.
What Sets Uber’s Business Model Apart?
In addition to connecting drivers and customers, Uber’s application calculates the charges that a customer needs to pay at the end of the trip.
How Is Gett Benefiting from Uber’s Surge Pricing?
Uber charges higher fares through its surge pricing feature when the demand for rides is high.
How Is Daimler Expanding Its Car-Sharing Business?
In this part, we’ll explore how car2go is helping Daimler expand its presence in the car-sharing business.
Understanding Zipcar’s Business Model
Founded in 2000, Zipcar was one of the car-sharing industry’s early entrants.
Why Are Automakers Jumping into the Car-Sharing Business?
In the last few years, the car-sharing business has grown at a fast pace.
Should Automakers Be Afraid of the Growing Car-Sharing Industry?
In this series, we’ll take a look at the car-sharing industry and its future growth potential.
The Truth behind Ferrari’s Margin Expansion in 1Q16
In 1Q16, Ferrari reported adjusted EBITDA of 178 million euros, or about $202.9 million, with an EBITDA margin of 26.3%, as compared to 25.7% in 1Q15.
Sector Composition Changes in VEURX until 1Q16
The Vanguard European Stock Index Fund – Investor Shares’ (VEURX) assets were spread across a staggering 1,249 stocks as of March 2016. It was managing assets worth $19.0 billion.
How Success with Motorsports Boosted Harley-Davidson’s Brand Image
Harley-Davidson has established a significant name in the field of motorcycle racing.
German Ifo Business Climate Index Rebounded from a 14-Month Low
The Ifo Business Climate Index for Germany rebounded in March from a 14-month low in February. It rose to 106.7 in March—compared to 105.7 in February.
Competition in Car-Sharing: A Different Kind of Car Race for GM
Car2go is the largest car-sharing service provider in the world. It could be seen as the biggest competition for GM’s ambitious car-sharing program, along with Uber and Zipcar.
Key Brands Under General Motors’ Umbrella
Cadillac is the most popular luxury car brand in General Motors’ portfolio. It was established with the foundation of the Cadillac Automobile Company.
What Should We Think About the Passive Offering of VEURX?
VEURX is a passively managed index fund. So its fund manager can’t take active bets and has to follow the allocation of the underlying benchmark.
Can Car-Sharing Keep General Motors on Top of the US Auto Market?
In January 2016, General Motors entered into a strategic alliance with Lyft, a car-sharing service. This could be seen as a hedge against a possible downturn in the US auto demand.
Key Geographical Markets for General Motors
Since General Motors’ beginning, North America has been its most important market. North America alone accounted for ~70% of GM’s total revenues in 2015.
CIGRX Had a Mediocre Year until February
From a purely NAV (net asset value) return standpoint, the CIGRX had a poor one-year period until February 29, 2016.
A Look at Ford Motor Company’s Humble Beginnings
Being born and raised in a farmer family, Henry Ford had the vision to produce a vehicle for the masses. This encouraged him to produce the Model T.
The Vanguard European Stock Index Fund: A Forgettable Year?
The Vanguard European Stock Index Fund (VEURX) is by far the largest fund in this review by asset size.
What to Expect from GM’s Strategic Alliance with Lyft in 2016
In January 2016, General Motors announced that it would launch a car-sharing service in 1Q16 with the help of its strategic partner Lyft.
Could Tesla’s Margins Surprise the Market in 2016?
Tesla (TSLA) has industry-leading gross margins, which are better than those of other auto industry giants such as Ford Motor Company and General Motors.
Tesla’s Model 3 and Gigafactory Will Be Key Growth Drivers in 2016
Being a fairly new automaker, Tesla Motors’ valuation multiples are not comparable with other industry giants such as Ford, General Motors, and Toyota.
Eurozone Manufacturing Eased in January
In-line with the flash estimate, the Eurozone’s manufacturing PMI (purchasing manufacturers’ index) stood at 52.3 in January 2016.
What Is Ferrari’s Current Valuation?
Ferrari is expected to witness high growth in earnings with relatively lower leverage than the industry average. This could be a reason why Ferrari has a high forward price-to-earnings multiple.
UniCredit Fell 6.4%, Emerged as FEZ’s Biggest Loser
On Monday, January 25, 2016, the stocks at the bottom of the SPDR Euro STOXX 50 ETF (FEZ) were UniCredit, Deutsche Bank, Banco Santander, and Daimler.
Financial Picks Backfired for VEUAX in 2015
The JPMorgan Intrepid European Fund – Class A (VEUAX) fell 1.3% in December 2015 from a month ago.
Eurozone Flash Composite PMI Fell 53.5, Business Activity Cools
With the reading above neutral, the Eurozone continued its upturn in business activity. Though at a 12-month low, the services PMI rose to 53.6 in January
Is Germany Ready to Take Asylum Seekers?
The current refugee crisis is growing in Europe (HEDJ) due to the conflict between Germany (EWG) and the United Kingdom (EWU).
Oil and Gas Push FEZ Up, Auto Manufacturers Drag It Down
Overview of FEZ’s performance on January 13 As we discussed previously in this series, as global growth worries weighed on the market during the previous day’s trading, global markets fell drastically on Wednesday, January 13, 2016. The SPDR EURO STOXX 50 ETF (FEZ) and the iShares MSCI EMU Index ETF (EZU) returned 2.08%, and 1.97%, […]
Is Ferrari Racing on a Rough Road?
Ferrari is expected to face competition in the coming years from global automobile giants like Volkswagen (VLKAF) and Daimler (DDAIF).
Moving Average Analysis of FEZ’s Auto Manufacturing Industry
On Tuesday, January 5, 2016, the auto manufacturing industry provided the highest negative return of 1.5% to the performance of the SPDR Euro STOXX 50 ETF (FEZ).
FEZ Was Weighed Down by Auto Manufacturing Industry
The auto manufacturing industry was the biggest loser with a negative return of 1.5% on Tuesday, January 5, 2016. Volkswagen (VLKAY) stock alone fell 2.8%.
Germany Inflation Rate Dipped in December
According to Germany’s Federal Statistical Office (Destatis), Germany’s December inflation rate is expected to come in at 0.3% on a YoY (year-over-year) basis as compared to 0.4% in November 2015.
Volkswagen Fell 6.6% as US Filed Suit for Violating Clean Air Act
On Monday, January 4, 2016, the United States Department of Justice filed a civil lawsuit against Volkswagen for violating the Clean Air Act.
Global Markets Fall Sharply after Shanghai’s Massive Sell-Off
On Monday, January 4, 2016, China’s Shanghai Composite Index fell a huge 7%, sending jitters throughout the global market. It came on the back of fresh fears over China’s economic growth.
Anheuser-Busch Rose by 22% in 2015
Anheuser-Busch (BUD) provided the positive return of 22% in FEZ in 2015. Currently, the stock is trading at 114.6 euros. Its 52-week high is 119.65 euros.
Deutsche Post Topped FEZ, Offers Tracking for International Mail
On December 21, FEZ’s top stocks were Deutsche Post, Volkswagen (VLKAY), ASML Holdings (ASML), Deutsche Bank (DB), Unicredit (UNCFF), and Daimler (DDAIF).
Can Extended Stimulus Measures Help Europe-Focused Mutual Funds?
The European Central Bank expanded stimulus measures for the Eurozone on December 3, 2015, by reducing its deposit rate by ten basis points to -0.3%.
Oil and Gas Industry Pushed FEZ Up
The oil and gas industry provided the highest positive return of 0.8% on December 22, 2015. Oil prices rose yesterday. They paused the downtrend.
What’s the Eurozone’s Growth Forecast for 2016?
The EU’s major economies like France (EWQ), Germany (EWG), and the United Kingdom (EWU) could witness a growth rate of 1% or more than in 2016.
Household Consumption Expenditure to Boost the Eurozone Economy
In 2015, the Eurozone economy advanced at a slower rate of 0.3% in 3Q15 with an increase in household consumption expenditure.
SAP Topped FEZ, Released Newest Version of CRM Solution
On December 14, 2015, the stocks at the top of the SPDR Euro STOXX 50 ETF (FEZ) were Deutsche Post, BMW, SAP, Daimler, Deutsche Bank, and Carrefour.
Auto Manufacturing Industry Emerged as FEZ’s Biggest Loser
On Friday, December 11, 2015, auto manufacturing stocks emerged as the biggest losers for the SPDR Euro STOXX 50 ETF (FEZ). Daimler, BMW, and Volkswagen fell 4.5%, 4%, and 3.5%, respectively.
Auto Manufacturers Led FEZ, Banking Dragged It Down
On December 10, 2015, the auto manufacturing industry yielded the highest positive return of 2.5% within the SPDR Euro STOXX 50 ETF (FEZ). Auto manufacturing constitutes 7% of FEZ’s holdings.
Inflation and Economic Growth Forecasts Drive Monetary Policy
Policymakers feel that the ECB monetary policy actions have been effective and have contributed towards their objective.
Germany’s Manufacturing Activity Rose at a Modest Rate in November
Germany’s manufacturing PMI rose to 52.9 in November 2015, up 0.8 points from October’s reading of 52.1 in October.
ING Groep Lifts FEZ with a Rise of 1.2%
ING Groep (ING) provided the highest individual as well as weighted return in FEZ on November 27, 2015. The individual return was 1.2%.
Tesla’s Post-3Q15 Hopes for 30% Gross Margins over Next 18 Months
In 3Q15, Tesla saw gross profits of $231 million, a 24.7% margin on a GAAP basis. But it posted non-GAAP gross profits of $312 million with a 25.1% margin.
Projections for Tesla’s 3Q15 Gross Margins and Drivers
Tesla is expected to post gross profits of $304 million in 3Q15 at a margin of 24.5%. Its gross profit margins are more in the ballpark of luxury carmakers.
How a Weaker Euro Helps European Stocks
European stocks have benefited from the weak euro. Not only do exports look attractive to Americans, large-cap European companies also gain from currency translation.
Vehicle leasing is driven by life cycles and innovation
There are higher maintenance and repair costs as a car gets older. This supports the option of leasing a vehicle.
Government regulations push auto research and development
Auto firms invest huge amounts of money in research and development. They have to develop more fuel-efficient models to meet government regulations.
Why the automotive industry generates employment
The automotive sector plays a crucial role in job creation. Car manufacturing activity has an employment multiplier value of five.