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https://www.barrons.com/articles/porsche-ipo-could-unlock-value-at-volkswagen-a-tesla-challenger-51662758336

With the exception of Tesla auto makers are out of favor with investors. Their shares carry some of the stock market’s lowest price/earnings multiples. Concerns include an expensive transition to electric vehicles over the next decade, and the sustainability of currently high profitability with a potential recession looming in late 2022 or 2023.

Volkswagen (ticker: VOW3.Germany), the world’s biggest auto maker in annual sales, at $275 billion, is a prime example. Its U.S.-listed preferred shares of Volkswagen (VWAPY)—effectively nonvoting common shares—are down 25% this year to $15, and trade for just four times projected 2022 earnings of $3.50 per share. The shares yield 5% based on VW’s annual dividend, paid earlier this year.

With the exception of Tesla, auto makers are out of favor with investors.

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