Volvo Car: Serious About Electrification

seekingalpha2023-06-29

jetcityimage/iStock Editorial via Getty ImagesIntroduction As my May article says, we’re seeing the transformation to battery electric vehicles (“BEVs”) at Volvo Car (OTCPK:VLVOF)(OTCPK:VLVCY). ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

XR6Chick
2023-06-29
XR6Chick
MX 3O I meant, not BT 50..EDIT
XR6Chick
2023-06-29
XR6Chick
Im all for EVs..but did you know the K Frame in AU for one to replace in a BT50 is 23 thousand dollars. I work with cars, I seen the invoice. A new battery...25k. Point I'm trying o get to is Yes..ride the monetary wave and profit whilnyou can trading...you are going to need every cent you can get in the future to be able to afford to maintain one. EV is not for our environments benefit..it's to make the rich richer..
- Lamborghini1:
  👍
- Nicknamed1:
  [Like]
- Alvin1975:
  U
- ashethen:
  i
- eirsh:
  kok o

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2347384334?lang=en_US&edition=fundamental","thumbnail":"https://static.seekingalpha.com/cdn/s3/uploads/getty_images/1497858456/image_1497858456.jpg","is_english":true,"pubTime":"2023-06-29 16:59","share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","id":"2347384334","market":"us","top_or_hot":-1,"title":"Volvo Car: Serious About Electrification","media":"seekingalpha","content":"<div>\n<p>jetcityimage/iStock Editorial via Getty ImagesIntroduction As my May article says, we’re seeing the transformation to battery electric vehicles (“BEVs”) at Volvo Car (OTCPK:VLVOF)(OTCPK:VLVCY). ...</p>\n\n<a href=\"https://seekingalpha.com/article/4614303-volvo-car-serious-about-electrification\">Source Link</a>\n\n</div>\n","source":"seekingalpha","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Volvo Car: Serious About Electrification</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nVolvo Car: Serious About Electrification\n</h2>\n\n<h4 class=\"meta\">\n\n\n2023-06-29 16:59 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4614303-volvo-car-serious-about-electrification><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>jetcityimage/iStock Editorial via Getty ImagesIntroduction As my May article says, we’re seeing the transformation to battery electric vehicles (“BEVs”) at Volvo Car (OTCPK:VLVOF)(OTCPK:VLVCY). ...</p>\n\n<a href=\"https://seekingalpha.com/article/4614303-volvo-car-serious-about-electrification\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1720051108.HKD","symbol_name":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","start_time":0,"source_url":"https://seekingalpha.com/article/4614303-volvo-car-serious-about-electrification","article_id":"2347384334","we_media_id":null,"thumbnails":["https://static.seekingalpha.com/cdn/s3/uploads/getty_images/1497858456/image_1497858456.jpg"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2347384334","pubTimestamp":1688029171,"sourceInfo":{"source_id":"seekingalpha","name":"Seeking Alpha"},"weMediaInfo":null,"summary":"jetcityimage/iStock Editorial via Getty ImagesIntroduction As my May article says, we’re seeing the transformation to battery electric vehicles (“BEVs”) at Volvo Car (OTCPK:VLVOF)(OTCPK:VLVCY). Moment","collect":0,"end_time":0,"defaultTopTitle":"seekingalpha.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","LU0943347566.SGD":"安联收益及增长平衡基金AM H2-SGD","LU2357305700.SGD":"Allianz Global Artificial Intelligence ET H2-SGD","LU0234570918.USD":"高盛全球核心股票组合Acc Close","LU1839511570.USD":"WELLS FARGO GLOBAL FACTOR ENHANCED EQUITY \"I\" (USD) ACC","BK4585":"ETF&股票定投概念","LU1861559042.SGD":"日兴方舟颠覆性创新基金B SGD","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","LU0053666078.USD":"摩根大通基金-美国股票A（离岸）美元","BK4534":"瑞士信贷持仓","LU0823411888.USD":"法巴消费创新基金 Cap","BK4555":"新能源车","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","LU0082616367.USD":"摩根大通美国科技A（dist）","BK4533":"AQR资本管理(全球第二大对冲基金)","PSNY":"极星汽车","LU0056508442.USD":"贝莱德世界科技基金A2","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","BK4149":"建筑机械与重型卡车","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","BK4527":"明星科技股","LU0234572021.USD":"高盛美国核心股票组合Acc","LU0820561909.HKD":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","BK4550":"红杉资本持仓","BK4588":"碎股","LU2063271972.USD":"富兰克林创新领域基金","BK4551":"寇图资本持仓","NKLA":"Nikola Corporation","BK4574":"无人驾驶","LU0823414478.USD":"法巴经典能源转换基金","LU0097036916.USD":"贝莱德美国增长A2 USD","LU2087621335.USD":"ALLSPRING GLOBAL FACTOR ENHANCED EQUITY \"A\" (USD) ACC","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","BK4581":"高盛持仓","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","LU1720051017.SGD":"Allianz Global Artificial Intelligence AT Acc H2-SGD","LU0316494557.USD":"FRANKLIN GLOBAL FUNDAMENTAL STRATEGIES \"A\" ACC","LU1861215975.USD":"贝莱德新一代科技基金 A2","BK4511":"特斯拉概念","BK4099":"汽车制造商","LU1861558580.USD":"日兴方舟颠覆性创新基金B","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","BK4548":"巴美列捷福持仓","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","TSLA":"特斯拉","LU1551013425.SGD":"Allianz Income and Growth Cl AMg2 DIS H2-SGD","BK4562":"SPAC上市公司","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC"},"translate_title":"沃尔沃汽车：认真对待电气化","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"TSLA":1,"PSNY":1,"NKLA":0.85},"content_text":"jetcityimage/iStock Editorial via Getty ImagesIntroduction As my May article says, we’re seeing the transformation to battery electric vehicles (“BEVs”) at Volvo Car (OTCPK:VLVOF)(OTCPK:VLVCY). Momentum in this area has picked up as Volvo has agreed to join Tesla’s (TSLA) North American Charging Standard (“NACS”). Additionally, the new EX30 SUV BEV discussed at the Capital Markets Update shows a great deal of promise. My thesis is that electrification is being taken seriously at Volvo Cars. At the time of this writing, SEK 100 is about $9.28. NACS The June 27th release repeats the fact that Volvo aims to be a fully electric car maker by 2030 and it states that they are the first European car maker to sign an agreement with Tesla (TSLA) and join the NACS. Volvo Car is showing they are serious about their North American BEV efforts by providing access to easy and convenient charging infrastructure. The Numbers Apart from Polestar, Volvo Car has been relying on the XC40 and the C40 for all their BEV sales so new BEV models are needed. Per the EX30 webcast at the June 8th Capital Markets Update, the new EX30 model creates an opportunity to democratize electrification as its price point is very low compared to other Volvo models. Regarding the lower price point for the EX30, it is explained in the Financials presentation from the June 8th Capital Markets Update that the XC40 and C40 are part of Generation 1 whereas the EX30 is part of Generation 2 where costs are lower:   Volvo Generations (Financials presentation from the June 8th Capital Markets Update) The Financials presentation from the June 8th Capital Markets Update shows an economically viable path to BEVs with cost cutting developments such as cell-to-body battery packs. BEV margins will continue to improve as we move to Generation 3 where the mega casting for rear floor will save costs:   Volvo cost efficiencies (Financials presentation from the Capital Markets Update) The 1Q23 report shows market share by type and we see Volvo’s year over year market share of BEVs has increased nicely:   Volvo market share (1Q23 report) We see BEV and non-BEV margins in the 1Q23 report. Currently BEV margins are based on Generation 1 architecture and these margins are expected to improve as we move towards Generation 3:   Volvo profitability (1Q23 report) The May release shows BEVs increasing from 3,652 units in May 2022 to 10,826 units in May 2023 which was nearly 18% of overall units:   Volvo unit sales (May release) Valuation Trailing twelve month (“TTM”) EBIT through 1Q23 excluding share of income in JVs and associates was SEK 18.3 billion or SEK 6.3 billion + SEK 17.9 billion - SEK 5.9 billion. This is equivalent to about $1.7 billion and I think the company without the Polestar interest is worth about 6 to 8x this amount or $10 to $13.5 billion rounded to the nearest $0.5 billion. Volvo Car also owns nearly half of Polestar (PSNY) whose market cap is about $7.8 billion. Maybe Mr. Market is too optimistic about Polestar but I think we can value Volvo Car’s interest at about $3 billion such that their total valuation range is around $13 to $16.5 billion. The VLVCY share price for June 28th was $7.83. The ratio for this instrument is 2:1 so we divide the 2,979,907,056 weighted average number of diluted shares from the 1Q23 report in half and multiply by the share price to get a market cap of $11.7 billion. The market cap is less than my valuation range so I think the stock is a buy for long-term investors. Disclaimer: Any material in this article should not be relied on as a formal investment recommendation. Never buy a stock without doing your own thorough research.  Editor's Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":192524192850168,"gmtCreate":1688032661392,"gmtModify":1688032665206,"author":{"id":"4150266380421272","authorId":"4150266380421272","name":"XR6Chick","avatar":"https://community-static.tradeup.com/news/0f4e4d48f925d86185c6db227b583654","vip":1,"crmLevel":1,"crmLevelSwitch":0,"authorIdStr":"4150266380421272","idStr":"4150266380421272"},"htmlText":"MX 3O I meant, not BT 50..EDIT","listText":"MX 3O I meant, not BT 50..EDIT","text":"MX 3O I meant, not BT 50..EDIT","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/192524192850168","repostId":2347384334,"repostType":2,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":192523139801320,"gmtCreate":1688032250159,"gmtModify":1688032253887,"author":{"id":"4150266380421272","authorId":"4150266380421272","name":"XR6Chick","avatar":"https://community-static.tradeup.com/news/0f4e4d48f925d86185c6db227b583654","vip":1,"crmLevel":1,"crmLevelSwitch":0,"authorIdStr":"4150266380421272","idStr":"4150266380421272"},"htmlText":"Im all for EVs..but did you know the K Frame in AU for one to replace in a BT50&nbsp; is 23 thousand dollars. I work with cars, I seen the invoice. A new battery...25k. Point I'm trying o get to is Yes..ride the monetary wave and profit whilnyou can trading...you are going to need every cent you can get in the future to be able to afford to maintain one. EV is not for our environments benefit..it's to make&nbsp; the rich richer..","listText":"Im all for EVs..but did you know the K Frame in AU for one to replace in a BT50&nbsp; is 23 thousand dollars. I work with cars, I seen the invoice. A new battery...25k. Point I'm trying o get to is Yes..ride the monetary wave and profit whilnyou can trading...you are going to need every cent you can get in the future to be able to afford to maintain one. EV is not for our environments benefit..it's to make&nbsp; the rich richer..","text":"Im all for EVs..but did you know the K Frame in AU for one to replace in a BT50 is 23 thousand dollars. I work with cars, I seen the invoice. A new battery...25k. Point I'm trying o get to is Yes..ride the monetary wave and profit whilnyou can trading...you are going to need every cent you can get in the future to be able to afford to maintain one. EV is not for our environments benefit..it's to make the rich richer..","images":[],"top":1,"highlighted":2,"essential":1,"paper":1,"likeSize":8,"commentSize":10,"repostSize":0,"link":"https://ttm.financial/post/192523139801320","repostId":2347384334,"repostType":2,"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":106455363,"gmtCreate":1688073165681,"gmtModify":1688073171994,"authorId":3578903100181699,"author":{"id":3578903100181699,"idStr":"3578903100181699","authorId":3578903100181699,"name":"Lamborghini1","avatar":"https://static.tigerbbs.com/f8b24a649554234324e1e33be42fc25f","vip":1,"currentWearingBadge":{"badgeId":"a83d7582f45846ffbccbce770ce65d84-1","templateUuid":"a83d7582f45846ffbccbce770ce65d84","name":"Real Trader","description":"Completed a transaction","bigImgUrl":"https://static.tigerbbs.com/2e08a1cc2087a1de93402c2c290fa65b","smallImgUrl":"https://static.tigerbbs.com/4504a6397ce1137932d56e5f4ce27166","grayImgUrl":"https://static.tigerbbs.com/4b22c79415b4cd6e3d8ebc4a0fa32604","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2021.12.21","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":1100},"crmLevel":1,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":192523139801320,"type":1,"supId":0,"prevId":0,"content":"👍","text":"👍","html":"👍"},{"id":106455107,"gmtCreate":1688054413338,"gmtModify":1688054419563,"authorId":4103265668791660,"author":{"id":4103265668791660,"idStr":"4103265668791660","authorId":4103265668791660,"name":"Nicknamed1","avatar":"https://static.laohu8.com/default-avatar.jpg","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":192523139801320,"type":1,"supId":0,"prevId":0,"content":"[Like]","text":"[Like]","html":"[Like]"},{"id":106455053,"gmtCreate":1688053869287,"gmtModify":1688053872643,"authorId":3573788625955643,"author":{"id":3573788625955643,"idStr":"3573788625955643","authorId":3573788625955643,"name":"Alvin1975","avatar":"https://static.tigerbbs.com/beba0668af2d109b87221754e75935b3","vip":1,"currentWearingBadge":{"badgeId":"1026c425416b44e0aac28c11a0848493-2","templateUuid":"1026c425416b44e0aac28c11a0848493","name":"Senior Tiger","description":"Join the tiger community for 1000 days","bigImgUrl":"https://static.tigerbbs.com/0063fb68ea29c9ae6858c58630e182d5","smallImgUrl":"https://static.tigerbbs.com/96c699a93be4214d4b49aea6a5a5d1a4","grayImgUrl":"https://static.tigerbbs.com/35b0e542a9ff77046ed69ef602bc105d","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2023.10.13","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":1001},"crmLevel":5,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":192523139801320,"type":1,"supId":0,"prevId":0,"content":"<span class=\"s1\">U</span>","text":"<span class=\"s1\">U</span>","html":"<span class=\"s1\">U</span>"},{"id":106454990,"gmtCreate":1688053165766,"gmtModify":1688053171969,"authorId":4087606671753930,"author":{"id":4087606671753930,"idStr":"4087606671753930","authorId":4087606671753930,"name":"ashethen","avatar":"https://static.tigerbbs.com/4f54274c70963f355c7d10c52305c1e7","vip":1,"currentWearingBadge":{"badgeId":"a83d7582f45846ffbccbce770ce65d84-1","templateUuid":"a83d7582f45846ffbccbce770ce65d84","name":"Real Trader","description":"Completed a transaction","bigImgUrl":"https://static.tigerbbs.com/2e08a1cc2087a1de93402c2c290fa65b","smallImgUrl":"https://static.tigerbbs.com/4504a6397ce1137932d56e5f4ce27166","grayImgUrl":"https://static.tigerbbs.com/4b22c79415b4cd6e3d8ebc4a0fa32604","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2021.12.21","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":1100},"crmLevel":1,"crmLevelSwitch":1,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":192523139801320,"type":1,"supId":0,"prevId":0,"content":"<u>i</u>","text":"<u>i</u>","html":"<u>i</u>"},{"id":106454976,"gmtCreate":1688052477571,"gmtModify":1688052483810,"authorId":4093046499754210,"author":{"id":4093046499754210,"idStr":"4093046499754210","authorId":4093046499754210,"name":"eirsh","avatar":"https://static.tigerbbs.com/41fef399a1084e67d1022e183883da06","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":192523139801320,"type":1,"supId":0,"prevId":0,"content":"kok <u>o</u>","text":"kok <u>o</u>","html":"kok <u>o</u>"}],"langContent":"EN"}],"isCommentEnd":false,"newsSizeData":{"likeSize":1,"commentSize":2,"repostSize":2,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2347384334"}