0833 GMT - Mercedes-Benz didn't change its guidance on a recent investor call, but that doesn't mean there aren't challenges, Citi analysts write. The German automaker said on the call that the second-quarter cars margin will land within the 3%-5% full-year guided range, Citi says. "After the 60% cut in BMW's midpoint auto return on sales guidance in its recent profit warning, we think many investors had thought Mercedes-Benz would warn also." Citi thinks Mercedes in China remains worse than expected and global pricing is coming under increasing pressure. This suggests that 2026 group earnings remain under pressure--until cost reductions start to provide stronger support, it adds. Citi rates Mercedes-Benz stock at neutral with a 51-euro target price. Shares rise 0.2% to 45.20 euros. (dominic.chopping@wsj.com)
(END) Dow Jones Newswires
July 15, 2026 04:33 ET (08:33 GMT)
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