Critical Contrast: Mercedes-Benz Group (MBGYY) & Its Peers

Mercedes-Benz Group (OTCMKTS:MBGYY) is one of 76 public companies in the “Motor vehicles & car bodies” industry, but how does it compare to its peers? We will compare Mercedes-Benz Group to related companies based on the strength of its analyst recommendations, profitability, institutional ownership, dividends, earnings, risk and valuation.

Profitability

This table compares Mercedes-Benz Group and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mercedes-Benz Group	7.36%	11.66%	4.11%
Mercedes-Benz Group Competitors	-1,664.17%	-28.38%	-10.90%

Volatility and Risk

Mercedes-Benz Group has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500. Comparatively, Mercedes-Benz Group’s peers have a beta of 3.47, suggesting that their average stock price is 247% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations and price targets for Mercedes-Benz Group and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mercedes-Benz Group	0	1	1	0	2.50
Mercedes-Benz Group Competitors	1007	2610	3470	161	2.38

As a group, “Motor vehicles & car bodies” companies have a potential upside of 5.43%. Given Mercedes-Benz Group’s peers higher probable upside, analysts plainly believe Mercedes-Benz Group has less favorable growth aspects than its peers.

Institutional and Insider Ownership

45.3% of shares of all “Motor vehicles & car bodies” companies are owned by institutional investors. 12.1% of shares of all “Motor vehicles & car bodies” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Mercedes-Benz Group and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Mercedes-Benz Group	$165.81 billion	$15.43 billion	4.72
Mercedes-Benz Group Competitors	$393.86 billion	$2.76 billion	13.63

Mercedes-Benz Group’s peers have higher revenue, but lower earnings than Mercedes-Benz Group. Mercedes-Benz Group is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Mercedes-Benz Group peers beat Mercedes-Benz Group on 7 of the 13 factors compared.

About Mercedes-Benz Group

Mercedes-Benz Group AG operates as an automotive company in Germany and internationally. It operates through Mercedes-Benz Cars, Mercedes-Benz Vans, and Mercedes-Benz Mobility segments. The company develops, manufactures, and sells cars and vans under the Mercedes-Benz, Mercedes-AMG, Mercedes-Maybach, G-Class brands, as well as related spare parts and accessories. It also provides financing, leasing, car subscription and rental, fleet management, insurance brokerage, and mobility services, as well as digital services for charging and payment. The company was formerly known as Daimler AG and changed its name to Mercedes-Benz Group AG in February 2022. Mercedes-Benz Group AG was founded in 1886 and is headquartered in Stuttgart, Germany.