UBS has given Volkswagen shares a "sell" rating with a target price of 75 euros, following the recent job cut agreement.

Analyst Patrick Hummel expressed doubt about how the market will react to the compromise, which includes over 4 billion euros in additional cost savings in the medium term. Volkswagen plans to achieve 1.5 billion euros of these savings through reduced wage costs and aims to cut its workforce by 35,000 jobs by 2030, although this will be on a voluntary basis.

Hummel noted the uncertainty surrounding the term "medium-term" and indicated that the company's goal of reaching a core brand margin of 6.5 percent by 2026 now seems less achievable. Additionally, he pointed out that the previously proposed ten percent pay cut by management was not included in the final agreement, which instead includes a pay freeze until 2027.