Mercedes-Benz has been downgraded by UBS from "Buy" to "Neutral," with a reduced price target of 55 euros, down from 72 euros.
The downgrade is due to ongoing pressure on car margins, despite the company's attractive dividend story.
Analyst Patrick Hummel now considers BMW as his top favorite in the automotive sector. This downgrade reflects the challenges faced by the industry as companies navigate market fluctuations and profitability pressures.