Buy or not Buy Porsche stocks? Our future forecast 2022!

throttll
October 7, 2021
How to Porsche stocks - what should you watch out for? Why should you invest in Porsche shares? Where can you buy Porsche stocks? Porsche shares can be purchased from any online broker. However, we recommend our test winner broker ETFinance. In our opinion, ETFinance is the absolute best stockbroker, as you can buy stocks and ETFs here completely free of charge.
Buy or not Buy Porsche stocks? Our future forecast 2021!

It has long been very easy to buy Porsche shares via online exchanges. You can also invest in Porsche shares through appropriate providers. However, the traditional company has given enough reason to justify purchasing company shares in the past few decades.

But how does that look for the future? Is the Porsche course still a promising investment? We took a closer look at how the company is doing and whether the share offers potential.

Table of Contents

How to Porsche stocks – what should you watch out for?

You should pay attention to the following points when buying Porsche shares:

  • Why should you invest in Porsche shares? Porsche is one of Europe’s leading service providers in the automotive industry in the top-priced segment. The sales figures are increasing steadily. In addition to the returns, the investor can also expect high dividends added to the profit.
  • Where can you buy Porsche stocks Porsche shares can be purchased from any online broker. However, we recommend our test winner broker ETFinance. In our opinion, ETFinance is the absolute best stockbroker, as you can buy stocks and ETFs here completely free of charge.
  • What can the future of Porsche shares look like? We look to a promising future in the next five years. But, so far, the company is still in control of what happens afterwards.

Where to buy Porsche stocks Best broker for buying Porsche shares in comparison:

Rating

Min. Deposit

Min. Spread

Assets

Views

Positive Reviews

Negative Reviews

Likes

4.9/5
250
0.07
  • Commodities
  • Forex 40 +
  • Metals
  • Stocks
  • Indices
  • Cryptocurrencies
85
2
4.5/5
250
0.07
  • Metals
  • Forex
  • Indices
  • Cryptocurrencies
  • Commodities
  • Stocks

 

254
82
3
58
4.9/5
250
0.07
  • Forex 40+
  • Metals
  • Commodities
  • Stocks
  • Indices
  • Cryptocurrencies

 

480
80
3
50
How to buy Porsche shares? Our guide in 3 steps

1. Registration with a broker

To be able to buy the Porsche share, you first have to register with a broker. It is advisable to pay particular attention to deposit protection. Should the broker go bankrupt, the shares still belong to you. Anyone who waives this deposit protection will be left without shares in the event of the broker’s bankruptcy.

If stock selection and evaluation are too complicated, a social trading platform can also be a good solution. Here you simply follow an experienced trader and automatically copy the trader’s trading decisions.

Our broker recommendation at this point is ETFinance – with state-guaranteed deposit protection of up to 20,000 euros and 0% commission when buying shares, ETFinance is our test winner broker. To register with ETFinance, click here.

If you have decided on a broker, you log in with your data and verify your e-mail address and any other data.

etfinance

2. First deposit

After registering, you need to decide how much to invest in stocks. We generally recommend that you never invest more than 5% of your capital in a single share.

Once you have decided on the amount you want to invest, click on the ” Add Money ” button after registering with ETFinance.

You can now choose from various deposit methods, including PayPal, credit card or bank transfer.

Below is an overview of all the payment methods available at ETFinance:

Payment optionPossible?
Buy Porsche shares with a credit card✔️
Buy Porsche shares with PayPal✔️
Buy Porsche shares with Skrill✔️
Buy Porsche shares by bank transfer✔️
Buy Porsche shares with Neteller✔️
Buy Porsche shares with UnionPay✔️

3. Buy Porsche shares online

 After the deposit, the money appears in your account under the menu item “Account”.

First, search for the Porsche share in the search bar above and click on the ” Trade ” button.

A small window will open (see screenshot) where you can set the price and the number of shares you want to buy. You can also set stop-loss and take-profit, i.e. at which price the share should be sold again in the event of a profit or loss. The two fields are optional.

The Leverage field allows you to control whether you want to buy the real share (x1 leverage) or a CFD (x2 or more leverage).

With a click on ” Place order ” the purchase is completed, and the share appears in your portfolio.

Porsche share price (price), target price, dividends & key figures (finances) 2021:

Share price & key figures

With currently 57 euros and a market capitalisation of 8.7 billion euros, the Porsche share price is relatively low. At least when it comes to numerous analysts. Therefore, the trading view analysis, based on these analyses’ evaluations and buy recommendations, recommends buying the share.

Porsche Automobil Holding itself impresses with its lean structure. Only 972 employees work for the stock corporation. The high price of the Porsche share was several years ago. Even before joining Volkswagen, the Porsche share price had exceeded 150 euros. This must be included in the Porsche share price target.

The price is, therefore, a good two thirds below the highs of 2007. Therefore, the big question is whether there is a realistic chance that similar prices can be achieved again in the coming years. And how exactly will the Porsche share price target be set? And that question is not that easy to answer.

Volkswagen has seen difficult times in recent years: The emissions scandal has cost the group a lot of money and reputation. On the other hand, the business has also been better. However, the VW share has performed well in recent years. This could be a sign that it can stabilise again in the long term, from which the share will benefit in particular with the current Porsche price target.

Porsche share value and return

The average price target for Porsche shares is currently € 65.33.

In the analysis of Finanz.net, which is based on 6 analyst opinions, there is a possible profit compared to the current price of 7.59  % . Of the six analysts, 2 rated the Porsche share as a “buy” and four as a “hold”. At the moment, the Porsche share is not rated as a “sell” by any analyst.

According to analysts, the Porsche share is currently the second most profitable investment in the automotive industry. According to analysts, Daimler is only 1.59% behind the current price, and the BMW share is 3.56% behind the current price. According to analysts, only Volkswagen has a higher chance of returns.

Buy or not Buy Porsche stocks? Our future forecast 2021!

Porsche share dividend 2016 to 2021

The Porsche share dividend has fluctuated strongly in some cases over the past few years. For example, there was a dividend of 4.28% in 2018 versus a dividend of just 1.95% in 2016.

What dividends does Porsche pay?

An overview of the Porsche share dividends from 2016 to probably 2021 can be found in the following table:

yearReturn in%dividend
20161.95%1.01 €
20172.52%€ 1.76
20184.28%€ 2.21
20193.32%€ 2.21
20204.42%€ 2.21
2021e** 4.80** € 2.91

When is the Porsche Annual General Meeting?

The general meeting usually takes place between May and July. However, the last Porsche Annual General Meeting was a virtual event on Friday, October 2nd, 2020. The Porsche Annual General Meeting took place in previous years on June 27, 2019, May 15, 2018, May 30, 2017, and June 29, 2016. Therefore, we assume that the next Porsche Annual General Meeting will take place between May and July and not in October as last year.

When does Porsche pay the dividend?

Due to a delayed Annual General Meeting, Porsche did not pay the last dividend until October 5, 2020. At Porsche, the dividend is normally determined at the annual general meeting and paid shortly after it. However, the next Annual General Meeting is expected to take place between May and July, as will the next dividend payment from Porsche.

What dividends does Porsche pay?

Porsche announces the amount of the dividend at its annual general meeting. The actual dividend payment will then take place a few days later. A dividend of EUR 3.11 (per preferred share) and EUR 3.104 (per common share) was planned for the 2019 financial year. However, the dividend was adjusted to 2.21 euros (per preference share) and 2.204 euros (per common share) at Porsche’s virtual general meeting in 2020. It thus corresponded to the dividend of the previous year. The reason for this adjustment was the Covid-19 pandemic.

For the next year, Porsche is expected to increase its dividend slightly.

Buy or not Buy Porsche stocks? Our future forecast 2021!

Which Porsche share should I buy? Preferred share (VZ) or common share (ST)

As with BMW, for example, there are two different stocks at Porsche. The Porsche preferred share and the Porsche common share. The main difference between these shares lies in their voting rights. Only the ordinary shares of a stock corporation have voting rights, while preference shares do not have any form of co-determination.

Holders of preference shares are therefore not allowed to participate in decision-making at the BMW general meeting. This waiver by holders of preferred shares is usually rewarded differently: As a rule, they are entitled to a slightly higher dividend payment. In addition, preference shares are more protected than ordinary shares in the event of Porsche bankruptcy .

However, at Porsche, you don’t have to worry about which shares are more attractive for you as an investor. Porsche common shares are held exclusively by members of the Porsche and Piëch families. Therefore, as an investor, you only have the option of acquiring preference shares in Porsche.

How many Porsche shares are there

In 2007, Porsche changed the legal form of the “Dr. Ing. Hc F. Porsche Aktiengesellschaft “in a European company with the name” Porsche Automobil Holding SE “. Since then, the subscribed capital of Porsche SE has been made up of 153,125,000 ordinary shares and 153,125,000 non-voting preference shares in the form of no-par bearer shares.

As already mentioned, the ordinary shares are held exclusively by members of the Porsche and Piëch families. More than half of the preference shares are held by institutional investors. The remaining preference shares, which are in free float, are distributed among private investors.

Why is the Porsche share falling?

2020 was not a good year for Porsche. First, the coronavirus hit the automotive industry, and the Porsche share temporarily lost more than half of its value in March 2020. In the meantime, however, the share has almost recovered to the level before the corona crash.

This can also be seen from the consolidated earnings after taxes. This showed a loss of 329 million euros in the first half of 2020 compared to a profit of 2.38 billion euros in the previous year. The company stated that the change in earnings was mainly due to the decline in Volkswagen’s consolidated revenues due to the adverse effects of the Covid-19 pandemic.

In addition, many investors were disappointed that Porsche decided against increasing the dividend at the last Annual General Meeting in 2020. However, the company’s management expects a positive result for 2021.

Porsche share news & history

Before you buy stocks, you should always do a little research on the company behind them. For example, Porsche was founded back in 1931. The engineer Ferdinand Porsche initially founded a design office. In 1945 this went into an automobile factory. The dealership achieved resounding success from the start, especially with sports cars.

Interesting Porsche stock news came out for the first time in the 1940s. For the first time, corporations were involved with the Volkswagen factory, which later became Volkswagen AG. They worked closely together, especially when it came to further development and design.

In the 70s and 80s, the sports car manufacturer was able to assert itself consistently in the market. They always kept to the fact that small numbers of items were produced. Rarely have more than 50,000 vehicles been produced per year. However, when the US dollar crashed, Porsche got into turmoil. The US market had become one of the most important for Porsche. As a result, considerable losses were sometimes written in the early 1990s.

To turn things around, Wendelin Wiedeking was sworn in as Chairman of the Board of Management in 1993, as reported by Porsche Aktien News at the time. And that was good for the company. Within a few years it became the most profitable car manufacturer in the world. In 2006, Porsche was the smallest independent car manufacturer with 97,000 vehicles produced. In addition, no manufacturer earned more money per vehicle.

From the 80s

Porsche has continuously expanded its shares in Volkswagen since the 1980s. In 2007, Porsche AG held more than 30% of Volkswagen ordinary shares, was converted into today’s Porsche Automobil Holding SE. However, the car manufacturer was continued as a subsidiary.

Since the planned takeover of Volkswagen failed due to financing problems, Volkswagen conversely used the opportunity to buy Porsche. As a result, by 2012, the car manufacturer Porsche was finally taken over entirely by Volkswagen.

Most recently, the emissions scandal caused a sensation, which caused enormous damage, especially at Volkswagen. But Porsche also had to recall and retrofit over 20,000 Porsche Cayennes. To this day, both manufacturers are suffering from the consequences of this scandal. Therefore, should further negative Porsche share news come, one would have to be careful with investments.

Who does Porsche belong to today?

Porsche belongs to the heirs of the founder Ferdinand Porsche. These are the Porsche and Piëch, families. The Porsche and Piëch families only hold 50 % of the shares in Porschen, but together they own 100 per cent of the voting rights, as they own all of the ordinary shares. The remaining shareholders are therefore not allowed to take part in decisions during the general meeting.

In fact, the question of who owns what in the auto industry is very complex. For example, the Volkswagen Group owns Audi, Bentley, Bugatti, Lamborghini and, among other things, Porsche. A lesser-known fact, however, is that VW is indirectly majority-owned by the Austrian Porsche-Piech family.

Porsche, therefore, belongs to the Volkswagen Group and is also the owner of the Volkswagen Group and vice versa.

How much is Porsche worth?

Porsche company is considered the front runner in the luxury industry, and the company’s brand value is $ 29.3 billion, according to the latest Brand Finance report. Porsche has had a reputation as a luxury industry for 70 years and was most recently able to celebrate great successes with the introduction of the Taycan, the first purely electric series car from Porsche.

Porsche’s market capitalisation is currently 9,230.37 million euros. The net liquidity is 553 million euros, and the profit after tax for 2019 is 4,408 million euros.

Buy Porsche shares or not? Our analysis:

  • High dividend yield
  • Strong sales
  • Undervalued according to experts
  • Problems in the auto industry
  • Little future work in terms of electric mobility

Porsche share: arguments to buy Porsche shares

The automobile manufacturer has an excellent reputation worldwide. Sports cars, in particular, enjoy an almost legendary reputation among many fans. The company, based in Stuttgart-Zuffenhausen, employs nearly 30,000 people and has a turnover of more than 23 billion euros. The company was founded in 1931 by Ferdinand Porsche.

When it comes to Porsche shares, you have to remember that you are not investing directly in the car manufacturer but Porsche Automobil Holding. This is a holding company that emerged from the car manufacturer Porsche in 2007.

Porsche Automobil Holding holds a significant stake in Volkswagen AG. And the car company Porsche in turn, belongs to Volkswagen AG. Porsche Automobil Holding is not just any Volkswagen investor. It holds over 52.2% of the voting rights in Volkswagen AG. As a result, Porsche Automobil Holding controls the Wolfsburg-based VW group. This was already celebrated at the Porsche Aktien Forum back then.

Porsche share sale arguments

In the long term, the Porsche share is a pretty impressive success story. Since the late 1990s, the real-time Porsche share has grown enormously over the long term. However, especially in the course of Volkswagen participation around 2009, the prices also collapsed extremely. The highs of over 150 euros at that time have not yet been reached again by a long way. The Porsche share is currently at around 52 euros. The momentum with a slight upward trend in recent years.

Above all, the great scandal surrounding the falsified emissions values, in which Volkswagen was involved, has recently damaged Porsche shares. The big question will be how Volkswagen will recover from this crisis in the coming years. After all, Porsche shares also depend on VW’s fate in real-time. The Porsche Aktien Forum takes a similar view.

Investing in Porsche Shares – Buying or Selling?

The Porsche share is associated with a lot of prestige. Investors associate the name Porsche with one of the most renowned manufacturers of sports cars in the world. And with its large stake in Volkswagen AG, the Porsche share has a lot of voting power in the automotive industry. Overall, these are solid signs for a good performance.

However, if you are toying with the idea of ​​buying this stock, you have to ask one thing: How well will Volkswagen do in the next few years? And this development is far from clear. The Porsche share is simply not an investment in the sports car manufacturer. We also know that in the Porsche Aktien Forum.

The Porsche brand only makes a negligible contribution to the success of Volkswagen, in which Porsche Automobil Holding has a stake. However, some investors are committed to Porsche shares in the long term: For example, the oil-rich country of Qatar holds a 10 per cent stake in Porsche.

And the company leaders themselves, the Piech family, are themselves fully invested in the group. The family is directly related to the Porsche family. Seen in this way, the Porsche Group can, in a way, be seen as a gigantic family company. In any case, the Piech family has been in charge of Porsche for a long time. 

Should one buy Porsche shares now?

Good stocks at low prices are what the best investors are looking for. But does that apply to Porsche Automobil Holding Se in times of economic turmoil and market volatility?

Porsche has a long and successful history, but that alone does not justify buying Porsche shares. But what speaks in favour of buying Porsche shares are the solid financial fundamentals. In addition, Porsche is currently the luxury car manufacturer with the greatest focus on electric vehicles, which also gives very good growth opportunities.

Porsche is a so-called large-cap share with a strong commitment to,,high quality and a relatively low valuation. One of the great quality indicators for Porsche Automobil Holding Se is that it passes 6 of the 9 financial tests in the Piotroski F-Score. A good F-Score indicates that the company has strong quality characteristics.

While quality is important, nobody wants to overpay for a stock, so getting a good valuation is vital. One of these ways is to examine the return on income. This compares the profit of a company with its market valuation  . After the calculation, you get a total value of the stock, which makes it easier to compare different stocks. For example, in per cent, the higher the return on earnings, the higher the share value.

The rule of thumb for an appropriate return on income is 5%, and the return on income for Porsche Automobil Holding Se is currently 32.6%. In summary, it can be said that there is currently a lot to be said for buying Porsche shares.

Buy or not Buy Porsche stocks? Our future forecast 2021!

Porsche shares future forecast 2021

So how will things go with the Porsche share? To answer this question and create a Porsche share forecast, one must look at the overall market. Volkswagen’s performance is decisive for the success of Porsche shares.

And the carmaker is still doing very well, despite all the scandals. On the other hand, however, VW has to face significant challenges. On the one hand, one must remain competitive in emerging countries, especially China with nio. There, Chinese and Japanese manufacturers, in particular, are attacking the Wolfsburg-based car maker. To stay competitive, there was no way around the controversial establishment of a factory in China.

Another aspect that could help Porsche shares achieve success would be a successful e-mobility strategy. However, Porsche and Volkswagen have not done their homework in this regard in recent years. Other manufacturers have long since opened up this new market and are making it difficult for the long-established carmakers.

The strong charisma that still emanates from the core brands Porsche and Volkswagen speaks for the company. Hardly any manufacturer has a higher reputation. Be it Porsche in the luxury sports car sector or Volkswagen in the mass market. Even the emissions scandals could only damage the reputation of these two manufacturers temporarily.

If Porsche share can build on something, then it is the value of its brands, together with the high product quality. Therefore, the Porsche share forecast looks good in the long term.

Porsche share conclusion – our rating and recommendation:

Porsche is a name in the automotive industry that still has a lot of prestige. However, you have to be aware that with Porsche shares, you are investing in the automobile manufacturer of sports cars.

Because Porsche Automobil Holding SE mainly holds shares in Volkswagen. And the car manufacturer Porsche belongs to Volkswagen. From this point of view, it is clear that when you buy Porsche shares, you also have to take the development of VW into account. This fact decides whether to buy or sell Porsche shares a complex one.

However, numerous analysts recommend buying the share as the difficult past few years seem to have been overcome. Will it be possible to prepare Volkswagen and the other brands well for the coming years?

We will see. One thing is certain. If this succeeds, the Porsche share will also benefit from it. The Porsche share forecast shows this as well. And with the Porsche share dividend, you have good protection.

4.9
4.9/5

Our recommendation: Trading at Investby

Our recommendation: Trading at Investby

  • The broker provides an Islamic Account
  • It provides a dedicated account manager
  • Receive customised investment news
  • Trade with a variety of assets
  • There’s no deposit limit
ABinvesting Review
4.5
4.5/5

Our recommendation: Trading at ABInvesting

  • Acknowledge the financial markets through education material 
  • Free VPS is available 
  • Get a swap discount of 50 per cent 
  • Islamic Account is available to traders 
  • Select account types of your interest
4.9
4.9/5

Our recommendation: Trading at PrimeFin

  • Fifth decimal available 
  • Spreads begin from 0.03 pips
  • Commission is zero  
  • Full 10-hour support  
  • News alerts and VPS for traders

FAQs

Buying Porsche shares makes sense – because you can potentially benefit not only from the prices when making the right purchase decisions. A high Porsche share dividend can also be expected from the Stuttgart-based company.

The dividend for Porsche shares is paid once a year. However, this is only valid if you actually invest in the stock. CFDs, for example, are not entitled to Porsche share dividends. It is highly recommended that you choose a broker from whom you can actually buy the stock, rather than CFDs.

The Porsche share is listed on the German share index as well as on the XETRA.

The shares of Porsche Automobil Holding can be traded on numerous online exchanges. CFD brokers like Skilling allow you to bet on rising as well as falling prices.

Get a Callback

A trusted broker will contact you today.

Name(Required)