HSBC Downgrades Volvo Cars to Hold: Slashes Price Target to SEK 22 Amid Market Turbulence

HSBC has revised its outlook for Volvo Car AB (VOLCARB.ST), lowering the target price to SEK 22 from SEK 30 and downgrading the stock to Hold from Buy. The decision, announced on February 13, 2025, follows Volvo's warning of a "turbulent and competitive" 2025, with Q4 2024 operating profit falling by 49% year-on-year. Shares plunged 11% post-earnings, reflecting investor concerns over slowing EV demand and pricing pressures. Kepler Cheuvreux also reduced its target to SEK 22, citing lower earnings estimates. Despite RBC Capital maintaining a "Sector Perform" rating with a SEK 307 target, analysts caution about near-term challenges in global auto markets.

Sources: Reuters, MarketScreener, Yahoo Finance