
Financial Analysis and Valuation on BMW
- 1 Bayes Business School
* Author to whom correspondence should be addressed.
Abstract
The BMW Group is currently top producers of luxury automobiles. The BMW Group is renowned for its dedication to technological advancement, as well as its emphasis on environmental responsibility and sustainability. This essay aims to figure out whether investing in BMW Group is a good choice or not. The author analyses the 2021 annual report of BMW Group from 3 aspects: accounting analysis, strategy objective and risk management. The recommendation is BMW Group is a good choice to invest in because it has strong good operations, profitability and a risk management system. Moreover, the transformation plan has made BMW Group even more growth-oriented and the return on investment is expected to improve in the future. BMW Group focused on the reduction of CO2 emissions and the electricity vehicle transformation plan in 2021, and the sale volume was quite considerable. The dividend will grow in the future, more shareholders may invest in BMW Group.
Keywords
automotive industry, financial analysis, forecast and valuation
[1]. BMW Group. https://www.bmwgroup.com/en.html, last accessed 2023/3/20.
[2]. Yahoo is part of the Yahoo family of brands. https://finance.yahoo.com/quote/BMW%20GROUP.DE/, last accessed 2023/3/20.
[3]. BMW Report 2022. Statista https://www.statista.com/study/60860/BMW%20group-report/, last accessed 2023/3/20.
[4]. Report on the BMW Group’s economic performance and its ecological and social contributions. Group PressClub. https://www.press.bmwgroup.com/global/article/detail/T0374217EN/bmw-group-report-2021?language=en, last accessed 2023/3/20.
[5]. BMW expects at least half of sales to be electric cars by 2030. U.S. https://www.reuters.com/article/uk-BMW%20group-results-idUKKBN2B90QC, last accessed 2023/3/20.
[6]. BMW Group posts strong sales for 2021. BMW Group PressClub. https://www.press.bmwgroup.com/global/article/detail/T0364013EN/electro-offensive-and-number-one-in-premium-segment:-bmw-group-posts-strong-sales-for-2021, last accessed 2023/3/20.
[7]. BMW Group signs direct agreement with chip suppliers to secure supplies. https://www.press.BMW groupgroup.com/global/article/detail/T0362334EN/BMW group-group-signs-direct-agreement-with-chip-suppliers-to-secure-supplies, last accessed 2023/3/20.
[8]. Russia planning a massive military offensive against Ukraine involving 175,000 troops, U.S. intelligence warns. Washington Post. https://www.washingtonpost.com/national-security/russia-ukraine-invasion/2021/12/03/98a3760e-546b-11ec-8769-2f4ecdf7a2ad_story.html, last accessed 2023/3/20.
[9]. Why new coronavirus variants emerge, and what that means for you. PBS NewsHour. https://www.pbs.org/newshour/health/why-new-coronavirus-variants-emerge-and-what-that-means-for-you, last accessed 2023/3/20.
[10]. Euro 7: Europe’s chance to have clean air. https://www.transportenvironment.org/wp-content/uploads/2021/09/2021_09_Euro_7_cars_vans_policy_paper, last accessed 2023/3/20.
Cite this article
Du,Y. (2023). Financial Analysis and Valuation on BMW. Advances in Economics, Management and Political Sciences,31,135-142.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
Disclaimer/Publisher's Note
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.
About volume
Volume title: Proceedings of the 7th International Conference on Economic Management and Green Development
© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and
conditions of the Creative Commons Attribution (CC BY) license. Authors who
publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons
Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this
series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published
version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial
publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and
during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See
Open access policy for details).