Volkswagen stock roars ahead of rivals, as it recovers from emissions scandal
London/Milan — Volkswagen’s rebound from the diesel emissions scandal and an upgraded earnings forecast has helped the stock to surge ahead of its German peers. VW’s preference shares returned 23% this quarter, up until Friday, best among European car makers’ stocks, while Daimler has gained 5.3% and BMW is little changed. Porsche Automobil Holding, which owns a majority of VW common shares, has done even better — advancing 31%. Investors have piled in as VW made progress towards settling claims with the US and European regulators after cheating on diesel engine pollution rules. The company has taken about $30bn in provisions to cover the costs of penalties, legal claims and retrofits of vehicles since the scandal broke in September 2015. On November 1, a week after the car maker raised its 2017 profit forecast, the shares rose above the pre-scandal level for the first time. Analysts say there is more to come in 2018. VW has new management, a viable plan and the biggest turnaround o...
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