Citi initiates coverage on Volvo Car with 'sell'

Volvo Car AB

07/01/2026 10:24

** Volvo Car VOLCARb.ST shares fall 2% after Citi initiates coverage with "sell" rating

** Brokerage sets PT of SEK 25, a 21% downside to stock's last close of SEK 31.68

** Says potential volume and pricing headwinds could limit free cash flow growth; co's long-term margin targets too bullish

** Navigating increasingly competitive markets in the EU and China, alongside a slower US EV adoption curve, adds to earnings uncertainty - Brokerage

** Stock up over 21% in the past year

($1 = 9.2007 Swedish crowns)

(Reporting by Agnieszka Olenska)

((Agnieszka.olenska@thomsonreuters.com))