Daimler Truck Holding AG (DTG) AI Stock Analysis

• Market Cap: €30.55B
• Dividend Yield: 5.13%
• Average Volume (3M): 1.22M
• Price to Earnings (P/E): 14.6
• Beta (1Y): 1.15
• Revenue Growth: -10.34%
• EPS Growth: -31.23%
• Country: DE
• Employees: 104,919
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 0.64
• Shares Outstanding: 765,600,400
• 10 Day Avg. Volume: 1,324,420
• 30 Day Avg. Volume: 1,218,896
• PEG Ratio: -0.49
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 0.63
• P/FCF Ratio: 8.92
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €45.32
• Price Target Upside: 13.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12
• EPS Forecast (FY): 3.73
• Revenue Forecast (FY): €49.28B

• Rating: 63 Neutral
• Price Target: €45.00 ▲(12.78% Upside)
• Action: Reiterated Date: 03/16/26
• Date: Action: Reiterated 03/16/26

The score is driven primarily by fundamentals that remain profitable but pressured by recent revenue and margin declines and uneven cash flow consistency. Technicals are moderately supportive with the price above major moving averages. Valuation is reasonable with a solid dividend yield, while earnings call updates highlight meaningful near-term risks from North America weakness and tariffs despite market-share gains and progress in zero-emission trucks.

Positive Factors

Improving leverage

Daimler Truck has materially reduced leverage to roughly 1.35x by 2025 and grown equity, improving balance sheet resilience. This provides lasting financial flexibility to fund EV investments, service scale and cyclical downturns, lowering refinancing risk over the medium term.

Zero-emission leadership

Dominant market share in European zero-emission heavy trucks signals durable competitive advantage as fleets electrify. Market leadership helps secure OEM-spec supply chains, drives scale in R&D and production, and strengthens prospects for higher-margin services and platform lock-in over coming years.

Recurring aftersales & services

A broad aftersales, financing and digital-services mix generates recurring, higher-margin cash flows that dampen vehicle cycle swings. Durable service revenue underpins long-term margin stability and customer retention, supporting predictable cash generation beyond vehicle sales.

Negative Factors

Revenue and margin decline

Top-line contraction and margin compression over 2024–2025 reflect weakening demand and pricing pressure. Sustained revenue decline and lower net margins reduce reinvestment capacity and ROE, making long-term profit recovery and funding of EV transition more challenging without structural market improvement.

Volatile cash generation

Multi-year swings—negative FCF in 2023, near-zero in 2024, rebound in 2025—indicate inconsistent cash conversion. That volatility raises execution risk, complicates capital allocation for electrification, dividends or buybacks, and makes predictable long-term investment planning harder.

Tariff & regulatory exposure

Section 232 tariffs create structural cost and competitiveness pressure in the U.S., likely eroding margins and delaying returns. Regulatory uncertainty can force price adjustments or supply-chain shifts, reducing near- and medium-term profitability and limiting capital deployment flexibility.

Daimler Truck Holding AG Business Overview & Revenue Model

Company Description

Daimler Truck Holding AG manufactures and sells medium- and heavy-duty trucks and buses in Europe, North America, Asia, Latin America, and internationally. It operates through five segments: Mercedes-Benz, Trucks North America, Trucks Asia, Daimler Buses, and Financial Services. The company offers light, medium, and heavy-duty trucks; city and intercity buses, touring coaches, and bus chassis; industrial engines; and special vehicles that are primarily used in municipal applications, as well as electric vehicles and used commercial vehicles. It also provides various financial services, such as leasing, hire purchase, and insurance products under the Daimler Truck Financial Services brand name. In addition, the company offers connectivity solutions under the Detroit Connect, Fuso Connect, Mercedes-Benz Uptime, and Fleetboard brands; and aftersales services, such as maintenance and repair, as well as sells spare parts. It provides trucks and buses under the Mercedes-Benz, Freightliner, Western Star, FUSO, BharatBenz, Setra, and Thomas Built Buses brand names. The company was founded in 1896 and is headquartered in Leinfelden-Echterdingen, Germany.

How the Company Makes Money

DTG primarily makes money by selling commercial vehicles (trucks and buses) to fleet operators, logistics companies, construction and industrial customers, public-sector and private bus operators, and dealers. Revenue is generated at the point of vehicle sale, with pricing influenced by vehicle class, configuration, powertrain (including alternative powertrains), and optional equipment. A significant recurring revenue stream comes from aftersales, including the sale of replacement parts, maintenance and repair services, and service contracts delivered through its service network; these activities typically provide ongoing income over a vehicle’s operating life. DTG also earns revenue from financial services where available, such as arranging or providing financing, leasing, and insurance-related offerings tied to vehicle purchases; these models generate interest income, fees, and margins on financed or leased assets. Additional earnings can come from connected-vehicle and digital fleet services (e.g., telematics and fleet management solutions) and from powertrain- and technology-related offerings that may be bundled with vehicles or sold as services, depending on the product. Partnerships and collaborations can contribute to earnings by supporting product development, components sourcing, distribution, and the deployment of charging or hydrogen refueling ecosystems for alternative powertrains; however, specific partner-level revenue contributions are null.

Daimler Truck Holding AG Financial Statement Overview

Summary

Profitability remains positive but has weakened with revenue decline and margin compression in 2024–2025. Leverage is improving (debt-to-equity down to ~1.35 in 2025), but debt remains large and ROE has moderated. Cash flow rebounded strongly in 2025, yet multi-year free cash flow volatility reduces confidence in consistency.

Income Statement

Profitability remains solid with positive operating and net margins in the last several years, but earnings momentum has softened. Revenue declined in 2024 and fell more sharply in 2025 (annual revenue down ~7%), alongside margin compression (net margin dropping from ~5.4% in 2024 to ~4.3% in 2025). Longer-term, the company recovered well from the 2020 loss year, but the recent top-line contraction and lower profitability weigh on the score.

Balance Sheet

Leverage is meaningful but improving versus earlier years. Debt-to-equity has come down materially from very elevated levels in 2021–2022 to ~1.35 in 2025, and equity has grown, supporting balance sheet resilience. However, total debt is still large in absolute terms (~€29.2B in 2025), and returns on equity have moderated from very high levels in 2021–2023 to ~9% in 2025, suggesting reduced efficiency and/or profitability on the equity base.

Cash Flow

Cash generation is volatile. 2025 shows a strong rebound with operating cash flow of ~€4.3B and free cash flow of ~€3.2B (free cash flow up ~23% year over year), but 2023–2024 were notably weak (including negative free cash flow in 2023 and near-breakeven free cash flow in 2024). Cash conversion versus earnings is inconsistent as well, improving in 2025 but far weaker in the prior two years, which increases execution and cyclicality risk.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	45.53B	54.08B	55.89B	50.95B	39.76B
Gross Profit	10.57B	13.28B	11.98B	9.57B	7.32B
EBITDA	5.88B	7.73B	6.80B	4.77B	3.28B
Net Income	1.97B	2.90B	3.77B	2.67B	2.35B
Balance Sheet
Total Assets	72.53B	73.85B	71.21B	63.97B	54.80B
Cash, Cash Equivalents and Short-Term Investments	11.18B	8.76B	8.84B	7.09B	7.35B
Total Debt	29.19B	26.38B	22.71B	18.83B	15.09B
Total Liabilities	50.46B	51.00B	48.99B	43.36B	38.38B
Stockholders Equity	21.55B	22.20B	21.61B	6.67B	2.71B
Cash Flow
Free Cash Flow	3.22B	138.00M	-920.00M	-1.42B	1.34B
Operating Cash Flow	4.34B	1.55B	386.00M	-523.00M	2.10B
Investing Cash Flow	-2.14B	-2.55B	-2.08B	-4.17B	4.26B
Financing Cash Flow	403.00M	403.00M	2.93B	3.33B	-875.00M

Daimler Truck Holding AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 39.90
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:DTG, the sentiment is Negative. The current price of 39.9 is below the 20-day moving average (MA) of 41.69, below the 50-day MA of 41.86, and above the 200-day MA of 38.98, indicating a neutral trend. The MACD of -0.20 indicates Positive momentum. The RSI at 41.78 is Neutral, neither overbought nor oversold. The STOCH value of 31.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:DTG.

Daimler Truck Holding AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
DTG	63 Neutral	€30.55B	14.57	10.04%	5.13%	-10.34%	-31.23%
PAH3	57 Neutral	€9.63B	2.84	-60.89%	4.81%	-39.68%	-659.81%
VOW3	56 Neutral	€43.28B	7.09	4.00%	6.13%	0.49%	-45.70%
BMW3	53 Neutral	€44.97B	7.84	7.79%	4.72%	-8.40%	-11.54%
8TRA	52 Neutral	€14.50B	9.86	8.55%	5.67%	-7.11%	-30.83%
VOW	49 Neutral	€43.28B	7.09	3.96%	6.03%	0.49%	-45.70%