Daimler Truck Holding AG Sponsored ADR (DTRUY) AI Stock Analysis

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Daimler Truck Holding AG Sponsored ADR

(OTC:DTRUY)

Rating:69Neutral

Price Target:―

Daimler Truck Holding AG shows strong financial and valuation metrics, with robust revenue growth and profitability. However, cash flow challenges and increasing debt levels are areas for improvement. Technical indicators suggest neutral to bearish short-term trends, while the earnings call reveals mixed performance across regions.

Daimler Truck Holding AG Sponsored ADR (DTRUY) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$33.92B

Dividend Yield3.58%

Average Volume (3M)22.52K

Price to Earnings (P/E)11.0

Beta (1Y)0.78

Revenue Growth-3.21%

EPS Growth-21.18%

CountryUS

Employees104,919

SectorIndustrials

Sector Strength93

IndustryAgricultural - Machinery

Share Statistics

EPS (TTM)0.52

Shares Outstanding1,645,903,800

10 Day Avg. Volume6,433

30 Day Avg. Volume22,515

Financial Highlights & Ratios

PEG Ratio-1.26

Price to Book (P/B)1.61

Price to Sales (P/S)0.00

P/FCF Ratio-17.84

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price TargetN/A

Price Target UpsideN/A

Rating ConsensusN/A

Number of Analyst Covering0

Daimler Truck Holding AG Sponsored ADR Business Overview & Revenue Model

Company DescriptionDaimler 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 MoneyDaimler Truck Holding AG generates revenue primarily through the sale of its commercial vehicles, including trucks and buses, to a wide array of customers ranging from logistics companies to governmental bodies. The company also earns income from its financial services, which provide leasing, financing, and insurance solutions to support vehicle sales. Additionally, Daimler Truck benefits from after-sales services and spare parts sales, which contribute significantly to its revenue. Strategic partnerships and collaborations in technology development, particularly in electric and autonomous vehicle sectors, play a critical role in enhancing its market position and revenue potential.

Daimler Truck Holding AG Sponsored ADR Earnings Call Summary

Earnings Call Date:May 13, 2025

(Q4-2024)

% Change Since: 2.15%|

Next Earnings Date:Aug 01, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mix of strong performances in certain segments like North America and Latin America, and challenges in others, notably in Europe and Asia. While free cash flow and market leadership in North America were positive, the call also highlighted significant revenue declines and market challenges in Europe and Asia, offsetting some of the positive gains.

Q4-2024 Updates

Positive Updates

Strong Free Cash Flow

Free cash flow of the industrial business was very strong in Q4, increasing to EUR3.2 billion, resulting in a net industrial liquidity of EUR8.6 billion.

North American Market Leadership

Daimler Trucks North America maintained a Class 8 market share of 39.8%, with a 40.8% share in the U.S., reaffirming clear market leadership.

Strong Performance in Latin America

Mercedes-Benz Trucks saw sales increase by 35% in Latin America, with a 55% rise in Brazil, driven by successful restructuring and favorable market conditions.

Zero Emission Vehicle Growth

Zero emission vehicle sales increased by 17% to over 4,000 units, with orders rising by 22% to 5,600 units.

Daimler Buses Profitability

Daimler Buses more than doubled its EBIT compared to 2023, achieving a return on sales adjusted of 8.3%.

Negative Updates

Decreased Group Revenue and EBIT

Group revenues declined by 3% in 2024 to EUR54.1 billion, with Group EBIT falling by 31% to EUR3.6 billion.

Challenges in Mercedes-Benz Trucks

Mercedes-Benz Trucks saw a mixed performance, with a 20% drop in unit sales, impacted by underutilization in production and higher variable costs.

Weak European Market

The European heavy duty total market decreased by 8% to 315,000 units, with Mercedes-Benz Trucks market share declining to 16.9%.

China Joint Venture Impairments

Negative non-cash onetime impacts included impairments on joint ventures in China and cellcentric, contributing to lower EBIT.

Trucks Asia Market Decline

Trucks Asia experienced a 22% decline in unit sales due to weak key markets like India and Indonesia, with orders down by 10%.

Company Guidance

During the Daimler Truck annual results conference call for the fiscal year 2024, several key metrics and strategic initiatives were highlighted. The company reported an adjusted group EBIT of EUR 4.7 billion, with an adjusted return on sales in the industrial business at 8.9%, and earnings per share of EUR 3.64. Free cash flow for the industrial business was robust, increasing to EUR 3.2 billion, leading to a net industrial liquidity of EUR 8.6 billion. Daimler Trucks North America maintained strong results, while the Mercedes-Benz Trucks segment faced challenges in Europe due to lower demand and cost base adjustments. The company is aiming to reduce annual recurring costs in Europe by over EUR 1 billion by 2030 through the cost down Europe program. The heavy-duty Class 8 market in North America was reported at 308,000 units with a market share of 39.8%. The guidance for 2025 includes expected unit sales in the range of 460,000 to 480,000 vehicles and revenues between EUR 52 billion to EUR 54 billion, with a free cash flow decrease anticipated between 10% and 25%. The company also emphasized ongoing strategic priorities, including the integration of operations in India and China into the Mercedes-Benz Trucks segment.

Daimler Truck Holding AG Sponsored ADR Financial Statement Overview

Summary

Daimler Truck Holding AG exhibits solid profitability and operational efficiency but faces challenges in revenue growth and cash flow management. The company maintains a manageable level of leverage, though continuous focus on improving revenue and cash flow is crucial for long-term stability.

Income Statement

Positive

Daimler Truck Holding AG has shown stable performance with a gross profit margin of 21% and a net profit margin of 6.12% for TTM (Trailing-Twelve-Months). However, the revenue has decreased by 2.17% from the previous year, indicating challenges in revenue growth. The EBIT and EBITDA margins are healthy at 8.10% and 10.51%, respectively, reflecting operational efficiency.

Balance Sheet

Positive

The company's balance sheet reflects moderate leverage with a debt-to-equity ratio of 1.29, which is typical for the industry. The return on equity stands at 15.62%, indicating decent profitability. The equity ratio is 29.20%, showing a balanced capital structure but highlighting potential risks if liabilities increase.

Cash Flow

Neutral

Cash flow analysis reveals challenges with negative free cash flow growth. The operating cash flow to net income ratio is -0.06, indicating difficulties in converting earnings into cash. The free cash flow to net income ratio is -0.58, showing an unfavorable cash flow situation that could impact future investments and debt servicing.

TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Breakdown
Income Statement		Total Revenue
54.68B	55.89B	50.95B	39.76B	36.01B	46.24B
	Gross Profit
11.47B	11.92B	9.43B	7.25B	5.48B	8.65B
	EBIT
4.43B	4.72B	3.51B	2.19B	587.00M	3.01B
	EBITDA
5.75B	6.83B	4.81B	3.35B	1.94B	4.32B
	Net Income Common Stockholders
3.35B	3.77B	2.67B	2.35B	-143.00M	1.73B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.50B	8.49B	7.09B	7.35B	7.50B	5.82B
	Total Assets
49.99B	71.21B	63.97B	54.80B	49.99B	55.37B
	Total Debt
19.41B	22.71B	18.83B	15.09B	19.41B	22.11B
	Net Debt
17.75B	15.65B	12.89B	7.84B	17.75B	21.02B
	Total Liabilities
41.28B	48.99B	43.36B	38.38B	41.28B	45.02B
	Stockholders Equity
8.22B	21.61B	20.05B	15.92B	8.22B	9.85B
Cash Flow		Free Cash Flow
-1.93B	-920.00M	-1.66B	1.02B	3.23B	7.00M
	Operating Cash Flow
-191.00M	386.00M	-523.00M	2.10B	4.17B	1.27B
	Investing Cash Flow
-2.16B	-2.08B	-4.17B	4.26B	-2.35B	-3.23B
	Financing Cash Flow
197.00M	2.93B	3.33B	-875.00M	-1.14B	2.49B

Daimler Truck Holding AG Sponsored ADR Technical Analysis

Technical Analysis Sentiment

Positive

Last Price21.38

Price Trends

50DMA

19.80

Positive

100DMA

20.30

Positive

200DMA

19.38

Positive

Market Momentum

MACD

0.40

Positive

RSI

55.78

Neutral

STOCH

17.55

Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DTRUY, the sentiment is Positive. The current price of 21.38 is above the 20-day moving average (MA) of 21.29, above the 50-day MA of 19.80, and above the 200-day MA of 19.38, indicating a bullish trend. The MACD of 0.40 indicates Positive momentum. The RSI at 55.78 is Neutral, neither overbought nor oversold. The STOCH value of 17.55 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DTRUY.

Daimler Truck Holding AG Sponsored ADR Peers Comparison

Overall Rating

UnderperformOutperform

Sector (66)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PCAR	77 Outperform	$49.12B	14.19	19.90%	1.36%	-8.64%	-31.57%
DE	75 Outperform	$138.97B	24.82	24.07%	1.22%	-22.26%	-37.83%
CAT	73 Outperform	$164.33B	17.03	55.67%	1.61%	-5.58%	-7.37%
DTRUY	69 Neutral	$33.92B	10.97	12.68%	3.58%	-3.21%	-21.18%
CNH	66 Neutral	$15.69B	15.12	13.26%	2.01%	-21.99%	-52.11%
Sector *	66 Neutral	$4.49B	12.28	5.32%	248.53%	4.08%	-12.00%
AGCO	55 Neutral	$7.44B	46.40	-13.60%	1.16%	-23.02%	-152.78%

* Industrials Sector Average

Performance Comparison

DTRUY

Daimler Truck Holding AG Sponsored ADR

21.38

0.34

1.62%

AGCO

Agco

100.79

-1.53

-1.50%

CAT

Caterpillar

348.96

25.92

8.02%

CNH

CNH Industrial

12.55

2.43

24.01%

Deere

510.75

144.91

39.61%

PCAR

Paccar

92.45

-12.31

-11.75%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.