European Stocks to Buy: Volkswagen (VLKAY)
German car giant Volkswagen (VLKAY) is Europe’s biggest automaker. In fact, the company just surpassed General Motors (GM) as the world’s second-largest automaker and now is behind only Toyota (TM) in the race for the top spot on the global sales podium.
For Volkswagen and VLKAY stock, a recovery in Europe — along with global demand for its brands — has continued to keep the throttle open on the company’s top and bottom lines.
Now, to be certain, if there’s a major slowdown in Europe, China or even the U.S. auto market, VLKAY stock will come under pressure. In fact, over the past month, fears of this sort have caused the shares to slide nearly 10%. However, if you assume (as I do) that the European roads will smooth out going forward, then investors who buy VLKAY stock here will be driving all the way to the bank in a few short months.
As of this writing, Jim Woods was long DEO.