3Semana
I have them in my portfolio and believe in the company.
They are currently facing headwinds due to the e-car write-offs (which should be mostly over according to management) & somewhat weaker demand in Europe and especially Germany as travel euphoria is waning after COVID.
In the long term I am confident, apart from the brand, the management (family) and the economies of scale, there are 3 points in particular that speak for the company:
- Transformation into a service provider for various forms of individual mobility, including some asset-light models, which improves margins
- Excellent digitalization, resulting in top customer experience and therefore better pricing power
- US expansion is going really well and should certainly pay off in the long term
All in all, I'm convinced, but Sixt is already susceptible to economic cycles, which is why it's only something if you're long-term oriented. It's not for nothing that both the preference share and the ordinary share have outperformed the market in the long term.
They are currently facing headwinds due to the e-car write-offs (which should be mostly over according to management) & somewhat weaker demand in Europe and especially Germany as travel euphoria is waning after COVID.
In the long term I am confident, apart from the brand, the management (family) and the economies of scale, there are 3 points in particular that speak for the company:
- Transformation into a service provider for various forms of individual mobility, including some asset-light models, which improves margins
- Excellent digitalization, resulting in top customer experience and therefore better pricing power
- US expansion is going really well and should certainly pay off in the long term
All in all, I'm convinced, but Sixt is already susceptible to economic cycles, which is why it's only something if you're long-term oriented. It's not for nothing that both the preference share and the ordinary share have outperformed the market in the long term.
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3Semana
@lukasrd
Thanks for the info!
LG
Thanks for the info!
LG
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