On the big internet forum Reddit a big shift is underway among small private investors. Where they first bought Tesla shares on a large scale, the focus is now on Volkswagen. The German brand went to its highest share value since 2015 this week.
Small private investors focus on Volkswagen shares. The sales targets stated earlier by the group drew the attention of investors on forums such as “Wall Street Bets“on the internet platform Reddit. Volkswagen is portrayed as the new Tesla. It ensured that Tesla shares were exchanged for those of Volkswagen, which recently became the most valuable listed company in Germany again. On Thursday, Volkswagen gained 15 percent in stock market value in the meantime. share thus rose to the highest level since 2015, to eventually close at a loss.
Volkswagen’s ordinary shares often move more violently than average. That’s because only a small portion of the pieces are freely tradable. About ninety percent of the ordinary shares are held by major shareholders such as Porsche, Lower Saxony and Qatar.
Volkswagen is being portrayed as a serious competitor of Tesla by these investors, among other things, due to the rollout of the MEB models. There is also a chance that Volkswagen, aided by austerity plans, including a redundancy scheme for older workers, will exceed its target profit margin of 5.5 to 6.5 percent.
BMW
BMW is also increasingly focusing on electric mobility, with which it is gaining the hands of investors. Shares of the Munich-based automaker rose to the highest level in three years.
It is not the first time that Reddit investors have been stirring. Previously, they pushed shares such as those of game retailer GameStop and cinema operator AMC Entertainment to great heights. Private investors encouraged each other via internet forums to invest in the shares, in order to thwart large investment funds that were speculating on a price fall.