Daimler Truck: Benefits of a European Turnaround Not Priced In; Shares Undervalued

Despite its superior scale as the largest Western truck manufacturer and its dominant position in the oligopolistic US truck market, Daimler’s financial performance has lagged its peers. While its North American Truck segment generates industry-leading margins, the group’s performance is burdened by the uncompetitively high cost of its European operations.