David Fuller's view

One would expect the Head of Sales to be upbeat on an international business programme but Bloomberg’s Hans Nichols asked the right questions.

China will remain the world’s biggest market for automobile sales, but BMW expects to see a slight decline in volume relative to 2014.  This would be partially due to China’s economic slowdown but its domestic automobile industry will also be improving. 

Nevertheless, BMW remains a formidable competitor in the quality mass consumer market, as you would have seen from its latest 7-Series automobiles mentioned in the interview.  Also, BMW is even cheaper after the global stock market setback, trading at and estimated p/e of 9.43 and yielding 3.31%.  The best rally since its peak at €123.75 on 20^th March should mean that we saw an important low in late August.  Markets are often volatile and subject to fashion changes, but BMW remains a good long-term investment, in my opinion.