Barbosa, Luís Miguel NunesPereira, Manuel Barbosa2025-02-122025-02-122024-06-062024-05-17http://hdl.handle.net/10362/178870This report delves into the valuation of the German carmaker Mercedes-Benz, culminating in a buy recommendation with an anticipated upside of up to 10.55%. To reach this conclusion, a comprehensive analysis of the automotive industry, macroeconomic environment, and Mercedes-Benz's strategy was undertaken. The forecasting of the multinational’s free cash flow underscored the pivotal role of EV adoption as Mercedes aims to become the top luxury seller. This absolute valuation was complemented by relative multiples valuations and a sustainability analysis. Overall, all strategies point in the same direction: a clear upside as Mercedes positions itself as a key player in the new era of driving.engMercedes BenzMercedesElectric vehiclesEvAutomobilesAutonomous drivingLuxuryLegacy cars manufactoryEquity researchValuationmaster thesis203866371