The pace of recovery slowed in the final quarter of 2010 for two of the three automotive stock groups followed by the Automotive News Europe/PricewaterhouseCoopers Transaction Services Shareholder Value Index. Automakers fared well on average, with shareholder value increasing by 17.9 percent. This was close to that seen in the preceding quarter. The growth in shareholder value for suppliers however, at 10.7 percent, was halved, while retailers slipped back to zero growth.
The Q4 gains by both automakers and their suppliers compared well with leading share indices. Carmakers beat all the leading U.S. and European market indices, while suppliers outpaced the Dow Jones, the FTSE 100 and France’s CAC40.
"Automakers demonstrated a significant turnaround in 2010 compared with the lows of 2009, driven by increased investor confidence, investment in new models and green technologies. The signs for 2011 are positive, although economic conditions in Europe will remain challenging," said Jason Wakelam, leader of PwC UK's Automotive Transaction Services.