'Anything but autos': Can defense save Europe's ailing car industry?

European automakers are pivoting into defense manufacturing to shore up struggling vehicle sales, with analysts noting many production and engineering skills are transferable. The move represents a defensive revenue-diversification strategy that could support near-term sales and margins for impacted OEMs and suppliers and may move individual stocks by low-single-digit percentages.

Analysis

European automakers are pivoting into defense manufacturing to shore up struggling vehicle sales, with analysts noting many production and engineering skills are transferable. The move represents a defensive revenue-diversification strategy that could support near-term sales and margins for impacted OEMs and suppliers and may move individual stocks by low-single-digit percentages.