Quantcast

BMW's (BAMXF) DriveNow Service Expands Footprint in London


Shutterstock photo

Per Reuters, BMW AGBAMXF is expanding the presence of its car-sharing service DriveNow in five new boroughs of London. With the latest additions, the company will now offer services to nine boroughs along with a widened total fleet of 720 BMW and Mini cars. The newly added expansions are in Westminster, Barnet, Tower Hamlets, Southwark and Brent.

Further, this German automaker had to reach agreements with separate local authorities in order to add five boroughs under its operations. Per management, the expansion in new boroughs is in sync with DriveNow's vision. It also emphasizes the company's optimism regarding London's potential.

Formed through a joint venture in 2011, DriveNow is currently a wholly owned subsidiary of BMW. With over one million users, it offers car-sharing service through a fleet of 6,000 vehicles. In London, BMW's DriveNow service was launched in 2014. Apart from London, this car-sharing service is offered by the company in many European cities, consisting Vienna, Copenhagen, Brussels, Milan, Helsinki and Lisbon.

However, BMW is not the first company to offer such services in London. In 2012, Daimler AG DDAIF launched its car2go business in the city. Nonetheless, it became difficult to coordinate with separate authorities across different boroughs and encourage customers to opt for car sharing services within the city. This forced Daimler to withdraw its car-sharing service car2go from London in 2014.

Apart from BMW and Daimler, a few other stocks in the auto space are PACCAR Inc. PCAR and Fox Factory Holding Corporation FOXF . The long-term growth rate of PACCAR and Fox Factory are 10.4% and 16.8%, respectively.

Will You Make a Fortune on the Shift to Electric Cars?

Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.

With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.

It's not the one you think.

See This Ticker Free >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Fox Factory Holding Corp. (FOXF): Free Stock Analysis Report

PACCAR Inc. (PCAR): Free Stock Analysis Report

Daimler AG (DDAIF): Free Stock Analysis Report

Bayerische Motoren Werke AG (BAMXF): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Business , Stocks
Referenced Symbols: FOXF , PCAR , DDAIF , BAMXF



More from Zacks.com

Subscribe






Zacks.com
Contributor:

Zacks.com

Equity Research










Research Brokers before you trade

Want to trade FX?