Markets

Daimler to Recall More Than 1M Vehicles Over Air Bag Snag

Stock performance with laptop and calculator

Per Reuters, Daimler AGDDAIF reported to globally recall more than 1 million Mercedes-Benz cars and sport utility vehicles due to possible air bag deployment issue.

The safety recall include 495,000 vehicles of the United States, 400,000 from Britain, 76,000 of Canada and a few hundred thousand from Germany. Daimler doesn't have the exact count of total vehicles to be recalled.

The recalled vehicles include A, B, C models from the 2012-2018 period besides E-Class versions and CLA, GLA, GLC vehicles.

Daimler AG Price and Consensus

Daimler AG Price and Consensus | Daimler AG Quote

Air bags in the driver side front might accidentally deploy due to electrostatic discharge coupled with a broken clock spring and inadequate grounding of steering components. In order to fix the issue, dealers will add new grounding to the steering components.

Per Mercedes-Benz management in the United States, a few accidents with drivers having suffered minor bruises occurred due to this air bag deployment problem.

Earlier in July, the company recalled more than 3 million Mercedes-Benz diesel vehicles in Europe due to emissions concerns.

Price Performance

Shares of Daimler have gained 8.8% year to date, outperforming the industry 's 6.6% rally.

Zacks Rank & Other Key Picks

Daimler sports a Zacks Rank #1 (Strong Buy). Some other top-ranked auto stocks are Adient PLC ADNT , Cummins CMI and Continental AG CTTAY holding a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here

Adient has an expected long-term earnings growth rate of 10.6%.

Cummins has an expected long-term earnings growth rate of 12%.

Continental has an expected long-term earnings growth rate of 7.1%.

Looking for Stocks with Skyrocketing Upside?

Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.

Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.

See the pot trades we're targeting>>

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

Daimler AG (DDAIF): Free Stock Analysis Report

Adient PLC (ADNT): Free Stock Analysis Report

Cummins Inc. (CMI): Free Stock Analysis Report

Continental AG (CTTAY): 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.


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

In This Story

CTTAY DDAIF CMI ADNT

Other Topics

Stocks

Latest Markets Videos

Zacks

Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

Learn More