Wall Street Has A Few Thoughts On the Volkswagen Scandal

Earlier this week the company admitted to using „defeat device“ software to beat emissions tests in labs. The diesel vehicles spewed as much as 40 times the legal limit of pollutants when they were on the road, the EPA alleges. Not only does this hurt Volkswagen‘s reputation, but it could come with a large price tag. According to an earlier report from Bloomberg, the matter may cost the company $18 billion in penalties from the EPA.

Given the news, analysts on Wall Street covering the stock and the auto sector in general have been sending out slews of updated research. Many are trying to estimate the potential financial damage for VW itself, as well as the wider impact on the car industry.