Mercedes-Benz bought another 904,601 of its own shares in the week of 26 to 30 October, the company disclosed on Monday in the ninth interim report of its current buyback programme. Since the scheme began on 1 September, the Stuttgart-based carmaker has repurchased a total of 7,391,990 shares, a figure covering all transactions through 30 October.
The steady pace of repurchases comes against a backdrop of dimming earnings prospects. Alongside its quarterly results just over a week ago, Mercedes-Benz cut its forecast for the adjusted return on sales at Mercedes-Benz Cars for 2026 to 2 to 3 percent, down from a previous range of 3 to 5 percent. Group EBIT is now expected to land at the prior-year level rather than clearly above it, while free cash flow from the industrial business is projected to come in significantly below last year’s figure — a sharper downgrade than the slight decline previously guided.
Management pointed to a tougher market environment in China and higher raw material and product-cycle costs in the fourth quarter as the reasons behind the trimmed outlook. The quarterly report also flagged intensifying competition in China.
UBS trims its target
Analysts have been adjusting their models accordingly. According to media reports, UBS lowered its price target for Mercedes-Benz from EUR 45.00 to EUR 42.50 on 29 October, while leaving its rating at “Neutral”. Analyst Patrick Hummel pointed to the strategic overhaul expected in February, which he said should focus in particular on China and on investment.
That revamp is set to be fleshed out on 18 February 2027, when Mercedes-Benz is scheduled to publish its annual results and outlook. The date marks the next preliminary reporting milestone for investors weighing the buyback against the softer cash flow guidance.
Battery diagnostics for used EVs in Japan
Separately, Mercedes-Benz Japan has begun disclosing the condition of high-voltage batteries in certified used electric vehicles, giving prospective buyers an extra basis for valuing a car. The initiative ties battery health information to existing warranty terms — a practical step in the used EV business rather than the launch of new vehicle technology.
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At the centre of the scheme is the battery’s state of health (SOH), which dealers determine using a diagnostic system before passing the results on to interested buyers. The offer applies to certified used EVs sold by Mercedes-Benz Japan, with plug-in hybrids explicitly excluded. The scope is therefore tightly defined: it covers neither all used cars bearing the brand nor any globally announced rule.
Warranty thresholds vary by model
The added data matters most in the context of the battery warranty. If remaining capacity falls below 70 percent of the new-car level within the warranty period, the battery is replaced free of charge. Measured battery health and the guaranteed minimum capacity thus serve different purposes for buyers: the reading describes current condition, while the warranty governs the replacement case.
For the EQA, EQB and EQC, as well as the CLA models named and the GLC electric, cover runs for 8 years or 160,000 kilometres from first registration, whichever limit is reached first. That distinction carries weight in the used market, since mileage as well as age determines how much protection remains. Longer cover applies to the EQE, EQS and their SUV variants plus the Mercedes-Maybach EQS SUV, for which Mercedes-Benz Japan quotes 10 years or 250,000 kilometres — again ending at whichever threshold comes first. Warranty terms therefore differ by model group.
In the second half of November, Mercedes-Benz Japan also plans an SOH measurement event at the Mercedes-Benz Studio Tokyo, adding a further point of access to the battery-health topic beyond the dealership. For investors, the takeaway is the execution: the company is widening the information available to buyers of used electric cars in Japan and linking it to clearly stated warranty limits.
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