Porsche stock slides on profit forecast; company may ‘pass’ tariff costs on to customers

News Snapshot:

Porsche stock is sliding after the company cut a key profit target — and revealed it may pass down tariff costs to its well-to-do customers. Porsche said expects a global operating return on sales (or ROS, a measure of profit margin) in a range of 10% to 12% in 2025, down from 14.1% in 2024 — and sharply down from 18% ROS in 2023. Issues with China, rising costs, and a product revamp would continue to weigh on results. The German luxury automaker said it is targeting a medium-term (two- to five-year timespan) ROS of 15%-17%, a drop compared to...