Mercedes-Benz Taps Dutch Football to Boost EV Image as Workers Protest and Shares Languish

Mercedes-Benz is fighting on several fronts. Its stock has shed nearly a third of its value this year, the workforce is pushing back against austerity measures, and the automaker is doubling down on electrification — most recently with a five-year sponsorship of Dutch football champions PSV Eindhoven. But the marketing deal, while visible, does little to address the deeper troubles weighing on the Stuttgart-based manufacturer.

Under the agreement, which takes effect on July 1, 2026, Mercedes-Benz will provide vehicles to PSV Eindhoven’s players and staff for five years. The local dealer Gomes Eindhoven will supply and service the fleet, while Rebel Lease manages leasing and mobility solutions. The automaker did not disclose the financial terms, making the partnership primarily a branding exercise for investors. The fleet will consist largely of all-electric models, a deliberate signal of the company’s sustainability push. The collaboration goes public at PSV’s Fan Day on July 25, 2026.

The marketing push comes alongside real operational progress on the electric front. In the first quarter, Mercedes-Benz Cars’ BEV sales in Europe jumped 34 percent, and 36 percent in Germany. European orders for electric vehicles more than doubled year over year. The group is also in the middle of the largest model-launch programme in its history, with over 40 new models rolling out between 2025 and 2027, including the fully electric VLE van. Despite these advances, the stock has failed to respond. The company reported first-quarter revenue of €31.6 billion, EBIT of €1.9 billion, industrial free cash flow of €1.86 billion, and net liquidity of €33.8 billion — solid numbers that the market has largely ignored.

Should investors sell immediately? Or is it worth buying Mercedes-Benz?

Meanwhile, internal tensions have escalated. The IG Metall union has called for protests this Friday at Mercedes-Benz plants in Sindelfingen and Untertürkheim, along with a digital rally. The trigger was an internal board letter late last week describing the cost situation in Germany as “dramatic” and calling for further steep cuts. As an immediate measure, the company has deferred the so-called “transformation bonus” (T-Geld) from July 2026 to next year. The payment, equivalent to 18.4 percent of an individual’s monthly salary, affects roughly 90,000 of Mercedes-Benz’s 108,000 German employees. On top of that, supervisory board chairman Martin Brudermüller has floated a return to the 40-hour work week without wage compensation — a move the union fiercely opposes.

The stock is trading at €43.61, barely above its 52-week low of €42.64 and down 29 percent since the start of the year. The 52-week high of €62.30, set in December 2025, feels distant. The 50-day moving average of €48.66 and the 200-day moving average of €54.89 both sit well above the current price, underscoring the bearish trend. The relative strength index stands at 32.7, suggesting the shares are oversold. Analysts remain cautious: Kepler Cheuvreux cut its price target to €48 in late June with a “Hold” rating, while Bernstein Research retains “Neutral” and a €61 target, citing rising geopolitical risks and the costs of the electric transition.

The PSV sponsorship adds a high-profile showcase for electric models, but it will only move the needle if marketing translates into higher sales or stronger pricing. The real test comes on July 28, when Mercedes-Benz reports second-quarter results. Those numbers will reveal whether cost-cutting and margin pressures are easing — or if both the stock and the workforce are in for a longer slog.

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