Mercedes-Benz Shares Hit Fresh 52-Week Low Even as Uber’s London Robotaxi Launch Edges Closer

Shares fall to €47.17, down 22% YTD, as recall of 2,712 vehicles and high 7.3% dividend yield raise sustainability concerns despite autonomous driving progress.

Mercedes-Benz shares sank to a new 52-week trough of €47.17 on Monday, ignoring a milestone from one of its most prominent technology bets. The Stuttgart-based automaker’s stock has now lost nearly 22% since the start of the year, closing the session at €48.30. The decline comes despite a breakthrough across the English Channel, where ride-hailing giant Uber has opened its waiting list for commercial robotaxi rides in London — a service that relies on software from Wayve, a British artificial intelligence startup in which Mercedes-Benz holds a strategic stake.

Wayve’s camera- and radar-based autonomous driving system will power the London fleet once regulators give final approval. Mercedes-Benz joined a $1.5 billion funding round for the AI developer in February 2025, a deal that valued Wayve at $8.6 billion. The robotaxi push also received political tailwinds last month, when transport ministers from 17 European Union countries signed a declaration to harmonise cross-border testing of autonomous vehicles, a move aimed at helping European automakers compete in the global self-driving race.

A Small Recall Hits the Core Business

While the long-term autonomous driving narrative gathers pace, the day-to-day operations face a more mundane headache. Germany’s Federal Motor Transport Authority (Kraftfahrt-Bundesamt) has ordered a recall of 2,712 Mercedes-Benz vehicles across 12 model series produced through the end of 2025. The recall affects models including the A-Class, S-Class, E-Class, and the all-electric EQE and EQS. Loose wheel bolts — possibly due to insufficient torque applied at the factory — are the suspected cause. The company has reported no injuries or property damage so far.

A Dividend Yield That Screams Caution

The stock’s plunge has pushed Mercedes-Benz’s dividend yield to a tantalising 7.3%, the highest in the DAX. Based on the most recent annual payout of €3.50 per share and a share price near €48.23, income investors are being offered a yield that historically signals deep market scepticism. The stock trades only a hair above its 52-week low, and the relative strength index (RSI) stands at 35.8 — technically oversold but not yet signalling a clear reversal.

Mercedes-Benz management has so far maintained the dividend, citing the company’s pivot toward luxury models and higher-margin vehicles. But the transformation to electric mobility is swallowing billions in investment, and cyclical demand for premium cars is softening. On top of that, trade conflicts and potential tariffs on exports to key markets threaten a company that generates a large share of its revenue outside Germany.

The Broader Picture: Yield as a Warning Signal

For income-focused investors, the question is whether the €3.50 dividend is sustainable. The market has already priced in considerable doubt: the stock’s decline is roughly a fifth from the start of the year, and Monday’s new low suggests the selling has further to run. The high dividend yield is less a sign of strength and more a reflection of the risks that the market sees — risks that a robotaxi venture, however promising, will not solve overnight. If global auto demand continues to weaken, the payout policy could come under pressure, leaving yield hunters exposed to a potential dividend cut alongside further capital losses.