Business · Markets · 10 hrs ago

Volkswagen’s patent value is estimated at nearly twice its stock market value

Volkswagen’s patent value is estimated at nearly twice its stock market value

A Munich-based consultancy, Quant IP, assessed the patents held by companies in Germany’s Dax stock index.

Its analysis suggests Volkswagen’s patents are worth nearly twice as much as the carmaker’s stock market value.

The valuation considered how well each patent is protected, how relevant it is to the company’s products and the cash flow it could generate.

Patent value is an estimate of what another party might pay to use the patents and continue selling the company’s products.

The analysis also identifies companies whose market value may not fully reflect their knowledge and innovation.

That could give investors a chance to buy shares in some companies at a lower price than their patent value might suggest.

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