'Voltswagen' Puts VW Closer to Apple Car, Wedbush Says

Volkswagen accidentally unveiled electric-vehicle line. It's branding under the name Voltswagen. And Wedbush sees a deal with Apple.
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Volkswagen is adding Voltswagen of America to its list of subsidiaries, according to an accidentally leaked news release, and Wedbush sees the company partnering with Apple  (AAPL) - Get Report for the company's oft-rumored Apple Car. 

Monday's release said the change is a "public declaration of the company’s future-forward investment in e-mobility.”

The name Voltswagen will be placed as an exterior badge on all EV models with gas vehicles retaining the dark blue VW emblem. 

Wedbush says that "VW is the most likely EV partner for Apple as Cupertino goes through the EV dating game and likely picks its strategic EV partner by the summer time frame for the Apple Car."

The Apple Car is being developed for a 2024 or later release, AppleInsider recently reported. 

Meanwhile, Wolfsburg, Germany-based Volkswagen recently forecast e-vehicle deliveries of around 450,000 this year -- 10% shy of Tesla's 495,000 total over the whole of 2020 -- and is targeting a return on sales of between 3% and 4%. 

"VW is doubling down on its EV initiatives for the next decade as the European auto stalwart unveiled its plans to build six 'gigafactories' in Europe by 2030 with a total production capacity of 240 gigawatt hours per year," Wedbush analyst Dan Ives said in a note. 

Volkswagen will keep the dark blue color of the VW logo for gas-powered vehicles to "preserve elements of Volkswagen's heritage," according to the release.

Voltswagen vehicles will be colored in a light blue to differentiate "the new, EV-centric branding."

American depositary receipts of Volkswagen (VWAGY)  at last check jumped 10% to $38.21.

Voltswagen of America will remain an operating unit of Volkswagen Group of America and a subsidiary of Volkswagen AG.