Today’s Change
Current Price
Stellantis (STLA +0.40%), designs, manufactures, and sells automobiles and light commercial vehicles worldwide. The stock closed Thursday at $7.56, up 0.40%. The move followed today’s Investor Day disclosures on the €60 billion “FaSTLAne 2030” turnaround plan and platform strategy. Investors are watching for execution on cost cuts, free cash flow, and new model launches. Trading volume reached 46.4 million shares, about 130% above its three-month average of 20.2 million shares. Stellantis IPO’d in 2010 and has grown 135% since going public.
How the markets moved today
The S&P 500 inched up 0.18% to 7,446, while the Nasdaq Composite added 0.09% to finish at 26,293. Among auto manufacturers, peers General Motors closed at $77.22 (+1.42%), and Ford Motor Company finished at $13.67 (+3.40%), as investors reassess legacy automakers’ EV and software plans.
What this means for investors
Shares of Stellantis opened the day roughly 7% lower but rallied back to even as the market digested details from its FaSTLAne 2030 strategy during its Investor Day. The company unveiled its STLA One modular platform, allowing buyers to choose their own vehicle platform, powertrain, electronics, software, and connected services, creating a personalized experience.
Management also announced financial targets for 2030 that would see sales rise from €154 billion to €190 billion, adjusted operating income improve from -0.5% to 7%, and industrial free cash flow turnaround from a loss of €4.5 billion to a profit of €6 billion.
Trading at just 0.125 times sales, Stellantis offers turnaround potential if it executes on its 2030 vision.
Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool recommends General Motors and Stellantis. The Motley Fool has a disclosure policy.
