In recent hours, Jefferies has revised its rating on Stellantis upward, moving from “Hold” to “Buy”, a decision that has driven the automotive group’s stock to gain 4%. According to analysts, the giant born from the merger between FCA and PSA, now led by CEO Antonio Filosa, is showing encouraging signs of operational recovery after a period marked by declining margins and loss of market share. Among the positive factors highlighted by Jefferies are greater punctuality in new model launches in Europe and better vehicle positioning in the United States, where Stellantis has suffered from high inventory levels and uncompetitive prices.
Jefferies raises rating and Stellantis stock gains 4% on the stock exchange
Analysts estimate that 2025 will represent the lowest point in terms of earnings, with adjusted EBIT expected at 6.5 billion euros and earnings per share of 1.32 euros. However, progressive improvement is expected starting from 2026, with a recovery in free cash flow, expected at 1.5 billion euros in 2025 and growing between 5 and 6 billion euros annually in subsequent years. Operating margin is also set to improve, with estimates between 6% and 8%, supported by a more balanced product portfolio and simplified brand management.
In North America, Jefferies expects initial EBIT at 2.6% in 2025, gradually growing to 5% in the second half of the year, thanks to the arrival of new models and price adjustment policies. In Europe, the operating margin should settle around 3.8%, favored by stable volumes and reduced fixed costs.
Antonio Filosa, CEO of Stellantis, has already initiated an internal rationalization process, reducing the number of executives to improve operational efficiency and maintaining direct control over the North American business. The group also maintains a solid financial position and continues to invest in the electrification path.
