Stellantis (NYSE:STLA) Releases Quarterly Earnings Results, Misses Expectations By $0.13 EPS

Stellantis (NYSE:STLA) issued its quarterly earnings results on Thursday. The company reported $0.14 EPS for the quarter, missing analysts’ consensus estimates of $0.27 by ($0.13), FiscalAI reports. The firm had revenue of $49.63 billion during the quarter, compared to analysts’ expectations of $43.93 billion.

Here are the key takeaways from Stellantis’ conference call:

• Stellantis reported significant year-over-year improvement in Q2: net revenue rose 13% to €43.5 billion, adjusted operating income increased €560 million to €773 million, and industrial free cash flow reached positive €1 billion. Management reaffirmed its 2026 guidance and expectation for positive industrial free cash flow in 2027.
• North America continued to recover, with sales up 6% and market share up 40 basis points, while regional AOI improved by €724 million to €284 million. Ram, Chrysler Pacifica and Jeep Grand Wagoneer contributed to growth, and management expects further benefits from new products and improved pricing.
• The company reported strong progress on its Value Creation Program, with manufacturing efficiency improving substantially and purchasing, logistics and warranty costs declining. Stellantis expects 40% of identified initiatives to be implemented by year-end, contributing to €2.4 billion of AOI benefits in 2027 and a €6 billion annual run-rate reduction by 2028.
• Product launches and partnerships are supporting growth: European BEV sales increased 20% year over year, Leapmotor sales in Europe increased sixfold, and new products such as the Ram 1500 TRX SRT, Jeep Recon BEV and Grand Wagoneer REV are expected to improve volume and mix.
• Profitability remains under pressure from European pricing, raw-material inflation, tariffs and foreign-exchange headwinds, while North American margins have not yet shown strong operating leverage despite higher shipments. Inventory rose 20% year over year, and second-half cash flow will face summer shutdowns, higher investment spending and approximately €1 billion of additional raw-material and tariff-related headwinds.

Stellantis Price Performance

STLA traded down $0.07 during midday trading on Friday, hitting $5.79. The stock had a trading volume of 24,996,517 shares, compared to its average volume of 19,525,844. Stellantis has a 1 year low of $5.25 and a 1 year high of $12.22. The company has a market cap of $21.81 billion, a P/E ratio of 23.18, a price-to-earnings-growth ratio of 0.31 and a beta of 1.46. The business has a fifty day moving average of $6.39 and a 200 day moving average of $7.42. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.75 and a current ratio of 1.03.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of STLA. Viking Global Investors LP purchased a new stake in Stellantis during the 4th quarter valued at about $434,320,000. Marshall Wace LLP lifted its position in Stellantis by 353.2% in the fourth quarter. Marshall Wace LLP now owns 15,145,245 shares of the company’s stock valued at $167,481,000 after purchasing an additional 11,803,688 shares during the last quarter. Morgan Stanley lifted its position in Stellantis by 3.5% in the fourth quarter. Morgan Stanley now owns 8,918,850 shares of the company’s stock valued at $97,126,000 after purchasing an additional 298,844 shares during the last quarter. Groupe la Francaise boosted its stake in shares of Stellantis by 39.0% during the fourth quarter. Groupe la Francaise now owns 8,789,705 shares of the company’s stock valued at $96,542,000 after purchasing an additional 2,464,003 shares during the period. Finally, Invesco Ltd. boosted its stake in shares of Stellantis by 7.5% during the third quarter. Invesco Ltd. now owns 7,428,462 shares of the company’s stock valued at $69,382,000 after purchasing an additional 519,443 shares during the period. 59.48% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. JPMorgan Chase & Co. reiterated a “neutral” rating on shares of Stellantis in a research note on Thursday, July 9th. Weiss Ratings reissued a “sell (d)” rating on shares of Stellantis in a research note on Friday, July 17th. Kepler Capital Markets cut Stellantis from a “strong-buy” rating to a “hold” rating in a report on Thursday, April 16th. Bank of America lowered Stellantis from a “neutral” rating to an “underperform” rating in a report on Monday, May 11th. Finally, Zacks Research raised shares of Stellantis from a “strong sell” rating to a “hold” rating in a research note on Monday, April 27th. Two analysts have rated the stock with a Strong Buy rating, two have assigned a Buy rating, ten have issued a Hold rating and five have given a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $8.79.

Key Stellantis News

Here are the key news stories impacting Stellantis this week:

• Positive Sentiment: Stellantis reported second-quarter revenue of €43.5 billion, up 13% year over year, with North American revenue increasing 32%. Operating income more than tripled, adjusted operating income rose to €0.8 billion, and industrial free cash flow reached €1 billion. Stellantis Reports Q2 2026 Financial Results
• Positive Sentiment: The company returned to a second-quarter profit of approximately €293 million, helped by stronger demand in North America, new model launches and progress under its turnaround program. Management reaffirmed its full-year 2026 guidance and five-year growth plan. Stellantis operating income more than triples in Q2
• Neutral Sentiment: CEO Antonio Filosa continued to emphasize the company’s long-term recovery strategy, while reports highlighted possible streamlining or reduced emphasis among Stellantis’ 14 brands. This could improve capital allocation, but also underscores portfolio-execution risks. Stellantis is profitable again
• Negative Sentiment: Profitability was weaker than expected. Reported net profit of €293 million missed the roughly €464 million forecast, while quarterly EPS of $0.14 was below the $0.27 consensus, despite revenue exceeding expectations. The earnings miss prompted investors to focus on still-thin margins and execution risk. Stellantis second quarter profit miss
• Negative Sentiment: Stellantis is recalling just over 1.5 million Ram 1500 pickups worldwide because of a seat-belt issue. The recall could add costs and create additional reputational and regulatory pressure during the turnaround. Stellantis to recall 1.5 million Ram 1500 pickup trucks

Stellantis Company Profile

Stellantis N.V. is a global automotive manufacturer formed through the merger of Fiat Chrysler Automobiles (FCA) and Groupe PSA, a transaction completed in January 2021. The company designs, manufactures and sells a broad portfolio of passenger cars, light commercial vehicles and related powertrains under a large number of well-known brands, including (but not limited to) Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, Fiat, Jeep, Maserati, Opel, Peugeot, Ram and Vauxhall. Stellantis also provides parts, accessories, service operations and branded aftersales support through legacy networks such as Mopar and regional dealer ecosystems.

In addition to vehicle manufacturing, Stellantis operates mobility- and software-related businesses and financial services.