itstargetnews
On April 4, 2025, in Toluca, Mexico, a company took a photo of the Stellantis logo at one of its assembly plants after announcing that it would suspend production at the plant.
Henry Romero | Reuters
automaker stocks star The company plunged 20% in European shares on Friday after it said it expected to take a 22 billion euro ($26 billion) hit as it revamps its business to speed up the rollout of electric and hybrid vehicles.
The company’s Milan-listed shares fell 18.7% shortly after European trading opened.
Other French auto stocks also fell on Friday morning, including Valeo and lost Both fell more than 1.2% Renault Slide 2%.
Stellantis also previewed some fourth-quarter numbers on Friday, saying it expected a net loss in 2025. Given this net loss, the company has suspended dividends for 2026 and plans to raise up to 5 billion euros through the issuance of hybrid bonds.
Through 2026, the auto giant targets mid-single-digit percentage growth in net income and low-single-digit adjusted operating margin growth.
“The charges announced today largely reflect the costs of overestimating the speed of the energy transition, putting us at odds with the real needs, means and desires of many car buyers,” Stellantis CEO Antonio Filosa said in a statement.
“They also reflect the impact of poor execution from previous operations, the impact of which our new team is gradually addressing.”
The company said the suspension of dividends and debt issuance will help maintain its balance sheet and outlined actions it took last year as part of its reset strategy.
These include declaring the “largest invest Stellantis’ U.S. History”—totaling $13 billion over four years—as well as launching 10 new products, eliminating products that were unable to achieve profitability at scale, and restructuring its global manufacturing and quality management capabilities.
Driven by U.S. investment, the transatlantic automaker said it would add 5,000 jobs to its U.S. workforce.
Although these initiatives resulted in a cost of 22.2 billion euros, the company said that together they have returned to positive sales growth in 2025.
Stellantis’ U.S. market share rose to 7.9% in the second half, while the company said it ranked second overall in expanded European market share.
“Year of execution”
The company’s shares have been under pressure for some time, with its Italian shares falling nearly 25% last year and 40.5% the year before. The stock is now down more than 13% since the start of 2026.
Stratis share price
before filosa dubbing 2026 marks an “executive year” for the troubled automaker, which has struggled with declining sales and disappointing earnings for years.
Stellantis plans to release its full 2025 earnings on February 26.
