- Stellantis’ adjusted operating margin decreased significantly to 5.5% from 12.8% the previous year.
- Adjusted operating income dropped by 64% to EU8.65 billion, missing the estimate of EU9.07 billion.
- The company experienced negative industrial free cash flow of EU6.05 billion, a turn from the positive EU12.86 billion the year before.
- Net income fell by 70% to EU5.52 billion.
- A dividend per share of EU0.68 was declared.
- Overall net revenue decreased by 17% to EU156.88 billion, though slightly above the estimate of EU155.57 billion.
- North America net revenue saw a significant 27% drop to EU63.45 billion.
- Net revenue in Enlarged Europe decreased by 11% to EU59.01 billion, slightly exceeding the estimate of EU57.96 billion.
- South America net revenue was slightly down by 1.2% to EU15.86 billion, missing the estimate of EU16.04 billion.
- Middle East & Africa achieved net revenue of EU10.10 billion, a 4.4% decrease, but above the estimated EU9.77 billion.
- China, India & Asia Pacific net revenue plummeted by 44% to EU1.99 billion.
- Maserati’s net revenue decreased dramatically by 55% to EU1.04 billion.
- Vehicle sales in North America decreased by 25% to 1.43 million, just below the estimated 1.45 million.
- Enlarged Europe vehicle sales dropped by 8.5% to 2.58 million, slightly above the estimated 2.56 million.
- South America vehicle sales rose by 3.8% to 912,000.
- Middle East & Africa vehicle sales decreased by 4.5% to 423,000.
- China, India & Asia Pacific vehicle sales fell significantly by 40% to 61,000.
- Maserati vehicle sales declined sharply by 58% to 11,300.
- The company forecasts positive net revenue growth for the full year.
- Mid-single digits adjusted operating income margin is anticipated for the full year.
- Positive industrial free cash flows are expected in the full year.
- The process to appoint a new permanent Chief Executive Officer is well underway and expected to conclude in the first half of 2025.
Stellantis NV on Smartkarma
Analysts on Smartkarma, such as Baptista Research, are closely monitoring Stellantis NV‘s recent developments. The resignation of CEO Carlos Tavares has garnered attention, marking a significant moment for the company’s future. Once hailed for his success at Peugeot and Opel, Tavares faced hurdles at Stellantis leading to his departure. In a tumultuous year plagued by stock declines and operational challenges, Stellantis is now at a crucial juncture needing a new direction to navigate forward.
Baptista Research‘s coverage delves into Stellantis N.V.’s financial performance in the first half of 2024, shedding light on both obstacles and strategies for growth. The insights from CEO Tavares and CFO Natalie Knight reveal a period of turbulence for the automaker, marked by operational and market difficulties. Despite the challenges, the company demonstrates resilience with plans for recovery and innovation in its product lineup. Baptista Research‘s analysis aims to assess the various influencers on Stellantis’ valuation, using methods like Discounted Cash Flow to offer an independent perspective on the company’s trajectory.
A look at Stellantis NV Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 5 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts are optimistic about the long-term outlook for Stellantis NV, a company that manufactures and markets automobiles and commercial vehicles. With top scores in Value and Dividend factors, Stellantis is seen as a strong contender for investors looking for stable returns and solid financial health. Additionally, the company has scored well in Resilience, indicating its ability to weather economic uncertainties.
However, Stellantis received lower scores in Growth and Momentum, suggesting potential challenges in expanding its market share and sustaining upward stock price trends. Despite this, the company’s diversified business lines, including metallurgical products and production systems for the automobile industry, provide a cushion against industry-specific risks. Overall, Stellantis is viewed favorably for its value, dividend payments, and resilience in the face of market fluctuations.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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