{
}
The European automotive sector is facing significant challenges, with declining sales, job cuts, and labor unrest as companies like Volkswagen and Stellantis struggle to adapt to tighter regulations and shifting market demands. Analysts predict a tumultuous 2025, exacerbated by potential trade wars and stagnant EV demand, leading to unprecedented factory closures and employee protests. The situation reflects a broader economic downturn, with the auto industry’s struggles impacting Germany's economy and political landscape.
Stellantis has secured a conditional commitment for a $7.54 billion loan from the US Department of Energy to establish lithium-ion battery factories in Indiana, aiming to produce 67 GWh of batteries annually. The company is also investing in lithium-sulfur battery technology, partnering with Zeta Energy to potentially launch a commercial version by 2030, which promises lighter, cheaper, and faster-charging batteries. As scrutiny of these projects increases, the future of Stellantis's EV ambitions remains uncertain amid competitive pressures in the automotive industry.
Britain is set to reach "peak petrol" in 2024, with gasoline-powered cars expected to decline from 18.7 million to 11.1 million by 2034, while electric vehicles (EVs) will rise from 1.25 million to 13.7 million. The EV market share is projected to increase from 18% this year to 23% in 2025, amid pressures from the government's Zero Emissions Vehicle mandate. Despite challenges, including high EV costs and industry concerns over job impacts, the government plans to support the transition with significant investments.
Vivek Ramaswamy criticized the Biden administration's recent spending initiatives, including a $6.6 billion loan to Rivian Automotive, labeling them as a "last minute spending spree" that warrants scrutiny. He expressed concerns over potential fiduciary breaches and emphasized the need for review of eleventh-hour spending decisions, particularly those made through executive power. Ramaswamy, who will co-lead a new agency with Elon Musk, indicated that the agency, DOGE, will focus on targeting government waste and fraud within its limited timeframe.
UBS has downgraded its recommendations for Forvia and Valeo to "neutral" amid a challenging outlook for the European automotive sector in 2025, citing price pressures, market share losses in China, and stringent CO2 regulations. The bank warns of limited profit margins and volatility in production schedules, while maintaining a "buy" recommendation for Stellantis due to its inventory management. Forvia's new CEO, Martin Fischer, will take over in March 2025 as the company faces significant restructuring risks.
Gestamp Automoción S.A. shares fell over 5% after downgrades from Barclays and UBS, citing concerns over free cash flow and subdued production levels in Western Europe, which constitutes 35-40% of sales. UBS lowered its price target to €2, while Barclays adjusted its target to €3.0, highlighting ongoing challenges in North America and the impact of rising capital expenditures amid a declining vehicle production outlook in Europe.
UBS has maintained a "Buy" rating on Stellantis with a target price of 16 euros, despite uncertainties surrounding leadership changes. Analyst Patrick Hummel suggests that the automotive group's investment potential could gain traction, positioning it as a compelling option for a turnaround in 2025.
UBS has rated Stellantis N.V. as a 'Buy' with a target price of 16 euros. The company is a major player in the automotive industry, operating across four sectors: passenger and light commercial vehicle sales, luxury vehicle sales, automotive accessories, and sales financing services. Geographically, North America accounts for 46.7% of net sales, followed by France (9.5%), Brazil (7.3%), and several other regions.
Stellantis N.V. stands as a prominent global automotive manufacturer, structured into four main divisions: passenger and commercial vehicle sales, luxury vehicle sales, automotive equipment, and sales financing services. The company's sales distribution highlights a strong presence in North America (46.7%), followed by France (9.5%), Brazil (7.3%), and Italy (6.2%), among others.
In November, Sweden's auto market saw plugin EVs hold a 61.7% share, with BEVs at 36.3% and PHEVs at 25.4%. The Tesla Model Y remained the best-selling BEV, while overall BEV sales dropped 11% year-on-year, largely due to tariffs on Chinese models. Despite this, PHEVs gained traction, with new models offering over 50 miles of electric range, indicating a shift in consumer preferences.
Stellantis N.V.
Companies
The information provided herein is generated by experimental artificial intelligence and is for informational purposes only.
European Auto Industry Faces Crisis as Volkswagen and Stellantis Struggle
United States Dollar
Euro
Volkswagen AG
Stellantis N.V.
DEU
USA
CHN
Henri de Castries
Daniela Cavallo
Daniel Roeska
Patrick Hummel
John Elkann
Carlos Tavares
Show more
00:21 08.12.2024
Stellantis Secures Major Loan for New EV Battery Factories in Indiana
United States Dollar
Samsung SDI Co., Ltd.
Rivian Automotive, Inc.
FedEx Corp
Zeta Energy
Stellantis N.V.
Walbridge Group
Lyten
Honeywell International Inc.
Tesla, Inc.
USA
GEO
CHN
Elon Musk
Dan Cook
Carlos Tavares
Vivek Ramaswamy
Show more
16:31 06.12.2024
Britain Set to Reach Peak Petrol as Electric Vehicles Surge
07:06 05.12.2024
Biden's Last Minute Spending Under Scrutiny as Ramaswamy Targets Cuts
United States Dollar
Rivian Automotive, Inc.
Samsung SDI Co., Ltd.
Stellantis N.V.
USA
Elon Musk
Bernie Moreno
Vivek Ramaswamy
Show more
00:30 05.12.2024
UBS Downgrades Forvia and Valeo Amid Gloomy Automotive Sector Outlook
15:08 03.12.2024
gestamp shares decline as barclays and ubs downgrade ratings amid challenges
13:40 03.12.2024
ubs maintains buy rating on stellantis with target price of 16 euros
13:28 03.12.2024
ubs rates stellantis as buy with target price of 16 euros
13:18 03.12.2024
Stellantis Maintains Strong Market Position with Diverse Automotive Offerings
United States Dollar
Euro
Stellantis N.V.
Peugeot Invest
DS Automobiles SAS
FRA
DEU
ITA
USA
GBR
NLD
CHN
BRA
Show more
13:15 03.12.2024
Sweden's Electric Vehicle Market Faces Challenges Amidst Shifting Consumer Trends
Swedish Krona
Euro
Kia
Polestar
Stellantis N.V.
Citroen
Volvo AB
Porsche AG
AUD/IDR
GEELY AUTO
Volkswagen AG
Tesla, Inc.
SWE
Show more
13:01 03.12.2024
Trending
Subcategory
Stock Market Updates
Corporate News
Industry Trends
Global Trade Developments
Global Financial Events
Finance Mergers & Acquisitions
Banking Regulations
Retail and Consumer Goods
Startups & Entrepreneurship
Central Bank Actions
Industry Mergers & Acquisitions
Inflation and Monetary Impact
CEO Changes
Market Analysis and Predictions
Government Economic Policies
Government Policies
Domestic Politics
Workplace Trends
GDP Growth & Recession Forecasts
Supply Chain Management
Countries:
Companies:
Barclays PLC
Apple Inc.
JPMorgan Chase & Co.
Tesla, Inc.
Deutsche Bank Money Market PP
Banco Santander, S.A.
The Goldman Sachs Group, Inc.
Credit Suisse Strategic Income I
Berkshire Hathaway Inc.
Lloyds Banking Group plc
SpaceXCoin USD
Bank of America Corporation
Amazon.com, Inc.
UBS Group AG
Morgan Stanley
NVIDIA Corporation
Wells Fargo & Company
BNP Paribas SA
Commerzbank AG
UniCredit S.p.A.
Currencies:
United States Dollar
Euro
British Pound Sterling
Swiss Franc
Japanese Yen
Indian Rupee
Chinese Yuan
Canadian Dollar
Vietnamese Đồng
South Korean Won
Australian Dollar
Thai Baht
New Taiwan Dollar
Singapore Dollar
Indonesian Rupiah
Mexican Peso
Cambodian Riel
Russian Ruble
Hong Kong Dollar
Offshore Chinese Yuan
People:
Donald Trump
Elon Musk
Warren Buffett
JD Vance
Sergio Ermotti
Mark Haefele
Robin Leopold
Olivier Calvet
Troy L Rohrbaugh
Jennifer Piepszak
Karoline Leavitt
Ursula von der Leyen
Alex Kramm
Susan P. Crawford
Scott Bessent
Stacey Friedman
Jeff Bezos
George Saravelos
Francois Xavier Bouvignies
Joseph Spak