Stellantis shares jump 13% as Q3 results bolster €60bn turnaround plan
The automaker posted modest revenue growth and a sharp rise in adjusted operating income, sending its stock sharply higher.
Shares of Stellantis rose sharply on Wednesday after the European carmaker released its third‑quarter results, which showed incremental progress on its €60 billion turnaround plan.
Revenue for the quarter increased 1% year‑on‑year to €37.6 billion, while adjusted operating income surged 184% to €256 million, up from €90 million a year earlier.
Industrial free cash flow narrowed its deficit to €‑4 billion, an improvement from €‑4.3 billion in the same period last year.
Stellantis also reconfirmed its 2026 guidance and reiterated its target of achieving positive free cash flow next year, a point highlighted by investors.
RBC Capital Markets analyst Tom Narayan noted that “Q3 was soft, but consensus expectations were far lower. Key here is that ‘26 Guidance was maintained while other auto OEMs and suppliers are cutting on elevated costs.”
On the New York Stock Exchange the stock closed up 13% at $4.69 per share, while in Milan it finished at €4.28, up 15.4%. Both markets, however, remain well below their start‑of‑year levels.
CEO Antonio Filosa told investors the company is ahead of schedule on the turnaround plan announced in May. He said Stellantis expects to exceed its previously announced cost‑cutting efforts of €6 billion under the plan by 2028, including €2.4 billion to start in 2027.
Filosa added, “We are very confident in reaffirming our ‘26 guidance. Those include ‘27 free cash flow positive,” responding to concerns about the carmaker’s ability to meet its free‑cash‑flow target.
The 2026 outlook includes a mid‑single‑digit percentage rise in net revenue and a low‑single‑digit adjusted operating margin.
Under the turnaround plan, Stellantis will invest €36 billion across its brand portfolio, allocating 60% of that cash to its North American operations. The plan also calls for new vehicle introductions, model refreshes and the integration of new technologies.
Looking ahead, Stellantis targets roughly 23% revenue growth, from €154 billion last year to €190 billion by 2030, and a 7% adjusted operating margin at that point.
European carmakers, including Stellantis, continue to face stiff competition in China, where domestic brands such as Xiaomi, BYD and Geely are gaining ground. This week, Porsche announced a reduction in its China exposure, and Mercedes‑Benz reported a slump in third‑quarter sales in the market.
Earlier this month, Filosa told CNBC that European regulators need to do more to incentivize manufacturers to produce vehicles in the region to counter Chinese rivals, calling for regulation that “incentivizes, rewards, and protects the ones that are able to demonstrate that they design cars, engineer cars.”
Overall, the latest results suggest Stellantis is making headway on its ambitious restructuring, though the stock remains far from its early‑year highs.
