A transatlantic giant underperforms expectations
Five years after its creation, Stellantis has yet to deliver the long-term value many investors expected from one of the automotive industry’s largest mergers. Formed in January 2021 through a $52 billion combination of Fiat Chrysler and France’s Groupe PSA, the automaker was positioned as a global powerhouse with scale, efficiency and strong brand diversity.
Instead, the stock performance tells a more cautious story. Shares listed in the United States are down roughly 43% since the merger, while Italian-listed shares have fallen close to 40%. Although the company’s stock traded well above its debut levels for much of its early life, confidence eroded sharply after disappointing financial results in 2024.
From early gains to strategic doubts
After debuting on the New York Stock Exchange in January 2021, Stellantis shares climbed steadily, reaching a peak gain of about 74% by March 2024. That momentum reversed when the company reported weaker results amid aggressive cost-cutting and heavy investment tied to its electric vehicle strategy.
Those pressures raised concerns about execution, product competitiveness and relationships across the supply chain. Internally, tensions grew as management pursued ambitious profitability targets while navigating a rapidly shifting global auto market.
Leadership change resets priorities
Much of Stellantis’ original strategy was shaped by Carlos Tavares, the longtime automotive executive credited with engineering the merger. His abrupt departure in December 2024 marked a turning point for the company.
Antonio Filosa, who took over as chief executive last summer, has begun reshaping priorities. Several initiatives linked to the previous long-term plan have been altered or dropped entirely, as the new leadership focuses on stabilisation and execution rather than expansion.
Refocusing on core brands and markets
Filosa’s turnaround effort places particular emphasis on restoring momentum for Jeep and Ram in the United States, where both brands have suffered extended market share declines. Rebuilding trust with dealers and improving product positioning are central to this push.
At the same time, Filosa has acknowledged that parts of Stellantis’ wide brand portfolio may need reassessment. Italian marques such as Fiat and Alfa Romeo have struggled domestically, raising the possibility of regional refocusing, though Filosa has reiterated his belief that the group should remain intact.
Execution year ahead
Since Filosa formally assumed the CEO role in June, Stellantis shares have risen modestly, up around 2%, though recent volatility underscores lingering uncertainty. The stock closed last week at $9.60, reflecting investor caution ahead of clearer strategic guidance.
A forthcoming meeting with more than 200 senior executives is expected to shape the company’s next phase, including preparation for an upcoming capital markets day and a sharper focus on culture, pricing strategy and 2026 execution.
For investors, Stellantis’ five-year mark highlights the difficulty of turning scale into sustainable performance. Whether the automaker can convert structural strength into consistent growth now depends less on ambition and more on disciplined delivery.
