Chrysler's 100-Year Legacy Fuels a Bold EV Comeback

Chrysler, marking its 100th anniversary in 2025, stands at a historic inflection point. The storied automaker, once synonymous with engineering excellence and iconic models like the Plymouth and Hemi engine, is now leveraging its century of expertise to reposition itself as a leader in the electric vehicle (EV) revolution. Backed by its parent company Stellantis' deep pockets and cutting-edge technology, Chrysler's upcoming EV lineup—including the Halcyon-inspired vehicles—could finally deliver on its promise to revive its brand and equity. Here's why investors should pay attention.

A Legacy Built on Engineering Prowess

Chrysler's history is a tapestry of automotive milestones. From the first modern automatic transmission in 1948 to the V8 Hemi engine that defined muscle cars, the brand has long been a pioneer of innovation. This heritage isn't just nostalgia—it's a foundation for trust in an industry where consumers increasingly prioritize reliability and performance.

But today, the challenge is translating that legacy into the EV era. Stellantis, the European-American conglomerate that absorbed Chrysler in 2021, has positioned it to do just that. By 2028, Chrysler aims to offer an all-electric portfolio, starting with its first battery-electric vehicle (BEV) in 2025—a move timed to coincide with its centennial.

Halcyon's Innovation: A Blueprint for the Future

The Halcyon Concept, unveiled in 2024, is more than a show car—it's a masterclass in what EVs can become. Key features include:
- Sustainability First: A lithium-sulfur battery (developed with Lyten) reduces carbon footprint by 60% compared to lithium-ion, avoiding rare metals like nickel and cobalt.
- Wireless Charging: Dynamic Wireless Power Transfer (DWPT) envisions “unlimited range” via road-embedded sensors, a technology Stellantis tested in Italy in 2022.
- Autonomy and Comfort: Level 4 self-driving capabilities, retractable steering wheels, and a “Stargazing Mode” that projects constellations via an AR HUD redefine what a car can offer.

The Halcyon's design also prioritizes practicality: foldable seats, a modular cabin, and biometric controls cater to modern lifestyles. This isn't just a car; it's a lifestyle statement.

The Strategic Playbook: Stellantis' Resources Matter

Chrysler's revival hinges on Stellantis' scale and innovation. The conglomerate's Dare Forward 2030 plan allocates over €50 billion to electrification, including 400 GWh of battery capacity and six North American/European battery plants. By 2028, Stellantis aims for 100% BEV sales in Europe and 50% in the U.S.

While STLA's stock has lagged behind Tesla's meteoric rise, this gap may narrow as its EVs hit the market. Chrysler's 2025 crossover (based on Stellantis' STLA Large platform) targets a 500-mile range and 800-volt fast-charging capability, competing directly with Tesla's Model Y and Ford's F-150 Lightning.

The Pacifica: A Bridge to the EV Future

Chrysler's Pacifica minivan—long a sales stalwart—will undergo a 2026 refresh, likely with an all-electric variant. This dual approach—honoring its core customer base while pivoting to EVs—could be its secret weapon. The Pacifica's reputation for family-friendly practicality could attract buyers hesitant to embrace EVs, easing the transition.

Why Investors Should Bet on Chrysler's Resurgence

1. Undervalued Assets: Stellantis trades at a P/E ratio of ~6x, far below Tesla's ~70x. This reflects skepticism about traditional automakers' EV transitions, but Stellantis' tech pipeline (e.g., lithium-sulfur batteries) and global scale suggest this discount is overdone.
2. First-Mover Advantages: Halcyon's DWPT and sustainable batteries address critical EV pain points (range anxiety, environmental impact). If adopted widely, these could become defensible moats.
3. Brand Revival Momentum: Chrysler's centennial offers a PR tailwind. A well-timed Halcyon launch in 2025—paired with Pacifica's reliability—could reposition it as a modern, forward-thinking brand.

Risks to Consider

• Market Saturation: Competitors like Tesla, Rivian, and GM's Ultium platform already dominate EV headlines. Chrysler's success depends on execution speed and differentiation.
• Battery Supply Chains: Lithium-sulfur tech is still nascent; delays in scaling production could undermine timelines.
• Consumer Appetite: Will buyers prioritize Chrysler's heritage over newer EV brands? The Pacifica's loyalty may help here.

Investment Thesis: Buy the Dip, Hold for the Turn

Chrysler's EV roadmap is ambitious but grounded in Stellantis' resources. With a stock price that hasn't yet reflected its 2025-2028 product cycle, now is a time to accumulate shares.

The Halcyon's blend of sustainability and tech could carve out a niche in the luxury EV segment, while the Pacifica's electric variant targets families. If Stellantis delivers on its platform scalability (eight models across five brands by 2026), Chrysler's valuation could catch up to its potential.

Final Take

Chrysler's 100th anniversary isn't just a milestone—it's a catalyst. With Stellantis' backing, its engineering legacy, and a bold EV vision, the brand is primed to regain relevance in a market hungry for innovation and reliability. For investors, this is a bet on an undervalued turnaround story with a clear roadmap—and a century of credibility to back it up.

Positioning Suggestion: Accumulate Stellantis (STLA) stock on dips below €10/share, with a target price of €15 by 2026. Pair with a long-term hold for exposure to the EV transition.