CNH Industrial Soars 12.50% Despite Tariff Concerns

CNH Industrial's stock price experienced a significant intraday decline of 3.10%, reaching its lowest level since September 2024. However, the stock managed to close the day with a 12.50% increase, indicating a volatile trading session.

CNH Industrial has recently halted shipments from its North American plants. This decision comes as the company evaluates the potential impact of tariffs on its business operations. The move is part of a broader strategy to assess how these tariffs might affect its supply chain and customer base. The company is also considering passing on the increased costs to its customers, which could influence its pricing strategy in the near future.

Citi has revised its price target for CNH Industrial, citing concerns over the potential negative impact of tariffs on U.S. farmers' exports and profits. This revision reflects the broader economic uncertainty and the potential for an extended downcycle in the North American agriculture sector. The tariffs could lead to reduced demand for agricultural equipment, which is a significant part of CNH Industrial's business. This, in turn, could affect the company's revenue and profitability in the coming quarters.