Kepler Capital Maintains Buy Rating for Stellantis with €12.00 Target Price

Kepler Capital maintains a Buy rating for Stellantis with a price target of €12.00, citing a strong market position and robust financial performance. The analyst consensus is a Hold with an average price target of $10.56. STLA's market cap is $35.89B, and the P/E ratio is -10.65. However, corporate insider sentiment is negative, with 38 insiders selling their shares over the past quarter.

Stellantis, a major player in the global automotive industry, is under significant pressure as the European automobile sector grapples with declining exports and intensifying competition from Chinese manufacturers. The company, which includes brands like Fiat, Peugeot, and Jeep, has seen a 70% profit drop in 2024 and faces challenges from weaker demand in Europe and the rise of Chinese brands offering aggressively priced vehicles.

According to data from TradingView [1], Spain, a key producer of automotive vehicles, has seen a 8.9% year-on-year drop in sector exports between January and June 2025, with the trade surplus collapsing by 55% to just €2.14 billion. This decline is attributed to reduced demand in Germany, France, and Italy, as well as the entry of Chinese brands like Chery, which is starting assembly in Barcelona.

Analysts at Kepler Capital maintain a Buy rating for Stellantis with a price target of €12.00, citing a strong market position and robust financial performance. However, corporate insider sentiment is negative, with 38 insiders selling their shares over the past quarter. The analyst consensus is a Hold with an average price target of $10.56, reflecting the mixed signals in the market.

Technical indicators for Stellantis (NYSE: STLA) suggest a balanced market with potential medium-term recovery if resistance at €9.812 and €11.488 is broken. The stock is currently trading around US$10, with a P/E ratio of -10.65 and a market capitalization of $35.89B. The company's shipments are projected to recover in the latter half of the year, and its valuation appears significantly lower compared to its industry peers.

The European automobile industry faces a decisive 2025, with exports falling, trade surplus shrinking, and Chinese competition intensifying. Spain’s industrial and export engine risks losing traction without decisive adaptation. The sector’s survival hinges on institutional support, competitive electrification, and market diversification.

References:
[1] https://www.tradingview.com/symbols/NYSE-STLA/ideas/