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Key Takeaways
- UBS downgraded Stellantis' stock to "netural" and slashed its price target nearly in half.
- The Netherlands-based automaker faces greater headwinds from U.S. tariffs than Detroit-based "Big Three" rivals Ford and General Motors, UBS analysts wrote in a research note.
- The analysts said trade policies jeopardize Stellantis' plan to take back U.S. market share.
UBS downgraded Stellantis' stock and slashed its price target for the Jeep and Chrysler parent nearly in half on Monday.
Analysts at UBS wrote that the Netherlands-based automaker would face greater headwinds due to U.S. Tariffs than Detroit’s “Big Three” automakers Ford F and General Motors GM. UBS reduced its target price from 16.00 euros to 8.80 euros (9.98).
UBS stated that approximately 35% Stellantis vehicles in the U.S. sold are imported. These vehicles are therefore subject to import taxes at 25%. It estimates that the tariffs will cause a 9% drop in annual car sales.
“After several quarters of severe market share loss, Stellantis’ aggressive plan to regain market share in a likely shrinking US market … has now a lower likelihood of success,” analysts said, adding that “without the perspective of a successful US turnaround, a core element to our Buy thesis no longer exists.”
Stellantis shares fell Monday morning, but reversed their course and traded up 3% recently. They still lost 30% of their market value in 2025.
