Stellantis NV (NYSE:STLA) said Monday that preliminary second-quarter vehicle shipments rose 10% from a year earlier to nearly 1.6 million units, as North America powered the rebound with stronger Ram, Jeep and Chrysler volumes.
North America Drives Shipment Rebound
The automaker said North American shipments jumped 38% to 445,000 vehicles, making the region the main driver of the quarterly gain.
Reuters reported that new and refreshed models supported the increase, including the Ram 1500 8-cylinder light-duty truck, its high-performance off-road TRX SRT version, the Jeep Grand Wagoneer, Grand Cherokee and Chrysler Pacifica. The company also said the North American result reflected preparations for its planned summer production shutdown.
The rebound builds on earlier momentum. Stellantis’ first-quarter shipments rose 12%, with North America up 17% due to demand for the Ram 1500 HEMI V8 and Jeep models. It is worth noting that North America led Stellantis’ third-quarter shipment growth last year with a 35% jump.
Europe Adds Support With Budget Models
Europe also helped. Stellantis said shipments in its Enlarged Europe region rose 5% to 762,000 units, "supported by higher industry volumes." The total included about 33,000 vehicles from Chinese partner Leapmotor, which Stellantis distributes and sells in the region. Demand was strong for budget models, including the Citroën C3, C3 Aircross, Opel Frontera and Fiat Panda.
Those gains offset weaker volumes elsewhere. Reuters reported that shipments declined in the Middle East and Africa "largely due to the regional conflict," while South America suffered from a weaker market in Argentina.
US Investment Bolsters Turnaround Push
The shipment jump gives CEO Antonio Filosa more evidence that Stellantis is stabilizing its U.S. business after pricing, inventory and product issues hurt the automaker.
AP reported last October that Stellantis had announced a $13 billion U.S. investment plan to boost domestic production by 50% and add more than 5,000 jobs, partly to counter tariff pressure.
Stellantis is expected to report its full second-quarter results on July 30.
Price Target: Stellantis shares were up 2% at $5.61 during premarket trading on Monday.
According to Benzinga Pro data, the Consensus price target is near $15.98, with the most recent analyst ratings clustering around Hold to Overweight.
Benzinga Edge Rankings show STLA stock fails to provide a favorable price trend in the Short, Medium and Long term.
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