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Jeep Maker's Shocking Profit Flip: Wall Street Not Impressed

Stellantis posts profit after huge loss, but Wall Street slams its brakes as shares tumble and growth questions mount.

Jeep Maker's Shocking Profit Flip: Wall Street Not Impressed
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Hold onto your steering wheels, because the plot thickens faster than a Jeep can climb a mountain! Stellantis, the auto conglomerate that puts the ‘family’ in family road trip misery with brands like Jeep, Dodge, and Chrysler, just performed a financial magic trick worthy of Vegas: turning a soul-crushing 1.87 billion euro loss into a 293 million euro profit. But before CEO Antonio Filosa pops the champagne on his FaSTLAne 2030 ’turnaround plan,’ Wall Street is giving him the side-eye so cold it could freeze a radiator.

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Yes, North America’s thirst for gas-guzzlers gave the bottom line a shot of adrenaline, but the celebration was cut short faster than a Fiat in the fast lane. Shares in Milan plunged over 8%, with U.S. investors also hitting the brakes. Why? Because the ‘adjusted operating income’ of 773 million euros missed analyst forecasts by a country mile. It’s like showing up to a red carpet in sweatpants—technically you’re there, but everyone knows you’ve failed.

Insiders are whispering that Filosa’s strategy is less ‘fast lane’ and more ‘scenic route with frequent breakdowns.’ The shiny new Jeep Cherokee, allegedly the savior, is being kept on a painfully short leash. Filosa himself admitted they’re ’limiting some trims’ because the SUV is ‘very exposed to tariffs.’ Translation: they’re scared to actually sell the car because it might cost them money. A bold strategy!

And let’s talk about that juicy 1 billion euro in ‘industrial free cash flow,’ which sounds impressive until you realize it’s the corporate equivalent of finding loose change in the couch cushions. Citi analysts sniffed that the operating margin is still a ‘very low’ 1.8%, which in auto mogul terms is basically poverty. The verdict from the suits on the Street? They’ll need to see more than just one quarter of not-losing-money before they believe this jalopy can truly race again. Filosa pleads for patience, saying ’the road is long,’ but investors are already checking the map for an exit.

Original article: CNBC ▸

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business · Exclusive

Jeep Maker's Shocking Profit Flip: Wall Street Not Impressed

Stellantis posts profit after huge loss, but Wall Street slams its brakes as shares tumble and growth questions mount.

Jeep Maker's Shocking Profit Flip: Wall Street Not Impressed

Hold onto your steering wheels, because the plot thickens faster than a Jeep can climb a mountain! Stellantis, the auto conglomerate that puts the ‘family’ in family road trip misery with brands like Jeep, Dodge, and Chrysler, just performed a financial magic trick worthy of Vegas: turning a soul-crushing 1.87 billion euro loss into a 293 million euro profit. But before CEO Antonio Filosa pops the champagne on his FaSTLAne 2030 ’turnaround plan,’ Wall Street is giving him the side-eye so cold it could freeze a radiator.

Advertisement

Yes, North America’s thirst for gas-guzzlers gave the bottom line a shot of adrenaline, but the celebration was cut short faster than a Fiat in the fast lane. Shares in Milan plunged over 8%, with U.S. investors also hitting the brakes. Why? Because the ‘adjusted operating income’ of 773 million euros missed analyst forecasts by a country mile. It’s like showing up to a red carpet in sweatpants—technically you’re there, but everyone knows you’ve failed.

Insiders are whispering that Filosa’s strategy is less ‘fast lane’ and more ‘scenic route with frequent breakdowns.’ The shiny new Jeep Cherokee, allegedly the savior, is being kept on a painfully short leash. Filosa himself admitted they’re ’limiting some trims’ because the SUV is ‘very exposed to tariffs.’ Translation: they’re scared to actually sell the car because it might cost them money. A bold strategy!

And let’s talk about that juicy 1 billion euro in ‘industrial free cash flow,’ which sounds impressive until you realize it’s the corporate equivalent of finding loose change in the couch cushions. Citi analysts sniffed that the operating margin is still a ‘very low’ 1.8%, which in auto mogul terms is basically poverty. The verdict from the suits on the Street? They’ll need to see more than just one quarter of not-losing-money before they believe this jalopy can truly race again. Filosa pleads for patience, saying ’the road is long,’ but investors are already checking the map for an exit.

Original article: CNBC ▸

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