Stellantis initiated with a Market Perform at Bernstein

Bernstein analyst Daniel Roeska initiated coverage of Stellantis with a Market Perform rating and $23.50 price target. After a significant re-rating in 2023, Stellantis shares have declined 30% since late March and following the recent capital markets day, the company faces increasing risks to near term results, the analyst tells investors in a research note. The firm says market normalization and U.S. pricing headwinds will weigh on 2024 earnings while uncertainty on electric vehicle margins and increasing competition outside the U.S. will hamper a further re-rating of the shares.