Stellantis CEO Reconfirms 2026 Guidance Amid Record-Low U.S. Share Price
Quick Look
- Stellantis CEO Antonio Filosa reconfirmed the company's 2026 financial guidance and long-term cash flow targets during an event in Detroit, as U.S. shares traded at an all-time low.
- He reiterated goals for mid-single-digit revenue growth, low-single-digit adjusted operating margin in 2026, positive cash flow by 2027, and over 3 billion euros in free cash flow by 2028.
- The stock closed at $4.43 on Tuesday, down 4.1% for the day and nearly 60% year-to-date, marking its worst annual performance since the 2021 Fiat Chrysler-PSA merger.
AI-generated summary
Why It Matters
Stellantis was formed in January 2021 from the merger of Fiat Chrysler and PSA Groupe. The company has been executing a roughly $70 billion turnaround plan to address margin dilution and sales declines, particularly in North America and the U.S.
DETROIT — Stellantis CEO Antonio Filosa on Wednesday reconfirmed the company's 2026 guidance and longer-term cash flow targets as U.S. shares of the embattled automaker trade at an all-time low.
"We are completely committed and we are convinced that we will do that," Filosa said Wednesday about Stellantis' forecast for this year of a mid-single-digit percentage increase in net revenue and a low-single-digit adjusted operating margin.
Filosa also reconfirmed the company is aiming to be cash flow positive by next year and generate more than 3 billion euros ($3.4 billion) of free cash flow in 2028.
The stock closed Tuesday at $4.43 a share, down 4.1% during the day's trading session. That was a new closing low for the company's U.S. shares and contributed to a nearly 60% loss so far this year. The stock is on track for its worst annual performance since the automaker was formed through the merger of Fiat Chrysler and PSA Groupe in January 2021.
The trans-Atlantic automaker has been executing a roughly $70 billion turnaround plan following margin dilution and yearslong sales declines, especially in North America and the U.S.
Filosa's turnaround strategy has included focusing on regional brands to boost sales, such as Ram and Jeep in the U.S., but it is not cutting down its vast portfolio of 14 automotive brands. The plan's core pillars are "sharper management" of the brand portfolio, new investments, enhanced partnerships, an optimized manufacturing footprint, "excellence in execution," and empowerment of the company's regions and local teams.
"The mantra of the reset is around freedom of choice," Filosa, who became CEO in June 2025, said Wednesday during an Automotive News event in Detroit. "It's around listening more to the customer."
The goal is for the company to achieve positive free cash flow by 2027. Free cash flow for the automaker was a loss of 4.5 billion euros last year.
What to Watch
AI outlook — possibilities, not facts
Stellantis will achieve positive free cash flow by 2027
Possible · Within years
Stellantis will generate more than 3 billion euros of free cash flow in 2028
Possible · Within years
Open Questions
- What specific actions will Stellantis take to improve sales in North America beyond focusing on Ram and Jeep?
- How will the company balance its 'freedom of choice' mantra with the need to optimize its 14-brand portfolio?
- What metrics will indicate success of the 'sharper management' and 'excellence in execution' pillars of the turnaround plan?
