New York, Feb 7, 2026, 06:41 EST — The session has wrapped up.
- Stellantis (STLA) finished Friday at $7.28, tumbling 23.7%.
- The company reported roughly €22.2 billion in charges and won’t be issuing a dividend for 2026.
- After a punishing repricing, attention shifts to Feb. 26 results, then the May 21 Investor Day.
Shares of Stellantis N.V. (STLA) tumbled 23.7% to finish at $7.28 on Friday, with investors reacting to news of a roughly €22.2 billion charge related to the company’s revised electric-vehicle plans and the decision to skip an annual dividend in 2026. Still, the stock edged up about 1.6% in late after-hours action.
The drop throws Stellantis’ balance-sheet strategy into sharp relief again. Investors want evidence that the company can halt its cash burn and steady U.S. profits before markets open Monday.
Stellantis, in its latest regulatory filing, said it expects about €6.5 billion in cash charges spread over the coming four years, and it’s looking at a preliminary net loss somewhere between €19 billion and €21 billion for the back half of 2025. The board also signed off on as much as €5 billion worth of non-convertible subordinated perpetual hybrid bonds — this sits lower than senior bonds on the balance sheet and usually gets partial equity treatment. For 2026, management is flagging early guidance: mid-single-digit net revenue growth, adjusted operating margin stuck in the low single digits, plus an estimated €1.6 billion hit from net tariff (import duty) expenses.
The company attributed €14.7 billion of the charge to shifts in product strategy and scaled-back hopes for battery-electric vehicle demand. Another €2.1 billion comes from trimming the EV supply chain. Throw in €5.4 billion for warranty provisions and restructuring—fresh evidence that quality issues can pack as much of a punch as overestimating EV appetite.
Stellantis CEO Antonio Filosa admitted the company had “over-estimating the pace of the energy transition,” and now says “freedom of choice” — combustion, hybrid, or electric — is returning as a priority across its lineup. Stellantis highlighted moves already in motion: scrapping its planned Ram 1500 battery-electric pickup and reintroducing the HEMI V-8 engine option for the Ram 1500.
The announcement hit as legacy automakers wrestle with cooling EV demand and mixed policy cues, after the Trump administration’s subsidy rollback; Ford and General Motors have both booked hefty EV-related charges. “Stellantis got it wrong about how fast the shift from combustion would happen,” said AJ Bell’s Russ Mould, while Citi analysts called out the writedown’s scale and cash impact as “a key negative.” Milan-listed Stellantis shares at one stage plunged as much as 30%. “We’ll need to see stronger data to rebuild confidence,” said AcomeA SGR’s Fabio Caldato. Pedro Pacheco at Gartner cautioned that a sharp pivot away from EVs could spark “an overreaction.” Reuters
The reset remains just a draft, with early numbers on the table. Cash outflows—linked to charges, warranties, and tariffs—might not let up, especially if North America fails to pick up or if pricing pressure turns out worse than Stellantis anticipates.
Traders are set to see if Friday’s drop bleeds into Monday’s open (Feb. 9), and there’s focus on whether credit buyers push for a higher price if Stellantis chooses to come to market with hybrid bonds. Asset moves remain in view too, with Stellantis having agreed to sell its 49% stake in a Canadian battery joint venture to LG Energy Solution.
Rival automakers are stuck with a tough balancing act, forced to pour money into EVs but also defend the profit margins of pickups and SUVs that still generate most of the cash. Stellantis, in particular, finds itself leaning on Jeep and Ram, with execution and any hint of a U.S. volume rebound coming under renewed scrutiny.
Stellantis will report its full-year numbers on Feb. 26. Investor Day lands May 21, when Filosa is slated to unveil the new long-term strategy. Investors want specifics—cash generation goals, and clarity on dividends, if the balance sheet picture comes into focus.
