{"id":109175,"date":"2024-10-01T16:32:03","date_gmt":"2024-10-01T09:32:03","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=109175"},"modified":"2024-10-01T16:32:03","modified_gmt":"2024-10-01T09:32:03","slug":"dodge-parent-stellantis-tumbles-on-warning-dragging-auto-stocks-lower","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=109175","title":{"rendered":"Dodge-parent Stellantis tumbles on warning, dragging auto stocks lower"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div>\n<p>Stellantis stock (<a data-i13n=\"cpos:1;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/STLA\/\" data-ylk=\"slk:STLA;cpos:1;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">STLA<\/a>) tumbled 13% early Monday after the company <a data-i13n=\"cpos:2;pos:1\" href=\"https:\/\/www.stellantis.com\/en\/news\/press-releases\/2024\/september\/stellantis-updates-2024-financial-guidance\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:issued a stark warning;cpos:2;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">issued a stark warning<\/a> about its North American operations, dragging other auto stocks lower in sympathy.<\/p>\n<p>Stellantis \u2014 which counts Dodge, Ram, and Jeep vehicles in its product portfolio \u2014 said it would have to \u201cenlarge remediation actions\u201d it was planning to take due to performance issues in North America and \u201cdeterioration\u201d in the global market, in particular, China.<\/p>\n<p>\u201cActions include North American shipment declines of more than 200,000 vehicles in the second half of 2024 (up from 100,000 prior guidance), compared to the prior year period, increased incentives on 2024 and older model year vehicles, and productivity improvement initiatives that encompass both cost and capacity adjustments,\u201d Stellantis said in a statement.<\/p>\n<p>As a result of these strategic changes, Stellantis now sees adjusted operating income margin of between 5.5% and 7% for the fiscal year 2024, down from prior \u201cdouble digits,\u201d with two-thirds of this hit coming from actions taken in North America. Industrial free cash flow is now expected to come in at a loss of 5 billion euros to 10 billion euros ($5.58 billion-$11.17 billion), a drop from the \u201cpositive\u201d it had seen prior.<\/p>\n<p>Shares of General Motors (<a data-i13n=\"cpos:3;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/GM\" data-ylk=\"slk:GM;cpos:3;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">GM<\/a>), Ford (<a data-i13n=\"cpos:4;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/F\" data-ylk=\"slk:F;cpos:4;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">F<\/a>), and Toyota (<a data-i13n=\"cpos:5;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/TM\" data-ylk=\"slk:TM;cpos:5;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">TM<\/a>) all slipped on Monday as well.<\/p>\n<p>Deterioration in Stellantis\u2019 North American business was no secret, with <a data-i13n=\"cpos:6;pos:1\" href=\"https:\/\/www.autonews.com\/retail\/sonic-automotives-new-vehicle-days-supply-piling\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:inventories swelling;cpos:6;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">inventories swelling<\/a>, <a data-i13n=\"cpos:7;pos:1\" href=\"https:\/\/finance.yahoo.com\/news\/ram-jeep-maker-stellantis-stock-sinks-on-disappointing-results-following-those-of-big-3-rivals-gm-ford-161223439.html\" data-ylk=\"slk:price cuts expanding;cpos:7;pos:1;elm:context_link;itc:0;sec:content-canvas;outcm:mb_qualified_link;_E:mb_qualified_link;ct:story;\" class=\"link  yahoo-link\">price cuts expanding<\/a>, and dealers <a data-i13n=\"cpos:8;pos:1\" href=\"https:\/\/finance.yahoo.com\/news\/stellantis-defends-itself-us-dealers-012529141.html\" data-ylk=\"slk:complaining about company mismanagement;cpos:8;pos:1;elm:context_link;itc:0;sec:content-canvas;outcm:mb_qualified_link;_E:mb_qualified_link;ct:story;\" class=\"link  yahoo-link\">complaining about company mismanagement<\/a>.<\/p>\n<p>Meanwhile, the United Auto Workers (UAW) is considering labor strikes, as it believes Stellantis violated its agreements to restart operations with various projects at Stellantis\u2019 shuttered Belvidere, Ill., assembly plant.<\/p>\n<p>Stellantis isn\u2019t the only automaker facing structural and macroeconomic issues. German automaking giant Volkswagen (<a data-i13n=\"cpos:9;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/VWAGY\" data-ylk=\"slk:VWAGY;cpos:9;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">VWAGY<\/a>) is planning to lay off workers in Germany due to overcapacity and downbeat sales, with <a data-i13n=\"cpos:10;pos:1\" href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/volkswagen-starts-key-pay-talks-with-unions-shadow-possible-plant-closures-2024-09-25\/\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:workers planning to strike;cpos:10;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">workers planning to strike<\/a> in retaliation.<\/p>\n<p>Meanwhile, Japan\u2019s Nissan <a data-i13n=\"cpos:11;pos:1\" href=\"https:\/\/www.motor1.com\/news\/733550\/nissan-cuts-production-rogue-frontier\/\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:will cut production of its Rogue SUV and Frontier pickup;cpos:11;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">will cut production of its Rogue SUV and Frontier pickup<\/a> due to rising inventories, with global sales <a data-i13n=\"cpos:12;pos:1\" href=\"https:\/\/www.bloomberg.com\/news\/newsletters\/2024-09-30\/nissan-struggling-with-no-hybrids-in-the-us-competition-in-china?srnd=hyperdrive&amp;sref=eeq6exxF\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:dropping over 5% in August;cpos:12;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">dropping over 5% in August<\/a>. Nissan\u2019s product mix in the US, where it lacks hybrids, is also hurting its sales performance.<\/p>\n<p>Last week Morgan Stanley\u2019s autos and mobility team, led by analyst Adam Jonas, downgraded the entire US auto sector, citing rising inventories and concerns from China as the main catalysts.<\/p>\n<p>\u201cAt a high level, our downgrade is driven by a combination of international, domestic and strategic factors that we believe may not be fully appreciated by investors,\u201d the Morgan Stanley team wrote in the note. \u201cUS inventories are on an upward slope with vehicle affordability \u2026 still out of reach for many households. Credit losses and delinquencies continue to trend upward for less-than-prime consumers. And China&#8217;s 2-decade-long growth engine has not stalled.\u201d<\/p>\n<p><button class=\"link caas-button readmore-button-finance collapse-button readmore-button-class\" data-ylk=\"elm:readmore;slk:Story continues\"><span class=\"readmoreButtonText\">Story continues<\/span><\/button><\/p>\n<p>Interestingly, Morgan Stanley maintains its Overweight rating on Tesla (<a data-i13n=\"cpos:13;pos:1\" href=\"https:\/\/finance.yahoo.com\/quote\/TSLA\" data-ylk=\"slk:TSLA;cpos:13;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \">TSLA<\/a>), citing Tesla\u2019s AI and self-driving prowess. Tesla\u2019s highly anticipated robotaxi event is slated for next week, on Oct. 10.<\/p>\n<p><em>Pras Subramanian is a reporter for Yahoo Finance. You can follow him on<\/em><a data-i13n=\"cpos:14;pos:1\" href=\"https:\/\/twitter.com\/Pras_S\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:Twitter;cpos:14;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \"><em> Twitter<\/em><\/a><em> and on<\/em><a data-i13n=\"cpos:15;pos:1\" href=\"https:\/\/www.instagram.com\/pras_s\/\" rel=\"sponsored noopener\" target=\"_blank\" data-ylk=\"slk:Instagram;cpos:15;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \"><em> Instagram<\/em><\/a><em>.<\/em><\/p>\n<p><a data-i13n=\"cpos:16;pos:1\" href=\"https:\/\/finance.yahoo.com\/topic\/stock-market-news\/\" data-ylk=\"slk:Click here for the latest stock market news and in-depth analysis, including events that move stocks;cpos:16;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \"><strong>Click here for the latest stock market news and in-depth analysis, including events that move stocks<\/strong><\/a><\/p>\n<p><a data-i13n=\"cpos:17;pos:1\" href=\"https:\/\/finance.yahoo.com\/news\/\" data-ylk=\"slk:Read the latest financial and business news from Yahoo Finance;cpos:17;pos:1;elm:context_link;itc:0;sec:content-canvas\" class=\"link \"><strong>Read the latest financial and business news from Yahoo Finance<\/strong><\/a><\/p>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><script async src=\"\/\/www.instagram.com\/embed.js\"><\/script><br \/>\n<br \/><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/finance.yahoo.com\/news\/dodge-parent-stellantis-tumbles-on-warning-dragging-auto-stocks-lower-165130726.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Stellantis stock (STLA) tumbled 13% early Monday after the company issued a stark warning about its North American operations, dragging other auto stocks lower in sympathy. Stellantis \u2014 which counts &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=109175\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-109175","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/109175","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=109175"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/109175\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=109175"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=109175"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=109175"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}