US Stock Market Move | Strong North American performance drives significant turnaround; Stellantis (STLA.US) opens higher and climbs, up nearly 13%

On Wednesday, Stellantis (STLA.US) gapped up more than 10% at the open, and as of publication, its gain had widened to 13%. On the news front, Stellantis released its third-quarter results: net revenue of EUR37.611 billion, up 1% year over year and above the market expectation of about EUR36.4 billion; net loss of EUR453 million, narrowing by 90% from a loss of EUR4.532 billion in the same period last year; adjusted operating profit of EUR256 million (US$285 million), slightly above the market consensus, up 184% year over year, with a margin of 0.7%. The company maintained its full-year guidance unchanged and reiterated its target of turning industrial free cash flow positive by 2027. By region, the North American market performed strongly, achieving a significant turnaround in adjusted operating profit; however, the enlarged European market recorded a recurring operating loss of EUR311 million, affected by the transition to hybrid and battery-electric models and cost disruptions. Operationally, the company's consolidated shipments in the third quarter fell 1% to 1,286,000 units; combined shipments fell 2% to 1,308,000 units.