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Shares of Stellantis N.V. (STLA) popped in premarket trading Wednesday after the company said it shipped a lot more cars and trucks last quarter than it did a year ago. How many more? Try 1.4 million vehicles, which is a 12% year-over-year increase. For an automaker, that's a pretty good way to start the year.
The growth wasn't uniform everywhere, but it was strong where it counts. North America and Europe did the heavy lifting.
Let's start with North America, because that's where the growth was biggest. Shipments there rose by about 54,000 units, which is a 17% increase. What were people buying? The Ram 1500 with the HEMI V8 engine and various Jeep models. The Jeep Grand Wagoneer and the all-new Jeep Cherokee were big contributors, though that was partially offset by lower volumes for the Jeep Compass.
Over in what Stellantis calls "Enlarged Europe," shipments increased by about 69,000 units, up 12%. This was led by new passenger car launches. Models on the Smart Car platform saw a huge 85% surge, and shipments of vehicles under the Leapmotor brand reached around 27,000 units, showing the brand is gaining some commercial traction in the region.
The story in other parts of the world was a bit more of a mixed bag. In the Middle East and Africa, shipments grew by roughly 11,000 units, or 11%. That was driven mainly by Türkiye, with support from Algeria. However, volumes in the Gulf Cooperation Council countries—think places like Saudi Arabia and the UAE—declined significantly during the period.
Down in South America, shipments rose by about 8,000 units, or 4%. Gains in Brazil managed to offset a decline in Argentina.
It's worth noting what these shipment numbers mean. Stellantis said the figures are unaudited, but they represent vehicles delivered to dealers, distributors, or customers. In the accounting world, that's typically when a company gets to recognize the revenue. So, more shipments generally points to more revenue coming in the door.
So, the company is moving more metal. What does that mean for the stock? Let's look at the charts.
The stock was trading at $8.16. That's about 33% below its 52-week high of $12.22, which is a pretty wide gap. On a shorter-term basis, it's 14% above its 20-day simple moving average of $7.17, which suggests a short-term bullish trend. However, it remains 10% below its 100-day simple moving average of $9.13, suggesting that level might act as resistance.
The relative strength index (RSI) is at 65.26. That's in a zone that typically indicates neutral momentum—it's not overbought yet. The moving average convergence divergence (MACD) indicator remains above its signal line, which suggests bullish momentum is in play. Put it together, and the stock seems to have some upward momentum but isn't in extreme territory.
What do the professionals think? The stock carries a consensus Hold Rating with an average price target of $12.10. Recent analyst moves have been a bit of a rollercoaster:
STLA Stock Price Activity: Putting it all together, Stellantis shares were trading 2.94% higher at $8.40 during the premarket session on Wednesday.
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