On Thursday, Stellantis reiterated its financial forecasts for 2024 ahead of an investor day yesterday in Auburn Hills (Michigan).

Following this meeting, Oddo BHF is maintaining its Outperform rating on the stock, with an unchanged target of E30

' Although the improvement will only be gradual, the various exchanges have confirmed our view that the company will reach a low point in the first half and then improve, driven by new models (15/20% of volumes in the second half, compared with 5/10% in the first) and cost reductions (fixed and variable), despite a price environment that is undoubtedly more difficult ' says Oddo BHF.

The 2024 guidance has therefore been confirmed, with MOP in the 1st half expected to be between 10-11%, followed by an increase in the 2nd half, and FCF also showing strong sequential growth.

Finally, in terms of capital allocation, management has, unsurprisingly, placed great emphasis on investment efficiency (30% vs. peers), which should enable the manufacturer to fully finance its transformation and position itself among the world leaders, including in terms of technology.

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