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Stellantis (STLA) Dips More Than Broader Market: What You Should Know

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Stellantis (STLA - Free Report) closed the latest trading day at $21.34, indicating a -1.84% change from the previous session's end. This change lagged the S&P 500's 0.56% loss on the day. Elsewhere, the Dow saw a downswing of 0.25%, while the tech-heavy Nasdaq depreciated by 0.59%.

The the stock of automaker has fallen by 6.86% in the past month, lagging the Auto-Tires-Trucks sector's loss of 4.92% and the S&P 500's gain of 1.2%.

The investment community will be paying close attention to the earnings performance of Stellantis in its upcoming release.

For the full year, the Zacks Consensus Estimates project earnings of $5.74 per share and a revenue of $199.84 billion, demonstrating changes of +2.5% and +5.6%, respectively, from the preceding year.

Any recent changes to analyst estimates for Stellantis should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Stellantis is currently a Zacks Rank #3 (Hold).

With respect to valuation, Stellantis is currently being traded at a Forward P/E ratio of 3.79. This signifies a discount in comparison to the average Forward P/E of 6.92 for its industry.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 70, putting it in the top 28% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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