Stellantis Shares Drop 2.13% on Monday Despite Berenberg's Upgrade
Stellantis shares fell by 2.13% to 8.2180 euros this Monday, January 19, despite Berenberg raising its price target from 9.50 to 10 euros, maintaining a buy recommendation. The stock is in an oversold zone with an RSI at 26 points and has seen a weekly decline of 12.59%.
Current Trading Session Details
Stellantis shares are down 2.13% this Monday, January 19, at midday, trading at 8.2180 euros compared to 8.40 euros at last Friday's close. This drop occurs paradoxically on the same day Berenberg raised its price target from 9.50 to 10 euros while maintaining a buy recommendation. The stock is now below its support threshold of 8.40 euros, confirming a downward trend that has been building over several sessions. Over the past seven days, the automaker has seen a correction of 12.59%, amid persistent investor skepticism towards the European automotive sector. The RSI index stands at 26 points, indicating an oversold zone and suggesting that selling pressure has reached a critical threshold. Technically, the price is now below its 50-day moving average at 9.31 euros and close to its 200-day moving average at 8.69 euros. The negative MACD at -0.24 confirms the lack of short-term upward momentum, while the very negative Chaikin Money Flow at -0.36 indicates sustained capital outflows.
Berenberg's Revised Outlook
This Monday, Berenberg raised its price target on Stellantis to 10 euros from 9.50 euros, reaffirming its buy recommendation. This upward revision is part of a broader sector analysis where the German bank anticipates the first growth in European automotive sector profits in three years by 2026. The analysis bank counts on the gradual improvement of inventory situations in the United States and the dynamics of new model launches to justify its confidence in the stock. This stance contrasts with that taken last Friday by Bank of America, which initiated neutral coverage with a target at 10.30 euros, indicating prospects for strengthening in the Americas but persistent difficulties in Europe. The stock is currently caught between valuations deemed attractive by some analysts and the structural uncertainties weighing on the sector. Last week, Bernstein adjusted its target to 8.50 euros while HSBC raised it to 10 euros, illustrating the divergence of opinions. Investors are now awaiting the publication of the 2025 annual results scheduled for February 26, a deadline that should provide clarifications on the group's trajectory in an automotive environment marked by the electric transition and Chinese competition. Over the past year, the stock has lost 34.55%, reflecting the operational challenges the Franco-Italian-American manufacturer continues to face.
