Stellantis shines, Byd's interest in plants and capital markets day awaited

 (Il Sole 24 Ore Radiocor) - Purchases on Stellantis at Piazza Affari, where the group's shares are benefiting from the possible interest of the Chinese of Byd for the group's plants in Italia and the expectation for next week's capital markets day.

On the first front, Byd's executive vice-president Stella Li, declared her interest in the possibility of exploiting the unused capacity of European plants, including those of Stellantis. Li also expressed appreciation for the Maserati brand, which he described as 'very interesting', while admitting that he had not taken any action on it.

"For Stellantis, an agreement with Byd would represent an opportunity for cost reduction in the short term, but also a medium-term risk as Chinese brands are already gaining increasing market share and would become even more deeply rooted in the territory," commented Equita analysts. In any case, according to Banca Akros experts, if Stellantis 'were to consider selling one of its under-utilised plants, it would be of great benefit to the group'. The operation, in fact, would entail 'a reduction in fixed costs', which would favour 'a return to healthier operating leverage' and greater profitability, as well as superior cash generation.

Citi, finally, published a report of a meeting with CEO Antonio Filosa, ahead of Capital Markets Day on 21 May. "While he understands investors' concern following the release of the first-quarter accounts regarding continued cash outflows and a weaker balance sheet," Citi writes, "Filosa remains optimistic about the ability to increase deliveries, revenues, adjusted operating profit and free cash flow in the coming quarters," while acknowledging the challenges related to global instability, materials and energy costs, tariffs and global competition. According to Citi, Filosa is 'focused on solving the problems' that have led the group to lose market share and worsen its balance sheet in recent years.