Stellantis Halts Production of PHEV Models Amid Declining Demand
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 09 2026
0mins
Should l Buy STLA?
Source: CNBC
Stellantis NV's stock fell 3.85% as it hit a 20-day low amid broader market weakness, with the Nasdaq-100 down 0.06% and the S&P 500 down 0.04%.
The company announced plans to halt production of plug-in hybrid Jeep models and Chrysler minivans starting in 2026 due to a significant drop in consumer demand for PHEVs. This decision reflects Stellantis's need to reassess its electrification strategy, as actual sales have fallen short of expectations, indicating a waning interest in these models among consumers. The reduction in urgency to produce PHEVs is also influenced by the easing of regulatory pressures, allowing the company to focus on more competitive electrified solutions.
This strategic pivot highlights Stellantis's ongoing evaluation of its product lineup to better respond to market demands. The decision to halt production is part of a broader effort to adapt to changing consumer preferences and improve competitiveness in the evolving automotive landscape.
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Analyst Views on STLA
Wall Street analysts forecast STLA stock price to rise
14 Analyst Rating
7 Buy
7 Hold
0 Sell
Moderate Buy
Current: 7.840
Low
9.33
Averages
11.81
High
15.15
Current: 7.840
Low
9.33
Averages
11.81
High
15.15
About STLA
Stellantis N.V., formerly Fiat Chrysler Automobiles N.V., is a holding Company based in the Netherlands and operates as an automaker and a mobility provider. The Company is engaged in designing, engineering, manufacturing, distributing and selling vehicles, components and production systems. The Company has industrial operations in more than 30 countries and sells its vehicles directly or through distributors and dealers in more than 130 countries. The Company designs, manufactures, distributes and sells vehicles for the mass-market under the Abarth, Alfa Romeo, Chrysler, Dodge, Fiat, Fiat Professional, Jeep, Lancia and Ram brands. In addition, the Company designs, manufactures, distributes and sells luxury vehicles under the Maserati brand. The Company's brand portfolio also includes Peugeot, Citroen, DS Automobiles, Opel and Vauxhall. It offers a wide variety of vehicle choices from luxury and mainstream passenger vehicles to pickup trucks, sport utility vehicle (SUVs).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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