13 Best Car Stocks to Buy in 2025

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10. Stellantis N.V. (NYSE:STLA)

Number of Hedge Fund Holders: 32   

Stellantis N.V. (NYSE:STLA), the fourth-largest automotive original equipment manufacturer by vehicle sales, was formed in January 2021 by the combination of French-based Peugeot and US-based Fiat Chrysler Automobiles. It sold 5.5 million vehicles in 2024, with North America accounting for 47%, South America for 26%, and Europe for 17%. Its brands are Fiat, Jeep, Chrysler, Ram, Peugeot, Citroën, Opel, Alfa Romeo, and Maserati. It is ranked ninth on our list of the Best Auto Stocks.

In 2022, former Stellantis N.V. (NYSE:STLA) CEO Carlos Tavares introduced the business’s DARE 2030 plan, which aimed to make the company the most profitable automobile original equipment manufacturer in the world while generating double-digit operating margins. The firm achieved an impressive EUR 8.4 billion in net cash synergies by the end of 2023, compared to the EUR 5 billion it aimed for at the time of the merger. Double-digit adjusted operating margins were sustained for three years in a row.

In 2024, Stellantis N.V. (NYSE:STLA) showed excellent inventory management by reducing US dealer stock from 430,000 units at the halfway point of the year to 304,000 units at the end, surpassing its goal of 330,000 units. Furthermore, the company expanded its global reach by introducing innovative new products like the Fiat Grande Panda, Citroen C3, Dodge Charger, Jeep Wagoneer S, Citroen C3 Aircross, and Opel Frontera. It proposed a EUR 300 million contract with Comau and a dividend of EUR 0.68 per share, totaling EUR 1.7 billion, demonstrating its commitment to shareholder returns in the face of challenges. The firm and Leapmotors in China had a successful partnership; Leapmotors doubled sales to 300,000 units and became profitable in Q4 2024.

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