Current Report: Stellantis (STLA)

Stellantis NV bears the ticker symbol STLA, and this is my first mention of STLA for this Viking Portfolio furthermore, However, Stellantis was looked into last year as a candidate for one of my previous seven dog of the week portfolios.

Stellantis NV was formed on Jan. 16, 2021, from the merger of Fiat Chrysler Automobiles and PSA Group.

The combination of the two companies created the world’s fifth-largest automaker, with 14 automobile brands. In 2022, pro forma Stellantis had sales volume of 6.0 million vehicles and EUR 179.6 billion in revenue, albeit affected by the microchip shortage.

Europe is Stellantis' largest market, accounting for 44% of 2022 global volume while North America and South America were 31% and 14%, respectively.

The company offers its products under the Abarth, Alfa Romeo, Chrysler, Citroën, DS, Dodge, Fiat, Jeep, Maserati, Ram, Opel, Lancia, Vauxhall, Peugeot, Teksid, and Comau brand names.

It sells its products directly, as well as through distributors and dealers.

The company was founded in 1899 and is based in Hoofddorp, the Netherlands.

Three key data points gauge Stellantis or any dividend-paying firm. They are:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

STLA Price

Stellantis’s price per share was $18.70 at Thursday’s market close. In the past year, Stellantis’s share price soared up $3.80 or 25.5%.

If Stellantis NV stock trades in the range of $10.00 to $25.00 this next year, its recent $18.70 share price might rise to $22.50 by next year. My upside estimate of $3.80 is  $0.40 below the median of one-year price estimates from six analysts tracking Stellantis NV for brokers.

STLA Dividend

Stellantis’s most recent annual dividend of $1.436 will pay-out May 4 to shareholders of record April 24 , 2023.

STLA Returns

Adding the $1.44 annual estimated STLA dividend to my $3.80  estimated price upside, reveals a $5.24 potential gross gain per share.

At Wednesday’s $18.70 closing price, a little over $1000 would buy 53 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us $0.19 per share.

Subtract that maybe $0.19 brokerage cost from my estimated $5.24 gross price gain estimate makes a net amount of $5.05 X 53 shares = $267.65 or a 26.7% net gain.

In the next year our $1K investment in shares of Stellantis will generate $76.80 in dividends. Furthermore, a single share of STLA at Thursday’s $18.70 price is over 4 times below the annual dividend income from $1000.00 invested.

So, by my dogcatcher ideal, this is a prime time to consider STLA shares, based on their dividends for 2023. The dividend from $1k invested is 4.11 times greater than Stellantis’s single share price. Consider yourself alerted.

All of the estimates above are speculation based on the past history of investment in shares of Stellantis NV. Only time and money invested in this stock will determine its future market value.


More By This Author:

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Daily Stock Analysis: Escalade Incorporated
Daily Stock Analysis: Bassett Furniture Industries Inc.

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, ...

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