Stellantis U.S. auto sales decline in third quarter.

• Stellantis reported a 19.8% decline in U.S. sales from July through September compared to the third quarter of 2023, with a total of 305,294 vehicles sold.
• During the third quarter, it was predicted that the automaker would be the poorest sales performer among major automakers.
• The carmaker's 2024 profit margin forecast was cut due to its disappointing sales this week.

Despite CEO Carlos Tavares' efforts to rectify his "arrogant" mistakes, U.S. new vehicle sales continued to decline during the third quarter.

The car manufacturer reported a 19.8% decline in U.S. sales from July through September compared to the third quarter of 2023, and an 11.5% decrease from the previous three months of this year.

Cox Automotive predicted that Stellantis would be the poorest sales performer among major automakers in the third quarter, with a projected sales decline of approximately 21%.

According to Cox and Edmunds, the sales industry is predicted to experience a 2% decline in third-quarter sales compared to the previous year.

Stellantis reported that its efforts to increase sales and rectify past errors are beginning to yield positive results. The automaker pointed to a rise in market share from 7.2% to 8% in the third quarter, as well as a 11.6% reduction in its U.S. vehicle inventory, as evidence of this progress.

Stellantis head of U.S. retail sales, Matt Thompson, stated in a release that we are still taking the required steps to boost sales and get our dealership network and customers ready for the launch of 2025 models.

In the third quarter, all of Stellantis' brands except for Fiat experienced sales declines, with Chrysler and Dodge experiencing more than 40% reductions, Ram truck recording a roughly 19% decline, and Jeep off about 6% year over year.

This week, Stellantis is facing issues with its third-quarter sales, a cut in its 2024 profit margin forecast, and a recall of popular plug-in hybrid electric Jeep models due to fire risks.

The stock's price on the NYSE has decreased by 41% this year, reaching a new 52-week low of $13.71 on Tuesday, which was a 2.4% decline from the previous day.

Tavares stated at a June investor event that the company would rectify the "arrogant" errors made by himself and the company in the automaker's U.S. operations, which resulted in sales declines, excessive inventories, and investor apprehensions.

The problems were caused by three factors: slow sales of vehicle inventory, manufacturing issues at two unnamed plants, and a lack of marketing sophistication.

Since 2018, U.S. sales for Stellantis, previously Fiat Chrysler, have been declining every year, with a 1% drop in 2021 and a significant 13% decline in 2022 compared to the previous year.

According to federal data, the U.S. new light-duty vehicle sales market increased by 13% last year, while Stellantis' performance was comparable.

Since the merger between Fiat Chrysler and France's PSA Groupe in January 2021, Tavares has been focused on maximizing profits and reducing costs.

The union and dealers have criticized Stellantis for prioritizing profits and vehicle pricing over market share.