
Stellantis N.V. (STLA), Ollie’s Bargain Outlet Holdings (OLLI), and NuScale Power (SMR) each fell to fresh 52-week lows on Wednesday as concerns about slowing growth, rising costs, and uncertain timelines for future returns crept into investor sentiment.
While NuScale Power stock slipped 2%, Stellantis and Ollie’s Bargain Outlet dropped 4% and 9%, respectively.
Stellantis’ stock cracked to a 12-year low of $5.33 on Wednesday despite reporting a 6% year-on-year rise in second-quarter U.S. vehicle sales, reflecting investor concerns that the automaker's recovery efforts are coming at a high financial cost.
While higher deliveries suggest demand is improving, the market remains focused on shrinking profitability, elevated spending, and growing competitive pressure in the global automotive industry.
Discounts and rebates have helped Stellantis sell more vehicles and reduce inventory, but they have also hurt its profit margins. The company is also facing weaker demand in Europe, where temporary production stops at its Cassino plant in Italy reflected slower vehicle orders in the region.
On Wednesday, JPMorgan downgraded Stellantis to ‘Neutral’ from ‘Overweight’ and cut its price target to $6.85 from $11.64. On Stocktwits, retail sentiment around the stock remained in ‘bullish’ territory.
Ollie’s Bargain Outlet stock dropped to a three-year low of $61.61 on Wednesday as investors reacted to a combination of a major analyst downgrade, softer sales expectations, and broader concerns about consumer spending.
The decline marked a reversal for a retailer that had previously benefited from shoppers seeking lower-priced merchandise during a prolonged period of inflation.
JPMorgan analyst Matthew Boss downgraded Ollie’s to ‘Neutral’ from ‘Overweight’ and cut the price target to $70 from $152. The analyst also reduced Q2 earnings and sales expectations after recent field checks suggested slower customer demand than previously anticipated.
JPMorgan now expects Ollie’s to earn $1.04 per share in Q2, below Wall Street's consensus estimate of $1.15. The firm also forecasts a 1% decline in comparable-store sales, compared with analysts' expectations for 1.4% growth.
Retail sentiment around the stock improved to ‘bullish’ from ‘neutral’ territory the previous day.
NuScale Power’s stock touched a 52-week low of $8.55 as investors continued to reassess the company's long-term outlook. While demand for reliable electricity from AI data centers has increased interest in nuclear energy, NuScale is still years away from large-scale revenue generation.
The company reported a larger-than-expected first-quarter loss of $0.14 per share, while revenue fell 96%. Project delays and concerns about power grid constraints have also hurt investor confidence.
Retail sentiment around the stock remained in ‘bearish’ territory.
So far this year, STLA, OLLI, and SMR stocks have crashed by 30% to 50%.
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