06:41 AM EDT, 10/16/2024 (MT Newswires) -- Stellantis' ( STLA ) outlook has been revised to negative from stable by Moody's, reflecting concerns over significant cash burn expected in H2, following a recent profit warning, the rating agency said Wednesday.

Moody's has affirmed Stellantis' ( STLA ) Baa1 long-term issuer and senior unsecured ratings, as well as the (P)P-2 short-term rating.

"The guidance adjustment for FY 2024 is driven by management's decision to accelerate US inventory remediation measures but also weakness in other regions including Europe," Moody's wrote.

Stellantis' ( STLA ) liquidity remains robust, providing some cushion until performance improves next year, the rating agency said.

Risks to the expected recovery for next year include low volume growth and pricing pressures as well as potential fines on EU carbon dioxide emissions, Moody's said.

Price: 12.89, Change: -0.02, Percent Change: -0.15