NEW YORK, Aug 15 (Reuters) - Stellantis ( STLA ) has been sued by

shareholders in the United States who said the European-American

automaker defrauded them by concealing rising inventories and

other weakness, before posting disappointing earnings that

caused its stock price to fall.

The complaint filed on Thursday in Manhattan federal court

said Stellantis ( STLA ) artificially inflated its stock price for much

of 2024 by making "overwhelmingly positive" assessments about

inventories, pricing power, new products and operating margin.

Shareholders said the truth came out on July 25 when

Stellantis ( STLA ) said first-half adjusted operating income fell 40% to

8.46 billion euros ($9.28 billion), below the 8.85 billion euros

that analysts expected.

"This lawsuit is without merit and the company intends to

vigorously defend itself," Stellantis ( STLA ) said in an emailed

statement to Reuters.

Stellantis ( STLA ) also said adjusted operating income margin had

fallen below its double-digit full-year target.

Its U.S.-listed shares fell $1.94, or 9.9%, to $17.66 in the

two trading days after the announcement.

Chief Executive Carlos Tavares and Chief Financial Officer

Natalie Knight are also defendants.

Stellantis ( STLA ) was created in 2021 from the merger of Fiat

Chrysler and France's PSA. Its 14 brands include Alfa Romeo,

Citroen, Dodge, Jeep, Maserati, Opel, Peugeot, Ram and others.

It is common for shareholders to sue companies in the United

States after unexpected stock price declines.

Thursday's lawsuit seeks unspecified damages for Stellantis ( STLA )

shareholders between Feb. 15 and July 24, 2024.

A lawyer for the shareholders did not immediately respond to

requests for comment.

Stellantis ( STLA ) shares closed up 1.7% at $15.84 on Thursday in

New York.

Last week, Stellantis ( STLA ) announced a potential 2,450 layoffs at

a suburban Detroit truck assembly plant, where production of the

Ram 1500 Classic truck is ending.

The case is Long v Stellantis NV ( STLA ) et al, U.S. District Court,

Southern District of New York, No. 24-06196.