Automaker Jeep is hoping for a big comeback in the U.S., following years of declining sales and shrinking market share that have hurt both the brand and its parent company, Stellantis (STLA). Indeed, Jeep CEO Bob Broderdorf is focused on “reclaiming” the SUV segment that the firm “invented and defined.” However, it is worth noting that even with its strong history of off-road vehicles, Jeep has seen six straight years of declining U.S. sales due to leadership changes, few new models, and a failed pricing strategy that tried to go too premium.
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Now, Jeep has lowered prices across its models, enjoyed its best quarterly sales gain in more than two years, and launched its biggest product rollout of the decade. In fact, the redesigned 2026 Grand Wagoneer is an example of this shift, as it’s simpler and more affordable than before, and competes with large American SUVs instead of luxury imports.
Still, Jeep’s sales remain below expectations, and quality ratings are low. More specifically, Consumer Reports ranked Jeep last out of 32 major brands last year. Moreover, a recent recall of over 320,000 plug-in hybrid Wranglers and Grand Cherokees due to fire risk didn’t help either. Nevertheless, while Jeep’s U.S. market share has fallen from 5.4% in 2019 to 3.7% today, experts believe that new vehicles could help rebuild momentum.
Is STLA a Good Stock to Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on STLA stock based on five Buys, nine Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average STLA price target of $10.81 per share implies 6.7% upside potential.
