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Posted by
Two Blokes May 24, 2025 -
Filed in
Stock
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6 views
We initiate coverage of SLTA with a Buy rating, backed by a credible margin recovery roadmap, strong execution on the $10bn cost-out program and accelerating Latin American momentum. STLA trades at a steep discount to peers, with margin inflection and cost takeout providing catalysts for a valuation re-rating and FCF recovery in 2025. Key risks include tariff uncertainty, execution of the €10bn cost program, and EV transition headwinds, but these are reflected in our conservative assumptions.
