Stellantis NV is facing a proposed class action lawsuit from U.S. shareholders who allege the automaker misled them regarding its financial health by concealing rising inventories and other weaknesses prior to disappointing earnings that led to a significant drop in stock price. The lawsuit, filed in the Southern District of New York, claims that Stellantis artificially inflated its stock price through overly positive statements regarding its operations. Following the release of first-half earnings on July 25, which showed a 40% drop in adjusted operating income to €8.46 billion, Stellantis shares fell nearly 10% over two days. The lawsuit includes CEO Carlos Tavares and CFO Natalie Knight as defendants, seeking unspecified damages for shareholders who bought shares between February 15 and July 24, 2024. Stellantis has denied the allegations, labeling the lawsuit as 'without merit' and stating its intention to defend itself vigorously. The automaker also announced potential layoffs of 2,450 jobs in Detroit amid these financial struggles.