Carvana Bets on Stellantis Turnaround with Dealership Buys

Used-car retailer Carvana expands its hybrid sales model by acquiring Stellantis dealerships, but Stellantis faces significant challenges.

Mar. 14, 2026 at 9:05am

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Carvana, the online used-car retailer, has been scooping up Stellantis dealerships in a strategic move to expand its hybrid sales model of online and in-person transactions. While Carvana's move signals a bet on a Stellantis turnaround, the automaker faces substantial financial and operational hurdles, including a massive $26 billion charge for its EV strategy adjustment, a large portfolio of 14 brands, and struggles in its North American business.

Why it matters

Carvana's acquisition of Stellantis dealerships indicates the used-car retailer's confidence in Stellantis' ability to revive its fortunes, but the automaker's recent struggles and the challenges it faces raise questions about whether Carvana's strategy will pay off. The story highlights the evolving dynamics in the automotive industry as traditional dealerships adapt to the rise of online car sales.

The details

Carvana, known for its car vending machines, has been expanding its hybrid sales model by acquiring brick-and-mortar dealerships. The company's latest move involves scooping up several Stellantis dealerships, primarily in the Southwestern United States. This strategy not only allows Carvana to reach consumers who prefer in-person interactions, but also provides the company with a valuable pipeline of trade-in and off-lease vehicles to refurbish and resell.

  • In 2024, Stellantis, Ford, and General Motors began trading separately despite their business similarities.
  • Since 2024, General Motors' share price has more than doubled, while Ford's has remained relatively flat and Stellantis' has tumbled 70% lower.

The players

Carvana

An online used-car retailer that is expanding its hybrid sales model by acquiring brick-and-mortar dealerships, including several Stellantis dealerships.

Stellantis

An automaker formed in 2021 through the merger of Fiat Chrysler Automobiles and Peugeot S.A. Stellantis has faced financial struggles, including a $26 billion charge for its EV strategy adjustment, and has seen its global market share decline from 8.1% in 2020 to 6.1% in 2025.

Antonio Filosa

The CEO of Stellantis, who is tasked with navigating the company's large portfolio of 14 automotive brands and reviving its North American business.

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What’s next

Carvana's strategy to acquire Stellantis dealerships will depend on the automaker's ability to turn its business around, which remains uncertain. Investors will need to closely monitor Stellantis' progress in addressing its financial and operational challenges, as well as the performance of Carvana's hybrid sales model, to determine if the used-car retailer's bet on a Stellantis turnaround is a wise move.

The takeaway

Carvana's acquisition of Stellantis dealerships highlights the evolving dynamics in the automotive industry, as traditional dealerships adapt to the rise of online car sales. However, Stellantis faces significant hurdles, and Carvana's strategy will only pay off if the automaker can successfully execute a turnaround, which remains a significant challenge.