Stellantis (NYSE: STLA) investors finally had something to smile about after the automaker released third-quarter results on Wednesday. Its U.S. -listed shares jumped roughly 15% during morning trading as investors welcomed signs that the turnaround was already gaining some traction. There was certainly reason for investor enthusiasm. Management reported €828 million in year-over-year industrial cost improvements, and adjusted operating income increased impressively. On the flip side, the company's adjusted operating margin was still just 0. 7%. That leaves investors with a fair question: If the savings are showing up, why are profits still so ugly?
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