AI is becoming a go-to reason for layoffs — but is it actually replacing workers?

Stellantis shares are tumbling on Friday, down as much as 25% in trading in Milan, with its US listing suffering similarly in the premarket, after the Jeep owner announced it would take €22 billion (~$26.5 billion) worth of charges related to scaling down its electric vehicle ambitions.

Announcing a “reset” of its business, Stellantis detailed that the charges “largely reflect the cost of over-estimating the pace of the energy transition that distanced us from many car buyers’ real-world needs, means and desires,” as well as “previous poor operational execution.” The company’s board has also authorized the company to issue up to €5 billion of non-convertible subordinated perpetual hybrid bonds, in order to preserve “a strong balance sheet and liquidity position” while the business looks to get back to positive FCF generation.

The breakdown of the losses are as follows:

• €14.7 billion for changing product plans (largely reflecting significantly reduced expectations for BEV products).

  • Write-offs related to cancelled products of €2.9 billion.

  • Impairment of platforms of €6.0 billion.

  • €5.8 billion of which will be cash payments spread over the next four years, relating to “cancelled products as well as other ongoing BEV products whose volumes are now expected to be considerably below prior projections.”

• €2.1 billion of charges related to the resizing of the EV supply chain.

  • €0.7 billion of which will be cash payments also spread over the next four years.

• €5.4 billion related to other changes in the Company’s operations

Stellantis’ strong bet on electric vehicles under former boss Carlos Tavares has been de-emphasized since Antonio Filosa became the CEO in June 2025, but this morning’s announcement suggests a much more significant shift in strategy.

The company also noted that these initial measures have returned its business to positive volume growth, sharing that the company notched 1.5 million units shipped in Q4 2025, up 9% year-on-year, in a separate report.

Stellantis will host a call at 08:00 ET to discuss the preliminary results, before releasing its full-year report on February 26.

The company also said it will not pay an annual dividend in 2026 and announced that it agreed to sell its 49% stake in battery manufacturer NextStar Energy to LG Energy Solution.

Investors are reacting premarket to US Food and Drug Administration commissioner Marty Makary signaling a crackdown on unapproved drugs that are marketed as being similar to FDA-approved products.

In an X post on Thursday, Makary said the FDA would “take swift action against companies mass-marketing illegal copycat drugs, claiming they are similar to FDA-approved products,” adding that the agency “cannot verify the quality, safety, or effectiveness” of such products.

While Makary’s post didn't single out specific companies, it came shortly after telehealth firm Hims & Hers rolled out a much cheaper compounded version of Novo's newly-launched Wegovy pill, starting at $49 a month. Hims’ product is not FDA-approved and has not undergone clinical trials to prove safety and efficacy, and Novo yesterday threatened legal and regulatory action.

The launch had initially sparked a selloff in shares of Novo Nordisk and Eli Lilly, the latter of which is expected to debut its own oral weight-loss pill in April and has pledged lower pricing.

Following Makary’s comments, Hims shares fell about 6% as of 6 a.m. ET, while Novo and Lilly partially erased earlier losses, rising 7.5% and 3.8%, respectively.

Molina Healthcare tanked after it reported earnings results that missed Wall Street expectations and gave disappointing full-year guidance.

For the last three months of 2025, Molina reported:

• An adjusted loss per share of $2.75, compared to the $0.34 earnings per share analysts polled by FactSet were expecting. The company said about $2 per share of its earnings miss was due to “retroactive premium adjustments attributable to the Company’s Medicaid business in California and ongoing medical cost pressure in Medicare and Marketplace.”

• Revenue of $11.3 billion, compared to the $10.8 billion the Street was penciling in.

• A medical cost ratio of 94.6%, higher than the 93.1% analysts expected.

For the full year in 2026, Molina expects:

• Adjusted earnings per share of at least $5.00, compared to the $13.66 analysts had forecast. Molina said its guidance takes into account ongoing losses in its traditional Medicare Advantage Part D business, which it now plans to exit in 2027.

• Revenues of about $42.2 billion, compared to the $46.6 billion analysts had penciled in.

• Its medical cost ratio to sit at 92.6%, while analysts had expected 91.4%.

Health insurers have been under pressure for the past year amid rising health costs. Molina, one of the largest providers of ACA Marketplace plans, has taken a hit as tax credits for the program lapsed in January.

Molina’s report also dragged down competitors, including Centene, which is also a major provider of ACA plans and reports earnings Friday morning.

Kid-centric gaming platform Roblox reported its fourth-quarter results after the market closed on Thursday. Its shares surged more than 20% in after-hours trading.

For the full year ahead, Roblox guided for bookings of between $8.28 billion and $8.55 billion, which would represent annual growth of 22% to 26%. That’s well ahead of Wall Street’s estimates: analysts polled by FactSet expected $8.03 billion.

Roblox forecasts Q1 bookings to land between $1.69 billion and $1.74 billion, compared to the $1.7 billion Wall Street consensus estimate.

An average of 144 million daily users logged on to Roblox in its fourth quarter, beating estimates of 138 million and up 69% from last year. The platform paid out $1.5 billion to creators last year, up from $922 million in 2024.

Roblox engagement surged in 2025, a year marred by several legal issues surrounding child safety on the platform. Late last year, analysts began to warn that some of its most popular titles were past their peak.

Recently, shares of the company have dropped on investor fears of Google’s Project Genie AI tool, which generates playable worlds. As of Thursday’s close, Roblox had shed more than $10 billion in market cap since Project Genie launched. On Wednesday, Roblox appeared to answer Genie’s release with the open beta launch of its own “4D” generative-AI tool. Roblox’s tool lets users generate objects made up of multiple working parts (e.g., a drivable car with spinning wheels) as opposed to static 3D objects.

In its letter to shareholders, Roblox said it was “innovating aggressively in AI to accelerate the creation of content, improve the safety of our platform, and fuel ongoing user engagement, discovery and monetization improvements.”