While auto analysts have dropped the notion Fiat Group might spin off Fiat Auto SpA, they remain wary despite steadily improving financials. In a research note on Fiat’s third-quarter results, Merrill Lynch calls the conglomerate’s report “vague” and condemns it for featuring “potentially self-serving recovery multiples.” J.P. Morgan calls Fiat Auto’s performance “disappointing.” And both investment houses slam Fiat for not upping its earnings guidance, as it did in July after ...

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