• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Economy

Ford Stock: Is it a Good Sell or Buy?

by July 26, 2024
written by July 26, 2024

Ford Motor Company: Balancing Setbacks with Future Potential

Ford Motor Company’s stock price recently tumbled with a significant 16.7% drop. However, as supply chain disruptions are being resolved, Ford is seeing an increase in sales, which comes with higher prices, bolstering its financial strength.

A famous name in the auto industry, Ford is keeping pace with the innovative race in future mobility. The company is not just about vehicles—cars, trucks, and buses—or the luxury Lincoln line; it is also dedicated to innovation and excellence in manufacturing. It operates several branches, such as Ford Blue, Ford Model E, Ford Pro, Ford Next, and Ford Credit, each playing a role in its inventive approach to the automotive sector.

Ford has a debt-to-equity ratio of 2.32, a current ratio of 1.17, and a quick ratio of 0.99, demonstrating the stability of its performance. The stock performance aligns with the current market situation, as evidenced by the fifty-day moving average of $12.57 and the two-hundred-day average of $12.41, indicating consistent investor confidence.

Nevertheless, the recent sale of 81,000 shares at $12.09 each, totalling $982,119.06, by Director Jon M. Huntsman, Jr., has sparked new debates about buying and selling. The company has a market worth of $44.53 billion, with a P/E ratio of 11.50 and a P/E/G ratio of 0.89. Ford is poised to potentially dominate the highly competitive auto industry.

Analyst Ratings: How Much Does Ford Stock Cost?

UBS Group raised their price target to $14.00 and maintained a “neutral” rating. Goldman Sachs also took a “neutral” stance, raising their expectations from $12.00 to $14.00. Sanford C. Bernstein, however, was more optimistic, giving an “outperform” rating and setting the target at $16.00.

StockNews.com took a more cautious route, downgrading Ford to a “sell,” but Barclays, even with reasoning for decreasing their target to $16.00. The mixed sentiments from these financial powerhouses reflect a broader market indecision.

Ford is currently floating at a fifty-fifty “Hold” signal, repressed by two “hawkish” ratings, eight “maintain” strategies, and five “demand” indicators. According to MarketBeat.com, the average price target remains at $13.95. It is yet to experience any significant changes, which is why both lenders and depositors are nervous since such prospects may force them to decide on whether they want to get along with the car giant.

Why is Ford Stock Dropping Today?

The company’s profit fell because it had to bear the costs of reconstructing vehicles under warranty. The company made a firm promise to improve the quality of products to overcome this issue. Ford’s earnings letdown was an obstacle, but reducing warranty costs could fortify profits.

Further analysis has indicated that despite the major losses in the earnings, the company also had some great achievements. Operating cash flow is $5.5 billion, which is a 10% increase; automotive free cash flow reached $3.2 billion, and they are strong in finance fundamentals.

Ford steadily improves its financials; the EPS was, however reduced by $0.01. The reasons for it were the manufacturing of more vehicles leading to lower profitability and the 40-basis point drop in profit margin to 3.8%.

The analysts predicted a profit of 0.68 cents per share out of 44 billion Q2 sales. Ford still managed to outperform sales and made 47.8 billion.

The company must work on their production to reduce the number of faults, ensuring happier customers and, in turn, benefiting the company’s finances. Currently, investors are on the fence, watching to see how Ford will turn this challenge into a tremendous quality-oriented growth opportunity.

A Buy Consensus with Growth Potential and Attractive Dividends

Ford Motor stock has a buy consensus rating. This average rating score is based on ratings of 29 buy ratings, 18 hold ratings, and 4 sell ratings. 

The stock’s attraction is growing more and more, and thus the on-stock market. Wall Street analysts’ recommendations are very careful. They are somewhat bullish $14.82 is the mean value of the target price for Ford, which offers a 7.16% upside from the current price of $13.83. The range of projections goes from a very conservative $10.00 to a very bullish $18.00.

Using this information, it’s clear that Ford can still navigate the rough waters of the market. The potential for growth and the fair dividend it pays may keep it as the stock to watch.

Ford’s management is enthusiastic about the future although they have been experiencing great fluctuations in financial and operating results. They expect profit from their own operations to range between $10 billion to $12 billion before taxes. Automotive free cash flow will be $7.5 to $8.5 billion. The market value of Ford is $47.4 billion, and in terms of price to free cash flow, it is about 5.9x—this figure is very low. It is also significantly higher with the stock’s impressive 5.7% dividend yield.

To sum up, despite the current drop, which might seem worrying, the company’s positive prediction and the modest valuation should make Ford a great choice to still buy.

The post Ford Stock: Is it a Good Sell or Buy? appeared first on FinanceBrokerage.

0 comment
0
FacebookTwitterPinterestEmail

previous post
US Inflation News Today: Robust Growth in Second Quarter
next post
Southwest to get rid of open seating, offer extra legroom in biggest shift in its history

related articles

Oil Prices Rebound After Trump’s Criticism of Powell

April 22, 2025

Trump’s Fed Criticism Sparks Investor Concerns

April 22, 2025

Buy Bitcoin Under $100K Before The Next Bull...

April 22, 2025

BNB Price Surge Leads Crypto Gains as Bitcoin...

April 21, 2025

Fed’s Stagflation Warning Impacts Crypto Markets

April 21, 2025

Bitcoin Slips to $83.6K Amid Nvidia’s $5.5B Charge

April 21, 2025

Gold Price Surge Hits $3,385 Amid Trade Tensions

April 21, 2025

Bitcoin Rebounds to $83,404 Amid Renewed Investor Confidence

April 21, 2025

Memecoins, AI, and DeFi Tokens Lead Crypto Rebound

April 21, 2025

Bitcoin Nears $85K Amid Market Optimism

April 21, 2025
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • Dem lawmakers push bill to restore funding to UN agency with alleged ties to Hamas: ‘So necessary’

    September 20, 2024
  • Former FBI Director James Comey meets with Secret Service after controversial ’86 47′ post

    May 16, 2025
  • Biden top adviser Anita Dunn leaves White House for Super PAC supporting Harris

    July 30, 2024
  • Stellar and Bitcoin Cash: Stellar pressures the weekly high

    August 22, 2024
  • UK Stock Market News: FTSE 100 And FTSE 250 Plummeted

    July 24, 2024

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,688)
  • Investing (624)
  • Stock (769)

Latest Posts

  • Weeks after Epstein file fallout, a new deadline looms in the release of the RFK and MLK files

    March 9, 2025
  • What is the Electoral College? How does it work?

    November 3, 2024
  • Bitcoin price initiated a bullish consolidation on Tuesday

    August 14, 2024

Recent Posts

  • Putin announces temporary Easter ceasefire in Ukraine war

    April 19, 2025
  • Long NHI: National Health Investors (NHI) Q3 Earnings, Strong Fundamentals, Investment Growth, and Solid Balance Sheet Signal Bullish Potential

    November 7, 2024
  • Whitmer sounds off on Trump’s ‘constitutional crisis’ day after diplomatic appearance with him

    May 1, 2025

Editor’s Pick

  • Netflix ad-supported tier has 70 million monthly users two years after launch

    November 13, 2024
  • Israel begins ground operation in Hamas stronghold of Rafah, expands activities in Gaza

    March 20, 2025
  • Dollar Index Analysis: Strong Uptrend Faces Resistance Level

    November 15, 2024
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock