If you want to buy an EV stock, buy Ford. It trades at 10x earnings. They sell a lot of cars and make a lot of money. It needs that money so it can build out its EV line next year. Ford has gotten a windfall from Rivian, of which it owns 11%.
Can Ford catch up to Tesla's e-cars in the next 5-7 years? They want to bury Elon Musk, sick of his arrogance. Ford will catch up, because revenge is a powerful motivator.
One of the best performing large caps currently. Significant push into EV, and demand for autos is strong. Relatively inexpensive for the growth opportunities it has. Pulled away from the 50-day MA, and could certainly fall to the $16-17 level. Probably will do well over the next few months.
The street rewarded Ford by pumping shares from $15.51 to $17.08 over the last three trading sessions of October. Ford's report saw shares take a hard left turn, leaving GM stuck in the slow lane, while Ford hit the rubber in the express lane. More road lies ahead. Like GM, Ford is investing heavily in EV's. Ford cited annual demand for its electric Mustang Mach-E SUV to stand at 200,000 and targets around 2025 for its factories to pump out more than one million battery-powered EV's annually. Despite the chip shortage, Ford expects around 10% growth in 2021. Since Ford's reports, GM remains stuck in traffic with a flat stock, while Ford has taken a hard right turn into the express lane that should continue into early November. Suddenly, Ford has pulled ahead of GM in the EV race.
Rivian's e-truck (via a new SPAC) to compete with the e-F150 Rivian will be a player in the EV space, but this competition isn't a new story. You're okay with Ford. The stock may want to break out.
Rivian's e-truck (via a new SPAC) to compete with the e-F150 The F150 is the most popular truck, and no question there'll be competition. But Ford's valuation is absurdly cheap, south of 10x, while Rivian's valuation is too high.
He looks for asset light companies, those that don't have to spend lots of money to generate money. The fact that they've spent $11B on EVs seems exciting, but not to him. These types of businesses consume capital. ROIC is sporadic. Steer far away.
They're closing two plants in India with a $1.7 billion write-off. Shares went down on the news instead of up, because they've lost $2 billion in the last 5 years. India is the last part of the world where Ford is losing money. This means their 2022 numbers should increase. The street didn't get it.
Ford announces production cuts due to ongoing semiconductor shortage How often do we need to hear the news of a chip shortage hitting profitable, well-run companies? The valuation is great and so is their positioning. Car demand won't go away. Investors need to be patient. This is an amazing opportunity.
Production delays due to ongoing shortage of semiconductors Probably this is a delay in car consumption, in gratification. Turning to the used car market is fraught, because those cars are aging. The Ford Lyriq in early 2022 will be important to Ford.
F vs. GM In the end, it's how well a product line is accepted and profits. GM has much higher margins on products than Ford. Everyone knows the F-150, but in total truck sales, GM sells more. Electrification will be very profitable for GM. Chip shortage, extended warranty costs, and supply chain issues are providing a good stock entry point. Ford is a great company and well-positioned, but in a peer group analysis, you want #1 in the industry.
It trades below $14, down from its peak. Today's inflation data shows that used car prices are peaking which may be caused by more demand for new cars. Ford's biggest problem is that can't boost production because of the semiconductor shortage, but he thinks that is slowly fading. So, Ford is cheap now. A buy.
It's trading around 8x earnings amid the chip shortage. Cars now are being snapped up at full price, no discount. Ford boasts a rapidly improving balance sheet while CEO Farley is turning around the company.
Ford Motor is a American stock, trading under the symbol F (previously F-N on Stockchase) on the New York Stock Exchange (F). It is usually referred to as NYSE:F or F