Is Ford Stock a Good Investment?

Ford Investment Advice

  F
To provide specific investment advice or recommendations on Ford Motor stock, we recommend investors consider the following general factors when evaluating Ford Motor. This will help you to make an informed decision on whether to include Ford in one of your diversified portfolios:
  • Examine Ford's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
  • Research Ford's leadership team and their track record. Good management can help Ford navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
  • Consider the overall health of the Automobile Manufacturers space and any emerging trends that could impact Ford's business and its evolving consumer preferences.
  • Compare Ford's performance and market position to its competitors. Analyze how Ford is positioned in terms of product offerings, innovation, and market share.
  • Check if Ford pays a dividend and its dividend yield and payout ratio.
  • Review what financial analysts are saying about Ford's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Ford Motor stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Ford Motor is a good investment.
 
Sell
 
Buy
Buy
Our trade advice tool can cross-verify current analyst consensus on Ford Motor and to analyze the company potential to grow in the current economic cycle. To make sure Ford is not overpriced, please confirm all Ford Motor fundamentals, including its cash and equivalents, cash flow from operations, and the relationship between the gross profit and debt to equity . Given that Ford Motor has a price to earning of 6.14 X, we urge you to verify Ford Motor market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Market Performance

Very WeakDetails

Volatility

Not too volatileDetails

Hype Condition

Low keyDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Very LowDetails

Economic Sensitivity

Hyperactively responds to market trendsDetails

Investor Sentiment

AlarmedDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

StrongDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails

Examine Ford Stock

Researching Ford's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 58.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 1.17. Some equities with similar Price to Book (P/B) outperform the market in the long run. Ford Motor has Price/Earnings To Growth (PEG) ratio of 0.73. The entity last dividend was issued on the 7th of May 2024. The firm had 1748175:10 split on the 3rd of August 2000.
To determine if Ford is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Ford's research are outlined below:
Ford Motor generated a negative expected return over the last 90 days
Ford Motor has a strong financial position based on the latest SEC filings
About 58.0% of the company shares are owned by institutional investors
On 3rd of June 2024 Ford paid $ 0.15 per share dividend to its current shareholders
Latest headline from finance.yahoo.com: Detroit Three automakers should exit China, leading analyst says

Ford Quarterly Cost Of Revenue

39.05 Billion

Ford uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Ford Motor. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Ford's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
6th of February 2024
Upcoming Quarterly Report
View
7th of May 2024
Next Financial Report
View
31st of December 2023
Next Fiscal Quarter End
View
6th of February 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
View
31st of December 2022
Last Financial Announcement
View
Earnings surprises can significantly impact Ford's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Ford's investors have experienced.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
2003-01-21
2002-12-310.060.080.0233 
2022-10-26
2022-09-300.270.30.0311 
2020-02-04
2019-12-310.150.12-0.0320 
2015-04-28
2015-03-310.260.23-0.0311 
2015-01-29
2014-12-310.230.260.0313 
2014-01-28
2013-12-310.280.310.0310 
2004-01-22
2003-12-310.280.310.0310 
2018-07-25
2018-06-300.310.27-0.0412 

Ford Target Price Consensus

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Ford target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Ford's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
   27  Buy
Most Ford analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Ford stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Ford Motor, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice   Exposure   Valuation

Ford Target Price Projection

Ford's current and average target prices are 11.74 and 13.49, respectively. The current price of Ford is the price at which Ford Motor is currently trading. On the other hand, Ford's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

Ford Market Quote on 20th of June 2024

Low Price11.74Odds
High Price11.94Odds

11.74

Target Price

Analyst Consensus On Ford Target Price

Low Estimate12.28Odds
High Estimate14.97Odds

13.49

Historical Lowest Forecast  12.28 Target Price  13.49 Highest Forecast  14.97
Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on Ford Motor and the information provided on this page.

Ford Analyst Ratings

Ford's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Ford stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Ford's financials, market performance, and future outlook by experienced professionals. Ford's historical ratings below, therefore, can serve as a valuable tool for investors.

Know Ford's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Ford is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Ford Motor backward and forwards among themselves. Ford's institutional investor refers to the entity that pools money to purchase Ford's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Goldman Sachs Group Inc2024-03-31
32.4 M
Legal & General Group Plc2024-03-31
31.2 M
Amvescap Plc.2024-03-31
30.6 M
Dimensional Fund Advisors, Inc.2024-03-31
28.4 M
Bank Of New York Mellon Corp2024-03-31
25.6 M
Bank Of America Corp2024-03-31
23 M
Lsv Asset Management2024-03-31
19.8 M
Ubs Asset Mgmt Americas Inc2024-03-31
19 M
Jpmorgan Chase & Co2024-03-31
15.5 M
Vanguard Group Inc2024-03-31
339.6 M
Blackrock Inc2024-03-31
283.6 M
Note, although Ford's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Ford's market capitalization trends

The company currently falls under 'Large-Cap' category with a current capitalization of 46.81 B.

Market Cap

15.53 Billion

Ford's profitablity analysis

Last ReportedProjected for Next Year
Return On Tangible Assets 0.02  0.03 
Return On Capital Employed 0.03  0.03 
Return On Assets 0.02  0.02 
Return On Equity 0.10  0.11 
The company has Profit Margin of 0.02 %, which indicates that it operates at a low-profit margin and even a small decline in sales will erase profits resulting in a net loss, or a negative margin. This is way below average. Similarly, it shows Operating Margin of 0.03 %, which implies that for every $100 of sales, it generated an operating income of $0.03.
Determining Ford's profitability involves analyzing its financial statements and using various financial metrics to determine if Ford is a good buy. For example, gross profit margin measures Ford's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Ford's profitability and make more informed investment decisions.

Ford's Earnings Breakdown by Geography

The data published in Ford's official financial statements typically reflect Ford's business processes, product offerings, services, and other fundamental events. However, there are additional fundamental indicators that are easier to understand and visualize along the underlying realities that are driving Ford's quantitative information. For example, before you start analyzing numbers published by Ford accountants, it's essential to understand Ford's liquidity, profitability, and earnings quality within the context of the Automobiles space in which it operates.
Please note, the presentation of Ford's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Ford's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Ford's management manipulating its earnings.

Evaluate Ford's management efficiency

Ford Motor has return on total asset of 0.0112 % which means that for every 100 dollars spent on assets, it generated a profit of $0.0112. This is way below average. Similarly, it shows a return on equity (ROE) of 0.094 %, implying that it made 0.094 on every $100 invested by shareholders. Ford's management efficiency ratios could be used to measure how well Ford manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Ford's Return On Equity is most likely to slightly decrease in the upcoming years. At this time, Ford's Return On Assets are most likely to slightly decrease in the upcoming years. The Ford's current Asset Turnover is estimated to increase to 0.76, while Non Current Assets Total are projected to decrease to roughly 130 B.
Last ReportedProjected for Next Year
Book Value Per Share 10.70  11.29 
Tangible Book Value Per Share 10.70  10.86 
Enterprise Value Over EBITDA 14.57  15.29 
Price Book Value Ratio 1.14  1.20 
Enterprise Value Multiple 14.57  15.29 
Price Fair Value 1.14  1.20 
Enterprise Value151 B158.5 B
The analysis of Ford's management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Ford's future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Ford Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.
Dividend Yield
0.0509
Forward Dividend Yield
0.0509
Forward Dividend Rate
0.6
Beta
1.625

Basic technical analysis of Ford Stock

As of the 20th of June, Ford shows the Coefficient Of Variation of 127291.02, downside deviation of 2.0, and Mean Deviation of 1.37. Ford Motor technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Ford Motor treynor ratio, as well as the relationship between the potential upside and expected short fall to decide if Ford Motor is priced favorably, providing market reflects its regular price of 11.74 per share. Given that Ford has jensen alpha of (0.01), we urge you to verify Ford Motor's prevailing market performance to make sure the company can sustain itself at a future point.

Ford's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Ford insiders, such as employees or executives, is commonly permitted as long as it does not rely on Ford's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Ford insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

Ford's Outstanding Corporate Bonds

Ford issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Ford Motor uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Ford bonds can be classified according to their maturity, which is the date when Ford Motor has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

Understand Ford's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Ford's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

Consider Ford's intraday indicators

Ford intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Ford stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

Ford Corporate Filings

F4
12th of June 2024
The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities
ViewVerify
5th of June 2024
Other Reports
ViewVerify
31st of May 2024
Other Reports
ViewVerify
8K
14th of May 2024
Report filed with the SEC to announce major events that shareholders should know about
ViewVerify
Ford time-series forecasting models is one of many Ford's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Ford's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Ford Stock media impact

Far too much social signal, news, headlines, and media speculation about Ford that are available to investors today. That information is available publicly through Ford media outlets and privately through word of mouth or via Ford internal channels. However, regardless of the origin, that massive amount of Ford data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Ford news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Ford relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Ford's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Ford alpha.

Ford Motor Historical Investor Sentiment

Investor biases related to Ford's public news can be used to forecast risks associated with an investment in Ford. The trend in average sentiment can be used to explain how an investor holding Ford can time the market purely based on public headlines and social activities around Ford Motor. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Ford's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Ford and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Ford news discussions. The higher the estimate score, the more favorable the investor's outlook on Ford.

Ford Maximum Pain Price across 2024-06-21 Option Contracts

Ford's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Ford close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Ford's options.

Ford Corporate Directors

Lynn VojvodichIndependent DirectorProfile
John WeinbergIndependent DirectorProfile
Edsel FordDirectorProfile
Anthony EarleyLead Independent DirectorProfile

Additional Information and Resources on Investing in Ford Stock

When determining whether Ford Motor is a strong investment it is important to analyze Ford's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Ford's future performance. For an informed investment choice regarding Ford Stock, refer to the following important reports:
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Ford Motor. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census.
You can also try the Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Is Automobile Manufacturers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ford. If investors know Ford will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ford listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.25)
Dividend Share
0.6
Earnings Share
0.97
Revenue Per Share
44.426
Quarterly Revenue Growth
0.031
The market value of Ford Motor is measured differently than its book value, which is the value of Ford that is recorded on the company's balance sheet. Investors also form their own opinion of Ford's value that differs from its market value or its book value, called intrinsic value, which is Ford's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ford's market value can be influenced by many factors that don't directly affect Ford's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Ford's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Ford is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ford's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.