Ford Motor (NYSE:F) Trading 1.9% Higher Following Strong Earnings

Shares of Ford Motor Company (NYSE:F) traded up 1.9% on Tuesday following a better than expected earnings announcement. The company traded as high as $15.02 and last traded at $14.96. 72,899,934 shares were traded during trading, an increase of 20% from the average daily volume of 60,887,660 shares. The stock had previously closed at $14.68.

The auto manufacturer reported $0.42 earnings per share for the quarter, topping the consensus estimate of $0.35 by $0.07. The company had revenue of $48.30 billion for the quarter, compared to analyst estimates of $47.24 billion. Ford Motor had a negative net margin of 3.22% and a positive return on equity of 15.77%.

Key Headlines Impacting Ford Motor

Here are the key news stories impacting Ford Motor this week:

• Positive Sentiment: Jefferies upgraded Ford to Buy from Hold and raised its price target to $17.50 from $14.50, citing improving earnings prospects, stronger free-cash-flow generation, better capital allocation and progress resolving operational challenges. Jefferies views the second quarter as a potential margin trough as production normalizes. Ford and GM upgraded by Jefferies on improving outlooks, stronger cash generation
• Positive Sentiment: Ford is expanding vehicle accessories, parts and customization—including special-edition launches—to capture more aftermarket revenue and improve profit margins. The strategy could provide higher-margin, less cyclical revenue over time. Ford wants more customers to customize vehicles to boost profits
• Positive Sentiment: Ford is competing to build the next U.S. Army truck, potentially opening an additional defense-related growth opportunity as Washington encourages automakers to expand equipment production. Ford Motor joins race to build next U.S. Army truck
• Neutral Sentiment: Ford is scheduled to report second-quarter results after the market close. Analysts expect adjusted EPS of about $0.35, automotive revenue of approximately $45.86 billion and operating profit near $2.1 billion. The report and management’s outlook are the immediate catalysts for the stock. Ford Motor is set to report earnings after the bell
• Negative Sentiment: Investors face risks from softer vehicle volumes, tariffs and pricing pressure, which could make it difficult for Ford to exceed earnings expectations. Ford, PACCAR, OSK and ABG earnings preview
• Negative Sentiment: Ongoing recalls may weigh on profitability through warranty accruals, repair costs, labor expenses and reputational damage. Ford’s recalls are a headache for shareholders

Wall Street Analysts Forecast Growth

F has been the topic of several recent analyst reports. Royal Bank Of Canada reiterated a “sector perform” rating and set a $13.00 target price on shares of Ford Motor in a report on Friday, May 15th. BNP Paribas Exane raised their price target on Ford Motor from $13.00 to $14.00 and gave the stock a “neutral” rating in a research report on Tuesday, July 14th. Weiss Ratings reiterated a “buy (b)” rating on shares of Ford Motor in a report on Wednesday, June 24th. TD Cowen cut their price objective on Ford Motor from $14.00 to $13.00 and set a “hold” rating on the stock in a report on Friday, May 1st. Finally, Wall Street Zen upgraded Ford Motor from a “hold” rating to a “buy” rating in a research report on Saturday, June 13th. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $15.15.

Hedge Funds Weigh In On Ford Motor

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. MV Capital Management Inc. bought a new position in Ford Motor during the 4th quarter worth about $25,000. McMillan Office Inc. acquired a new stake in shares of Ford Motor in the 4th quarter valued at about $26,000. Johnson Financial Group Inc. lifted its holdings in shares of Ford Motor by 55.4% in the third quarter. Johnson Financial Group Inc. now owns 2,348 shares of the auto manufacturer’s stock valued at $28,000 after purchasing an additional 837 shares in the last quarter. Legacy Wealth Managment LLC ID lifted its holdings in shares of Ford Motor by 108.4% in the first quarter. Legacy Wealth Managment LLC ID now owns 2,365 shares of the auto manufacturer’s stock valued at $27,000 after purchasing an additional 1,230 shares in the last quarter. Finally, Garton & Associates Financial Advisors LLC acquired a new position in shares of Ford Motor during the fourth quarter worth about $32,000. 58.74% of the stock is owned by institutional investors and hedge funds.

Ford Motor Stock Up 1.9%

The company has a debt-to-equity ratio of 2.84, a current ratio of 1.09 and a quick ratio of 0.94. The company has a market capitalization of $59.61 billion, a price-to-earnings ratio of -9.65, a PEG ratio of 0.35 and a beta of 1.82. The firm has a 50-day moving average price of $14.45 and a two-hundred day moving average price of $13.45.

About Ford Motor

Ford Motor Company (NYSE: F) is an American multinational automaker headquartered in Dearborn, Michigan. Founded by Henry Ford in 1903, the company became an early pioneer of mass-production techniques with the Model T and the adoption of the moving assembly line. Today, Ford designs, manufactures, markets and services a broad range of vehicles and mobility solutions under the Ford and Lincoln brands, spanning passenger cars, SUVs, pickup trucks and commercial vehicles.

Ford’s business activities extend beyond vehicle production to include parts and aftermarket services, fleet and commercial sales, and automotive financing through Ford Motor Credit Company.