37.85 +0.08 (0.21%)
After hours: 7:33PM EDT
|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's range||37.42 - 38.91|
|52-week range||31.92 - 46.76|
|PE ratio (TTM)||N/A|
|Earnings date||26 Apr 2018|
|Forward dividend & yield||1.52 (3.91%)|
|1y target est||47.96|
In February 2018, Ford gave dismal guidance for fiscal 2018, forecasting adjusted EPS (earnings per share) of $1.45–$1.70, lower than its adjusted EPS of $1.78 in 2017. Ford expects its 2018 revenue to be flat or moderately higher than its 2017 revenue, and its operating cash flow to be positive but lower than its 2017 cash flow. This guidance was based on US auto sales being expected to decline in 2018. However, as US light-vehicle sales rose 1.9% YoY (year-over-year) in 1Q18, we can’t deny the possibility of Ford revising its guidance upward.
In 4Q17, Ford (F) reported an adjusted pre-tax profit of $1.4 billion from its automotive segment, with an operating profit margin of 3.7%. This margin was smaller than its adjusted operating profit margin of 5.7% in 4Q16. Ford’s pre-tax profits worsened in all key reporting segments but South America. While its South American profits improved, they remained in negative territory. Despite positive growth in its global wholesale volumes, Ford’s pre-tax profit in 4Q17 was hurt by higher commodity prices, recall costs, and currency headwinds driven by the British pound.
In 4Q17, Ford (F) reported revenue of $38.5 billion from its automotive segment, up 7% from 4Q16 and higher than analysts’ estimate of $37 billion. Ford’s US sales rose 2% YoY (year-over-year), driving its revenue higher during the quarter. Let’s look at what analysts expect for Ford’s 1Q18 revenue.
According to Reuters, of the 24 analysts covering Ford (F) stock, most (79%) have recommended “hold,” 17% have recommended “buy,” and 4% have recommended “sell.” As of April 17, 2018, Ford’s 12-month target price was $12.39, implying an upside potential of ~8.8% based on its market price of $11.38. Its target price was $12.85 about two months ago. In the last six months, many analysts have changed their rating on Ford stock to “hold.”
Previously, we looked at how Ford (F) stock underperformed the S&P 500 in 1Q18, while Fiat Chrysler (FCAU), Ferrari (RACE), and Toyota (TM) outperformed the broader market. US auto companies Ford and General Motors (GM) faced investors’ concerns about softening US vehicle sales and trade-war fears. On the brighter side, US light vehicle sales remained firm in 1Q18, rising ~1.9% YoY (year-over-year), which could why most auto stocks are trading positively in April. Let’s look at what we can expect from Ford’s 1Q18 earnings results.
Ford (F) is set to release its 1Q18 earnings results on April 25, 2018. Ford was the second-largest US auto company by 2017 vehicle sales volume, after General Motors (GM). Before we explore what investors could expect from the company’s upcoming earnings, let’s explore how Ford stock has fared in 2018 so far.
General Motors has replaced the head of its Cadillac luxury brand, which has struggled for years to compete against German and Japanese luxury automakers in the U.S. The company says Steve Carlisle will replace Johan de Nysschen, who is leaving to pursue other opportunities. Carlisle had been managing director of GM's Canadian operations.
General Motors Co.’s Cadillac chief left the company in the midst of a $12 billion plan to turn around the brand, citing strategic differences with other managers. Johan de Nysschen exited immediately on Wednesday and was replaced by Steve Carlisle, who had been president of GM Canada since late 2014. De Nysschen, 58, joined the automaker in July 2014 after managing Nissan Motor Co.’s Infiniti and Volkswagen AG’s Audi brands.
A solid start to earnings season has helped push share prices higher this week, and the Standard & Poor’s 500 index is creeping toward 17 times forward earnings estimates. A handful of shares remain deeply discounted, however. For example, Viacom (VIAB), at 7.6 times earnings, owns a badly slumping movie studio, Paramount Pictures, and cable television networks that skew young, like Comedy Central, Nickelodeon, and MTV.
On April 10, Deutsche Bank had a “buy” rating for Philip Morris International (PM) and a price target of $120. Of the analysts surveyed, 61% rated the stock a “buy,” while 39% rated it a “hold,” and 0% rated it a “sell.”
Equity markets, which have rallied since President Donald Trump’s election, have come under pressure this year. By slashing the corporate tax rate, President Trump provided a one-time boost to US corporations’ bottom-line results. Looking at the equity markets, stocks can rise either with an increase in earnings or with a valuation multiple expansion.
In the auto sector, valuation multiples are used by investors to compare companies that are similar in size or business. Let’s take a look at these multiples for mainstream auto companies Toyota (TM), Ford (F), General Motors (GM), and Fiat Chrysler (FCAU).
has replaced the boss of Cadillac with immediate effect, as the US carmaker looks to shake up its luxury brand. Johan de Nysschen, a former Nissan executive who ran the nameplate for four years, has been replaced by GM’s Canada chief Steve Carlisle. Under Mr de Nysschen’s tenure, the brand launched its subscription service, called Book, and rolled out the first partial-autonomy system, Super Cruise, which has been widely praised as being prudently configured when compared to rival technologies such as Tesla’s Autopilot system.
Some marriages are just too hard to break up. The many joint ventures between multinational automakers and their Chinese betrothed might be just that.
BEIJING (AP) — Facing the risk of a trade fight with the United States, China announced plans Tuesday to allow full foreign ownership of automakers in five years.
According to Reuters, of the analysts covering Harley-Davidson (HOG) stock, most (71%) have recommended “hold.” Approximately 24% have recommended “buy” and 5% have maintained a bearish view, recommending “sell.” On April 11, analysts’ target price for Harley-Davidson was $49.71 for the next 12 months, reflecting an 18.2% upside potential based on its market price of $42.05. Analysts’ target price for HOG stock has fallen over the last three months, from $51.86.
According to Reuters, of the ten analysts covering Ferrari (RACE) stock, 50% have recommended “buy,” 30% have recommended “hold,” and 20% expect Ferrari stock to drop, recommending “sell.” Analysts’ 12-month target price for Ferrari stock is $138.09, reflecting an upside potential of 14.7% based on its market price of $120.43. Analysts’ target price has risen significantly over the last two months, from $132.21.
Autonomous cars continue to be a major area of focus for most automakers and Ford Motor Company (F) is the latest to jump the bandwagon.
With just a few days left before GM Korea will run out of money, the company remains as far as ever from reaching a deal that would keep it in business.