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Ford Motor Company (F) Outpaces Stock Market Gains: What You Should Know

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Ford Motor Company (F - Free Report) closed at $12.68 in the latest trading session, marking a +0.63% move from the prior day. This change outpaced the S&P 500's 0.37% gain on the day. At the same time, the Dow added 0.98%, and the tech-heavy Nasdaq gained 0.62%.

Heading into today, shares of the company had lost 3.67% over the past month, lagging the Auto-Tires-Trucks sector's gain of 0.54% and the S&P 500's gain of 3.71% in that time.

Ford Motor Company will be looking to display strength as it nears its next earnings release. On that day, Ford Motor Company is projected to report earnings of $0.60 per share, which would represent year-over-year growth of 57.89%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $36.01 billion, up 12.15% from the year-ago period.

F's full-year Zacks Consensus Estimates are calling for earnings of $1.50 per share and revenue of $149.52 billion. These results would represent year-over-year changes of -20.21% and +0.34%, respectively.

It is also important to note the recent changes to analyst estimates for Ford Motor Company. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.47% lower. Ford Motor Company is currently a Zacks Rank #5 (Strong Sell).

Digging into valuation, Ford Motor Company currently has a Forward P/E ratio of 8.39. Its industry sports an average Forward P/E of 10.95, so we one might conclude that Ford Motor Company is trading at a discount comparatively.

Meanwhile, F's PEG ratio is currently 1.62. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Domestic was holding an average PEG ratio of 1.48 at yesterday's closing price.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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