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Ford Motor Company (F) Laps the Stock Market: Here's Why

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Ford Motor Company (F - Free Report) closed the latest trading day at $12.38, indicating a +1.89% change from the previous session's end. This change outpaced the S&P 500's 0.26% gain on the day. Elsewhere, the Dow saw an upswing of 0.18%, while the tech-heavy Nasdaq appreciated by 0.35%.

Heading into today, shares of the company had gained 1.33% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 3.63% and lagging the S&P 500's gain of 3.25% in that time.

Market participants will be closely following the financial results of Ford Motor Company in its upcoming release. The company is predicted to post an EPS of $0.62, indicating a 13.89% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $41.65 billion, indicating a 1.83% decline compared to the corresponding quarter of the prior year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.99 per share and revenue of $170.44 billion, indicating changes of -1% and +2.68%, respectively, compared to the previous year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Ford Motor Company. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.45% higher. Ford Motor Company currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Ford Motor Company is holding a Forward P/E ratio of 6.12. This expresses a discount compared to the average Forward P/E of 12.87 of its industry.

Investors should also note that F has a PEG ratio of 0.8 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Automotive - Domestic industry had an average PEG ratio of 1.36 as trading concluded yesterday.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 56, placing it within the top 23% of over 250 industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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