Ford Faces Challenges: Will It Rebound?

Summary

Ford nears key support at $10.60; its RSI at 42.02 suggests it is oversold, while weak volume limits its short-term upside potential.
The UAW strike has caused significant production delays, further raising concerns about Ford's near-term profitability.
Ford adjusted its EV strategy, increasing investments but lowering production targets due to demand and supply challenges.
Ford Pro remains a high-margin division, projected to generate $70 billion in revenue by the end of 2024.

TennesseePhotographer/iStock Editorial via Getty Images

Investment Thesis

In July, we held a hold rating on Ford (NYSE:F) due to rising ownership costs, decreased affordability, and supply chain disruptions. Since then, F has dropped 23% lower, as recent developments, including the UAW strike, have triggered several plant shutdowns, production delays, and increasing concerns about profitability.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"detailType":1,"isChannel":false,"data":{"magic":2,"id":351025651552536,"tweetId":"351025651552536","gmtCreate":1726671015000,"gmtModify":1726721375694,"author":{"id":4114775922899662,"idStr":"4114775922899662","authorId":4114775922899662,"authorIdStr":"4114775922899662","name":"Yiannis","avatar":"https://community-static.tradeup.com/news/0196a755f37421d4c173301ca5159810","vip":8,"userType":8,"introduction":"Growth, Growth At A Reasonable Price, Value, Long-Term Horizon","boolIsFan":false,"boolIsHead":false,"crmLevel":1,"crmLevelSwitch":0,"individualDisplayBadges":[],"fanSize":928,"starInvestorFlag":false},"themes":[],"images":[{"img":"https://static.tigerbbs.com/7274dc0e1e6f714de009bcd75096a1f3"}],"coverImages":[{"img":"https://static.tigerbbs.com/7274dc0e1e6f714de009bcd75096a1f3"}],"title":"Ford Faces Challenges: Will It Rebound?","html":"<html><head></head><body><h2>Summary</h2>\n<ul>\n <li>Ford nears key support at $10.60; its RSI at 42.02 suggests it is oversold, while weak volume limits its short-term upside potential.</li>\n <li>The UAW strike has caused significant production delays, further raising concerns about Ford's near-term profitability.</li>\n <li>Ford adjusted its EV strategy, increasing investments but lowering production targets due to demand and supply challenges.</li>\n <li>Ford Pro remains a high-margin division, projected to generate $70 billion in revenue by the end of 2024.</li>\n</ul> \n<img src=\"https://static.tigerbbs.com/7274dc0e1e6f714de009bcd75096a1f3\"> \n<p class=\"item-caption\"> </p> \n<p class=\"item-credits\">TennesseePhotographer/iStock Editorial via Getty Images</p>\n<h2>Investment Thesis</h2> \n<p>In July, we held a hold rating on Ford (<span class=\"ticker-hover-wrapper\">NYSE:<a href=\"https://seekingalpha.com/symbol/F\">F</a></span>) due to rising ownership costs, decreased affordability, and supply chain disruptions. Since then, F has dropped 23% lower, as recent developments, including the UAW strike, have triggered several plant shutdowns, production delays, and increasing concerns about profitability.</p></body></html>","htmlText":"<html><head></head><body><h2>Summary</h2>\n<ul>\n <li>Ford nears key support at $10.60; its RSI at 42.02 suggests it is oversold, while weak volume limits its short-term upside potential.</li>\n <li>The UAW strike has caused significant production delays, further raising concerns about Ford's near-term profitability.</li>\n <li>Ford adjusted its EV strategy, increasing investments but lowering production targets due to demand and supply challenges.</li>\n <li>Ford Pro remains a high-margin division, projected to generate $70 billion in revenue by the end of 2024.</li>\n</ul> \n<img src=\"https://static.tigerbbs.com/7274dc0e1e6f714de009bcd75096a1f3\"> \n<p class=\"item-caption\"> </p> \n<p class=\"item-credits\">TennesseePhotographer/iStock Editorial via Getty Images</p>\n<h2>Investment Thesis</h2> \n<p>In July, we held a hold rating on Ford (<span class=\"ticker-hover-wrapper\">NYSE:<a href=\"https://seekingalpha.com/symbol/F\">F</a></span>) due to rising ownership costs, decreased affordability, and supply chain disruptions. Since then, F has dropped 23% lower, as recent developments, including the UAW strike, have triggered several plant shutdowns, production delays, and increasing concerns about profitability.</p></body></html>","text":"Summary Ford nears key support at $10.60; its RSI at 42.02 suggests it is oversold, while weak volume limits its short-term upside potential. The UAW strike has caused significant production delays, further raising concerns about Ford's near-term profitability. Ford adjusted its EV strategy, increasing investments but lowering production targets due to demand and supply challenges. Ford Pro remains a high-margin division, projected to generate $70 billion in revenue by the end of 2024. TennesseePhotographer/iStock Editorial via Getty Images Investment Thesis In July, we held a hold rating on Ford (NYSE:F) due to rising ownership costs, decreased affordability, and supply chain disruptions. Since then, F has dropped 23% lower, as recent developments, including the UAW strike, have triggered several plant shutdowns, production delays, and increasing concerns about profitability.","highlighted":1,"essential":1,"paper":2,"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/351025651552536","repostId":0,"isVote":1,"tweetType":1,"viewCount":155,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":["F"],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":763,"xxTargetLangEnum":"ORIG"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/351025651552536"}