Ford shares pace of best week since June on new products

Ford CEO Jim Farley takes off his mask during the Ford Built for America event at the Fords Dearborn Truck Plant on September 17, 2020 in Dearborn, Michigan.

Nic Antaya | Getty Images

DETROIT – Ford Motor shares hit a new 52-week high for a third day in a row on Thursday, putting the stock on pace for its best week since at least June.

The stock is up around 20% this week, including an increase of as much as 11.9% during intraday trading on Thursday morning. The shares hit $ 12.15 on Thursday – the share’s highest price since June 2018. They were trading around 8% in early Thursday afternoon.

The push follows positive comments from Deutsche Bank and Barclays on Ford’s product plans and the release of fourth quarter results on February 4, including optimism about its guidance for 2021. The automaker also has received praise earlier this month for its all-electric Mustang Mach. The E crossover after Ford allowed several analysts to test the vehicle.

Deutsche added a short-term buy idea on Ford’s shares on Wednesday and said it was optimistic about the company’s next earnings report and future product plans, including the Bronco SUV. The company maintained its long-term holding rating on the stock.

“We see potential catalysts to emerge in the coming months, including a strong outlook for 2021 on its Q4 (2/4) earnings call, the launch of a number of key models under its new team of direction and Capital Markets Day in the spring where Ford could restart its redesign program and present a new EV strategy, ”wrote Emmanuel Rosner of Deutsche in a note to investors.

Ford is launching the 2021 Bronco with over 200 factory-guaranteed aftermarket accessories for added capability and customization.

Source: Ford

Barclays continued Thursday by reconfirming that it remains above consensus for Ford based on Ford’s ongoing $ 11 billion restructuring and product cadence. The automaker announced last week that it would end production in Brazil at an expected cost of $ 4.1 billion in pre-tax charges as part of the restructuring.

However, Barclays said it remains more bullish on Ford Crosstown rival General Motors due to its focus on electric vehicles. GM’s plan includes the launch of 30 new electric vehicles by 2025 as part of a $ 27 billion investment in electric and autonomous vehicles. Ford said it was investing more than $ 11.5 billion in electrified vehicles, including fully electric and plug-in hybrid models, through 2022.

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