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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) ended the recent trading session at $10.62, demonstrating a +1.82% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.94%. Elsewhere, the Dow gained 0.75%, while the tech-heavy Nasdaq added 1.52%.

Prior to today's trading, shares of the company had lost 3.43% was narrower than the Auto-Tires-Trucks sector's loss of 3.9% and lagged the S&P 500's gain of 1.67%.

The investment community will be paying close attention to the earnings performance of Ford Motor Company in its upcoming release. The company's earnings per share (EPS) are projected to be $0.32, reflecting a 31.91% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $41.47 billion, indicating a 7.46% decline compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.11 per share and revenue of $160.86 billion, which would represent changes of -39.67% and -6.84%, respectively, from the prior year.

Any recent changes to analyst estimates for Ford Motor Company should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 2.53% lower. Ford Motor Company is currently sporting a Zacks Rank of #3 (Hold).

Looking at valuation, Ford Motor Company is presently trading at a Forward P/E ratio of 9.36. This represents a discount compared to its industry average Forward P/E of 10.9.

Investors should also note that F has a PEG ratio of 0.89 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 average PEG ratio for the Automotive - Domestic industry stood at 1.12 at the close of the market yesterday.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 216, finds itself in the bottom 13% echelons of all 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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