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Ford Motor Company (F) Registers a Bigger Fall Than the Market: Important Facts to Note

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In the latest trading session, Ford Motor Company (F - Free Report) closed at $14.30, marking a -4.35% move from the previous day. This change lagged the S&P 500's daily loss of 1.62%. Elsewhere, the Dow lost 1.87%, while the tech-heavy Nasdaq lost 1.98%.

Coming into today, shares of the company had gained 24.69% in the past month. In that same time, the Auto-Tires-Trucks sector lost 4.7%, while the S&P 500 lost 0.03%.

The upcoming earnings release of Ford Motor Company will be of great interest to investors. The company is predicted to post an EPS of $0.35, indicating a 5.41% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $45.44 billion, down 3.21% from the prior-year quarter.

F's full-year Zacks Consensus Estimates are calling for earnings of $1.64 per share and revenue of $175.77 billion. These results would represent year-over-year changes of +50.46% and +0.99%, respectively.

Investors should also note any recent changes to analyst estimates for Ford Motor Company. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.

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 witnessed a 3.86% increase. Ford Motor Company is currently sporting a Zacks Rank of #3 (Hold).

From a valuation perspective, Ford Motor Company is currently exchanging hands at a Forward P/E ratio of 9.13. This signifies a discount in comparison to the average Forward P/E of 19.66 for its industry.

It is also worth noting that F currently has a PEG ratio of 0.33. 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 industry currently had an average PEG ratio of 0.93 as of yesterday's close.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. With its current Zacks Industry Rank of 182, this industry ranks in the bottom 26% of all industries, numbering over 250.

The Zacks Industry Rank is ordered 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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