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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 close session, Ford Motor Company (F - Free Report) was down 2.44% at $14.41. The stock trailed the S&P 500, which registered a daily loss of 0.57%. Elsewhere, the Dow saw an upswing of 0.64%, while the tech-heavy Nasdaq depreciated by 1.15%.

Coming into today, shares of the company had gained 13.35% in the past month. In that same time, the Auto-Tires-Trucks sector lost 0.94%, while the S&P 500 gained 2.14%.

Market participants will be closely following the financial results of Ford Motor Company in its upcoming release. On that day, Ford Motor Company is projected to report earnings of $0.35 per share, which would represent a year-over-year decline of 5.41%. Simultaneously, our latest consensus estimate expects the revenue to be $45.44 billion, showing a 3.21% drop compared to the year-ago quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.64 per share and revenue of $175.77 billion, indicating changes of +50.46% and +0.99%, respectively, compared to the previous year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Ford Motor Company. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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. Within the past 30 days, our consensus EPS projection has moved 2.61% higher. Currently, Ford Motor Company is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Ford Motor Company is presently being traded at a Forward P/E ratio of 9.02. This expresses a discount compared to the average Forward P/E of 19.68 of its industry.

One should further note that F currently holds a PEG ratio of 0.32. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Automotive - Domestic stocks are, on average, holding a PEG ratio of 0.95 based on yesterday's closing prices.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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