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Ford Motor Company (F) Exceeds Market Returns: Some Facts to Consider

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Ford Motor Company (F - Free Report) ended the recent trading session at $14.15, demonstrating a +2.24% change from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.46%. Meanwhile, the Dow gained 0.56%, and the Nasdaq, a tech-heavy index, added 0.45%.

Heading into today, shares of the company had lost 2.81% over the past month, lagging the Auto-Tires-Trucks sector's gain of 9.91% and the S&P 500's gain of 2%.

Analysts and investors alike will be keeping a close eye on the performance of Ford Motor Company in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.41, signifying a 8.89% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $46.04 billion, showing a 2.42% drop compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.86 per share and revenue of $177.44 billion, which would represent changes of +70.64% and +1.95%, respectively, from the prior year.

Any recent changes to analyst estimates for Ford Motor Company should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Ford Motor Company presently features a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Ford Motor Company has a Forward P/E ratio of 7.46 right now. This denotes a discount relative to the industry average Forward P/E of 17.55.

We can additionally observe that F currently boasts a PEG ratio of 0.29. 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 1.08 at the close of the market yesterday.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 40, placing it within the top 17% of over 250 industries.

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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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