Ford shares fell 1 percent on the week of August 2nd
The value of Ford stock fell slightly during August 2ndnd, 2021 – August 6NS, 2021 period. Shares closed the week at $ 13.80, down just over 1 percent, or $ 0.15 per share, from the previous week’s closing price of $ 13.95.
Movement & ranges
|date||Open||Close / Last||High||Low|
|06/08/2021||$ 13.82||$ 13.80||$ 13.91||$ 13.73|
|05/08/2021||$ 13.54||$ 13.71||$ 13.82||$ 13.45|
|April 8th, 2021||$ 13.85||$ 13.32||$ 13.93||$ 13.30|
|March 8th, 2021||$ 13.97||$ 14.02||$ 14.08||$ 13.64|
|02/08/2021||$ 14.02||$ 13.91||$ 14.33||$ 13.88|
By comparison, shares of Ford’s metropolitan rival – General Motors Company – fell $ 1.79 per share, or about 3.1 percent, over the same period.
Ford stock factors
The small decline in Ford stock value during the week follows a similar, if somewhat smaller, decline last week that followed a one percent increase the week before. Ford stock has fluctuated in value over the past few months, but remains well above the $ 9.00 per share that closed in the first week of trading in 2021, and financial institutions like Barclays recently retried Ford stock ratings due to continued stance of the company raised to electrification.
There were no major product announcements or news events during the week, though Ford Authority and other media spread the word that The Blue Oval has launched a buyout program for select employees as it continues to scale its business during the transition to EV powertrain technology. Otherwise, the other major developments during the week concerned the ongoing impact of COVID-19, which continues to affect the company’s short and long-term stability. Ford executives announced to Barclays that they expect the chip shortage to persist well into 2022, and the Delta variant prompted Ford to reintroduce mask mandates at all of its North American assembly plants. In addition, the company announced to dealers that it will be building non-start-stop Ford F-150 pickups in 2021 to get them into the hands of buyers faster, a sign that the chip shortage is still making its bread roll slowed down. and butter pickup. Persistent parts shortages also contributed to a double-digit decline in US sales for the month of July, though this news was not entirely unexpected.
Ford Stock Value Macro Factors – Strategy
Ford CEO Jim Farley has been steadfastly sketching the future of The Blue Oval since taking office in October 2020. The most important goals and organizational changes of the company include:
- An expansion and spin-off for Ford’s leading commercial vehicle business with a suite of software services that promote customer loyalty and recurring revenue streams.
- We have compelling, one-of-a-kind all-electric Ford vehicles on a large scale around the world, including Ford Transit, Ford F-Series, Ford Mustang, SUVs and Lincoln models.
- An alliance with the German car manufacturer Volkswagen.
- Ford is expanding its global offering to include more affordable vehicles, including in North America.
- Increase the amount of money spent on electric vehicle development to $ 30 billion by 2025.
- Ford Europe will switch to zero-emission vehicles by 2027 and completely switch to fully electric vehicles by 2030.
- The launch of Ford Ion Park, a facility promoting R&D initiatives in battery production.
- An investment in Solid Power, a manufacturer of solid state batteries.
- BlueOvalSK, a joint venture between Ford and SK Innovation, Ford’s preferred supplier of EV batteries.
- Transform Lincoln into a fully electrified luxury division by 2030.
- A partnership with Google that will change the company’s production processes and equip future Ford Motor Company vehicles with Android-based infotainment systems.
- Continuous investments in the electric car startup Rivian.
- A shift to a build-to-order paradigm for retail customers.
- Buyout programs for employees involved in the development of older ICE powertrains and platforms
Macro Factors On Ford Stock Value – Sales
US sales of Ford rose one percent in the first quarter to 521,334 units in the US market. At Ford, sales increased while Lincoln saw a slight decrease in volume over the same period. During this time, however, retail sales of Ford and Lincoln vehicles increased. Sales in China rose 24 percent in the first half of 2021, while Ford Europe sales rose 44 percent in the second quarter of 2021.
In particular, the Ford F-Series continued its segment leadership, as did the Ford Transit.
Macro Factors For Ford Stock Value – Products
Ford stock values rose significantly in mid-May after Ford officially unveiled the 2022 Ford F-150 Lightning, the first all-electric F-series pickup truck. Shares continued to rise after that announcement, and the debut of the 2022 Ford Maverick pickup undoubtedly delighted investors as well, adding to a solid period of growth for Ford stock that ended only recently. Since their respective revelations, both pickups have garnered impressive volumes of pre-orders. The Ford F-150 Lightning recently surpassed 120,000 reservations, while the Maverick inspired over 80,000 customers to pre-order the vehicle since it debuted over a month ago.
Prior to these product announcements, several other high-profile Ford vehicles hit dealerships’ showrooms. The 2021 Ford Bronco Sport began being launched at dealerships in late November 2020 and has risen steadily up the sales charts since that date, a trend that was only reinforced recently when Ford relocated 14,947 copies of the Bronco Sport continuously in May 2021 the brand new 2021 Ford F-150 – its most profitable and top-selling product. The brand new full-size half-ton pickup turns very quickly. Facing limited supply, the truck has a significant amount of updates and new features, as well as a completely new exterior and interior. A completely new third-generation F-150 Raptor will be added to the F-150 range later this year, while the Ford F-150 Lighting will follow in spring 2022.
Ford is also currently working on a global launch of the 2021 Ford Mustang Mach-E – a four-door, crossover-like hatch inspired by the iconic Mustang pony car. More than anything, the Mustang Mach-E shows that Ford is not afraid to redefine iconic nameplates and recreate them in new body styles and as new types of vehicles.
Production of the Mach-E began in late October 2020, and the model has since gained a following in its home market, although sales are on hold due to production restrictions. Ford shipped its first three units in December 2020 and 6,614 units in the first quarter of 2021. Since then, the electric crossover has steadily established itself in the Scandinavian EV market and recently became Norway’s best-selling vehicle in May and July. Car dealers and industry experts praised the electric vehicle for its good looks, its appealing driving dynamics, its upscale interior and its clever technology. Additionally, preliminary reports suggest the vehicle is already eating up Tesla’s market share, which would be a significant achievement, especially given the relatively short time the Mach-E has been in the market. In June, the Mustang Mach-E surpassed its gasoline-powered counterpart for the first time. The Mustang Mach-E took another win in early July when Car and driver the crossover was named EV of the year 2021.
The 2021 Ford Mustang Mach-E forms part of a four-pointed blade that Ford hopes to increase its North American market share this year and beyond, as the company moves essentially entirely from sedans and cars to utility vehicles, trucks, and electrified models. That said, all of the above models have significant potential to resonate with car buyers, and receiving them will almost certainly affect the value of Ford stock in the coming months, provided the company can build a steady supply of them.
Macro Factors For Ford Stock Value – Events
The Blue Oval was disproportionately affected by the ongoing chip shortage, which, according to the company, would reduce production by a staggering 50 percent in the second quarter of 2021. Unfortunately, the shutdowns have extended into the beginning of the third quarter as well, as virtually every North American assembly plant is closed for two weeks or more through July 2021, a direct result of the shortage, and currently has around 70,000 incomplete vehicles in need of chips across North America Loose what will undoubtedly result in further financial losses to the company’s bottom line if it cannot fully assemble its inventory in an acceptable time frame.
Independent parts shortages for the 2021 Ford Bronco are currently preventing the all-new off-road SUV from making a triumphant debut as well, and recent delays will postpone the introduction of certain hardtops to the 2023 model year. The eagerly anticipated commercial vehicle cannot reach the dealers early enough as the reservation holders are desperately looking for the hot segment buster.
Outside of North America, Ford faces significant challenges. India and South America continue to weigh on the company’s financial position. Ford Credit is currently ceasing operations in both regions, and the automaker has been forced to spend a significant amount of cash in South America as it begins shutting down several of its assembly plants in Brazil. A more substantial decision about Ford’s future in India is due later this year.
Ford stock value microfactors
Ford announced several recalls for the Ford F-150 2021 in June 2021 due to issues with defective drive shafts and damaged steering gears. Earlier this year, the company recalled over 3 million Ford Motor Company vehicles due to safety issues with their Takata airbags. More recently, the company recalled the late Ford Transit and Ford Transit Connect models due to safety issues with the passenger seat belts.
There have been several high profile personnel changes at Ford recently. The company has added Steven Crowley and Jon Huntsman, two former political activists, to its roster, and both will be instrumental in optimizing the company’s relationship with the federal government going forward. There was also a big move away from the automaker: Ken Washington recently announced his intention to work for online retailer Amazon. However, Ford recently poached an Amazon executive from the company in an interesting twist. Another new addition was the hiring of Doug Power, who was named vice president of corporate development, a newly created position.
Share performance since the beginning of the year
|January 4th||$ 8.52|
|February 1st||$ 10.83|
|1st March||$ 11.98|
|April 1st||$ 12.17|
|May 3||$ 11.63|
|June 1st||$ 14.81|
|July 1||$ 14.91|
|August 2nd||$ 13.91|
Ford’s stock values have risen significantly since January 2021, up 62 percent, or $ 5.28 per share, as of this writing. Profits rose steadily over the year, but rose slightly in June before falling slightly in Julyapprox, 2021
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