9.85 -0.12 (-1.20%)
Pre-Market: 9:19AM EDT
|Bid||9.83 x 47300|
|Ask||9.84 x 800|
|Day's Range||9.93 - 10.21|
|52 Week Range||7.41 - 12.15|
|Beta (3Y Monthly)||0.91|
|PE Ratio (TTM)||12.83|
|Earnings Date||Jul 24, 2019|
|Forward Dividend & Yield||0.60 (5.74%)|
|1y Target Est||10.36|
"Digit is a two-legged robot designed and built by Agility Robotics to not only approximate the look of a human, but to walk like one, too." So says a press release from Ford touting the automaker's partnership with the company that builds high-tech robots that unfurl from the back of a van and in the process look a little too much like the droids from the Battle of Naboo. Digit is capable of carrying packages weighing as much as 40 pounds and dropping them off at someone's front door, traversing over uneven terrain, climbing and descending stairs, and avoiding obstacles in its path. The data necessary to make this final step of the delivery process would theoretically be shared from a self-driving delivery vehicle.
Self-driving cars once seemed poised to inaugurate a new era in transportation. But now, driverless cars are further away than people thought.
Ford plans to have two-legged robots and self-driving cars team up on deliveries as it gears to roll out robotaxis in two years.
General Motors Corp. (NYSE: GM), looking to build on the growth in demand for its vehicle trunks to serve as delivery nodes, is exploring expansion opportunities with carriers and retailers outside of its current 13-month relationship with e-tailer Amazon.com, Inc. (NASDAQ: AMZN), a GM executive said in a May 21 interview. Speaking with FreightWaves, Stephen London, GM's head of connected vehicle solutions, said the automaker is looking to bring other delivery companies into its network, as well as retailers that want to offer their customers the same level of convenience that Amazon provides members of its "Prime" service. London did not provide details of discussions with either prospective stakeholder group.
The United States' second largest carmaker has been moving steadily on the development of full-service autonomous driving vans which it could potentially license out to companies ranging from Domino's Pizza to Lyft or Target. It launched a self-driving pilot with delivery partners including Domino's in Miami last year, and it said it was working on the best way to integrate Agility's two-legged robot, Digit, into future vans. Digit is capable of lifting packages that weigh up to 40 pounds, can walk up and down stairs and through uneven terrain, while maintaining its balance after being bumped, Ford said http://bit.ly/2Jy47T5.
Ford's teaming with an Oregon robot-building company to build robots that will deliver packages to a front door.
Shares of Ford Motor Company (NYSE:F) have struggled over the past several years as the company's core growth fundamentals have been challenged by secular headwinds. There are two things at play. One, the entire automotive industry is shrinking due to ride-sharing trends. Two, Ford's share in that shrinking auto market is likewise shrinking due to electric vehicle (EV) competition.Source: Shutterstock Meanwhile, against the backdrop of those two secular trends, Ford is only marginally profitable and has a significant amount of debt sitting on the balance sheet.In other words, Ford is a barely profitable, debt-burdened auto company that is losing share in a shrinking market. That's a losing combination. Thus, it should be no surprise that F stock dropped from $17 a few years back, to roughly $7 in late 2018.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut, the downtrend in Ford stock has suddenly and sharply reversed course. In 2019, Ford stock is up a whopping 30%-plus. That marks the stock's biggest and longest rally in recent memory.What's going on the under the hood that has inspired this rare Ford stock rally? A few things. Importantly, all of those positive catalysts which have driven Ford stock higher in early 2019 should persist for the foreseeable future. As such, this rally in Ford stock isn't over just yet. By my numbers, the shares should trade north of $11 by the end of 2019, and likely somewhere closer to $13. * 7 High-Yield REITs to Buy (Even When the Market Tanks) As of this writing, Ford stock has been above $10 for about a month, which looks like it's finding support at that all-important level. I think that's the signal to buy into the stock for the rest of the year. Favorable U.S. Auto Market ConditionsThe first big thing driving Ford stock higher is a favorable U.S. auto market backdrop.In 2019, everything has moved in favor of supporting continued healthy U.S. auto sales. The Fed has backed off its rate-hiking agenda, and borrowing rates remain very low. Inflation is muted. The economy is adding a ton of jobs every month. Unemployment rates are near all-time lows. Wage growth is firing off at decade-best levels. The stock market has moved higher. Consumer confidence is soaring to multi-year highs.In other words, the U.S. economy today is defined by an employed American who is getting a nice raise, has a bunch of confidence, and has a ton of borrowing capacity to buy a car. The result? American consumers should keep buying cars in bulk for the foreseeable future.Ford is a U.S company, and this company's entire profit base comes from the U.S. Thus, as goes the U.S. auto market, so goes Ford stock. Improving Margin ProfileThe second big thing driving Ford stock higher is an improving margin profile in the company's core auto business.In the first quarter of 2019, Ford reported robust and impressive EBIT margin gains across its entire auto business, which signals a sharp departure from the 2018 trend of big year-over-year margin erosion. These margin gains should persist. Demand is stabilizing, which should help stabilize gross margins. Further, buying conditions remain favorable, and that should provide a lift to average selling prices and gross margins. Lastly, Ford continues to downsize operations with job cuts and the like, and that will remove opex from the system.Overall, then, Ford's margin profile should continue to improve throughout 2019. As it does, profit growth will return to the picture for Ford, and that will help push F stock higher. Next-Gen Vehicle RampThe third big thing driving Ford stock higher is the fact that Ford is finally pivoting its resources towards developing next generation vehicles which, at scale, should help offset the aforementioned secular margin erosion concerns.There are two big things here: electric vehicles and connected vehicles. On the EV front, Ford is pledging to have 40 hybrid and electric vehicle models by 2022. On the connected vehicle front, Ford recently partnered with Amazon (NASDAQ:AMZN) and Autonomic to help Ford build connected vehicles.Meanwhile, executive chairman Bill Ford is scouting for more opportunities. Late last year, the company invested $12.5 million in its Israeli subsidiary to establish a new unit that will focus on designing a decision-making system for autonomous vehicles. The great-grandson of Henry Ford is due back in Tel Aviv in coming weeks to open Ford's innovation center there.Broadly, then, Ford is pivoting aggressively into developing next-gen electric and connected vehicles. Thus, the Ford of tomorrow will have a vehicle roster that better aligns with secular demand trends than the Ford of today, and that should leader to market share stabilization in the future. Cheap ValuationThe last thing here is that Ford stock is just really cheap. The shares trade at a single-digit forward earnings multiple with a near 6% yield.To be sure, those multiples aren't all that uncharacteristic for an auto company with small margins and a lack of long-term profit growth visibility. But, those low margins are heading higher, and that profit outlook is gaining visibility. As those two trends play out, Ford's valuation should improve. * 6 Chinese Stocks That Could Pop On a Trade Deal I realistically think this company can do about $2.50 in EPS by fiscal 2025. Based on a historically average 7x forward earnings multiple and a 10% discount rate, that equates to a 2019 price target for F stock of roughly $11. But, assuming some multiple lift towards 10x forward earnings and a 10% discount rate, the 2019 price target could realistically be around $15. Anyway you look at it, $10 looks like a good price to buy Ford stock at in 2019. Bottom Line on F StockFord stock has been a big loser for a long time. Early 2019 has been a sharp reversal in that trend, mostly because early 2019 has laid the groundwork for sustainable and healthy profit growth over the next several years. This sustainable and healthy profit growth will continue to push Ford stock higher in 2019, and in the long run.As of this writing, Luke Lango was long F and AMZN. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy for Over 20% Upside Potential * 5 Large-Cap Stocks Holding Steady Amid Trade War Concerns * 7 ETFs for Healthy Healthcare REITs Compare Brokers The post 4 Big Reasons To Buy Ford Stock As It Finds Support At $10 Level appeared first on InvestorPlace.
Ford is working on a way to resolve what self-driving researchers refer to as “the last 50-foot problem.” If an autonomous delivery vehicle arrives at your house, without any humans aboard, who’s going to carry the package, grocery bags or piping-hot pizza to your doorstep? In Ford’s case, the solution is Digit, an android with two stork-like legs, arms capable of carrying a 40-pound load and a camera-encrusted torso topped by a puck-shaped laser-radar sensor. Just ask Amazon, which spent $27 billion on delivery costs last year.
Auto makers are laying off employees at the fastest pace since the financial crisis, according to outplacement services company Challenger, Gray & Christmas Inc., as the industry struggles with changing consumer demand and new technology-based competition.
Although the comments are unusually strong, the source of them is no surprise: Toyota President Akio Toyoda is also chairman of JAMA, the influential trade group. “We are dismayed to hear a message suggesting that our long-time contributions of investment and employment in the U.S. are not welcomed,” Toyoda said in a statement Tuesday. The unusually sharp-worded statements reflect rising concern on the part of Japan’s all-important auto sector ahead of Trump’s state visit later this week.
For years, Ford Motor Company (NYSE: F) has been the laggard among the major auto stocks. A post-earnings breakout last month has the stock trading back above $10 for the first time since July 2018, however, and Ford’s consolidation in recent weeks is forming a very bullish chart pattern. Bottom Finally In? Ford's stock has been drifting steadily lower for more than five years now, bottoming as low as $7.17 back in December.
Celebrities have fascinated American fans since at least the time of Rudolph Valentino and Mary Pickford. With the rise of the rockstar, starting with Elvis Presley in the 1950s, that fascination also led to curiosity not just about their personalities, but also about their expected lavish lifestyles and spending. Ariana Grande, the singer, is one such phenomenon.
Volkswagen AG truck brand Scania said on Tuesday it will invest 1.4 billion reais ($344.14 million) to modernize its Brazilian factory in Sao Bernardo do Campo, an industrial city near Sao Paulo. The investment in the historic center of Brazil's auto industry follows Ford Motor Co's decision to exit the heavy truck business in South America and shut down its plant in the same city, which could benefit the remaining players in the sector.
Ford began notifying about 500 salaried employees they’d be among those let go in the latest round of white-collar layoffs at the company as part of a restructuring that in all is eliminating 7,000 salaried positions worldwide. Ford’s layoffs are only hitting the salaried workforce and won’t affect hourly workers. Ford had about 200,000 global employees at the end of 2018.
Ford Motor Co. plans to eliminate more salaried jobs worldwide as part of its redesign, according to an email sent to employees that was published by Automotive News. Notifications will be sent to North American workers on Tuesday, while restructuring work continues in Europe, China, South America and other international markets, Ford’s Chief Executive Jim Hackett said in the email on Monday. The move will reduce the company’s management structure by close to 20% as Ford had planned, said the email.
China is also attracting much investment, with companies keen to increase their share of the world's largest car market and keep up with the country's push toward electric vehicles. Following are summaries of investments and restructuring efforts made by major automakers in the United States and China since 2017. Toyota Motor Corp has pledged to invest almost $13 billion in the United States between 2017 and 2021 to boost manufacturing capacity and jobs.
—after news that large U.S. tech companies have restricted their sales to Huawei. The tech companies are complying with a Commerce Department ban on selling proprietary software and equipment to the Chinese smartphone maker. Google reportedly suspended some business with Huawei, same was the case with U.S. chip makers like Intel.
The following are the top stories in the Wall Street Journal. Reuters has not verified these stories and does not vouch for their accuracy. - U.S. officials said on Monday they would grant a handful of ...