In a report released yesterday, Adam Jonas from Morgan Stanley maintained a Hold rating on Ford Motor, with a price target of $11.00.
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Adam Jonas has given his Hold rating due to a combination of factors surrounding Ford Motor’s current performance and future prospects. While Ford’s recent quarterly results exceeded expectations, particularly in segments like Ford Pro and Ford Credit, there are concerns about the sustainability of these gains. The company’s electric vehicle (EV) margins showed improvement, but there is skepticism about Ford’s ability to maintain profitability in the competitive EV market, especially as it faces potential challenges from Chinese EV technologies entering the US market.
Additionally, while Ford reinstated its guidance with a slightly optimistic outlook, there are underlying uncertainties, such as the increased net tariff impact and the broader market dynamics affecting the automotive industry. The Hold rating reflects a cautious stance, acknowledging Ford’s achievements while remaining wary of the hurdles it needs to overcome to achieve long-term growth and profitability in the evolving automotive landscape.
Jonas covers the Consumer Cyclical sector, focusing on stocks such as Tesla, Ferrari, and Carvana Co. According to TipRanks, Jonas has an average return of 4.5% and a 52.64% success rate on recommended stocks.
In another report released on July 16, Barclays also maintained a Hold rating on the stock with a $11.00 price target.