In a report released today, Daniel Roeska from Bernstein maintained a Sell rating on Ford Motor, with a price target of $8.30.
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Daniel Roeska has given his Sell rating due to a combination of factors impacting Ford’s financial outlook. Despite Ford’s Q2 revenue surpassing expectations, the company’s performance was marred by significant one-off losses amounting to $1.3 billion and a downward revision of its FY25 EBIT guidance. These financial setbacks, coupled with increased capital expenditures, suggest a challenging near-term outlook for the company.
Additionally, the early and persistent impact of tariff headwinds presents further challenges. The new tariff regime is expected to remain in place longer than anticipated, potentially leading to increased pricing pressures in a market already strained by affordability issues. While Ford’s strategic shift towards a universal EV platform shows promise, the immediate financial pressures from tariffs and consumer demand softness overshadow these long-term plans. As a result, Roeska maintains a cautious stance, with a price target of $8.30, reflecting concerns over deteriorating earnings in the near term.
In another report released yesterday, Jefferies also maintained a Sell rating on the stock with a $9.00 price target.