Mach E effect on Ford stock price?

mark360

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When the Mach E releases, how do you all think this vehicle will affect ford's stock price? Ford is currently trading at what appears to be a 5 year low, which is crazy since the company is committing to tech and the future of electrification more so than any other brand in my opinion (other than tesla). I personally feel their stock is well undervalued. I also think the Mach E, if it meets all design specs will be a huge success for the company.

Good or bad, I'd like to see what you all's opinion is!

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SSman

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I've thought about picking up some Ford shares because they are so cheap but the old adage of catching a falling knife especially in a bull market, has me hesitant to pull the trigger.

I think you're right that a lot of investors and analysts are going to be looking at the success of Mach-E to signal if the company can turn things around in the near term, but major launches like the Bronco and next F-150 will have a much bigger impact on their bottom line than the Mach-E. The Mach-E launch comes first so Ford needs to nail it if they want to change the narrative after the last earnings disaster.
 
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I've thought about picking up some Ford shares because they are so cheap but the old adage of catching a falling knife especially in a bull market, has me hesitant to pull the trigger.

I think you're right that a lot of investors and analysts are going to be looking at the success of Mach-E to signal if the company can turn things around in the near term, but major launches like the Bronco and next F-150 will have a much bigger impact on their bottom line than the Mach-E. The Mach-E launch comes first so Ford needs to nail it if they want to change the narrative after the last earnings disaster.
Good point. I decided to buy in because I really think the Mach E will be a hit, I love the vehicle. I will be disappointed if ford misses the mark on their car. They're even putting the mustang name on it, so I feel confident it will do all they say it will and more. I'm placing my bets that this is the turn where they start to see progress on their rebuilding phase and I'd love to see the share go back up to late 90s prices.

I am just so excited to see how all the Tech will work with the vehicle, I loved seeing an alexa app and apple carplay. Alexa is awesome so having that in your car, or hey ford, will be just so neat! Over the air updates mean this vehicle will feel fresh for many years to come. It's so close to Tesla on all the marks I can't wait!

I also see their huge 11b investment, roughly 1/3rd the size of tesla's assets, further show their commitment to the future. A lot of positive things all the while paying a 7.5% dividend, can't beat that!
 
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Buy F?...Maybe a little Bump in value/price when M-E & Broncos are on the road. It'll take time to see if they are accepted by the consumer. Lots of E vehicles coming out, so stiff competition in that category. Dividends apx 5% is pretty good. I own it!
 

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I'd only invest in a stock if I believed in the company and/or its mission.

The recent news of Ford's problems and my personal experience with them would say not to buy any stock.

However I did reserve the Mustang because I believe its an attractive EV option by Ford, and ironically like it MORE because it isn't literally branded with a blue oval.

That being said, it looks like a good long term buy if you think Ford can pull off, not only the Mustang, but and EV F150, can borrow a bit from Rivan tech and move a bunch of units over the next 5-10 years...that remains to be seen. Especially if we are near the tail end of a bull market as another poster mentioned. If you're planning on wading out the next ressession and holding Ford for a long term then it may be a good bet.

However in the short term market saturation, range anxiety and attractive EVs in the mid to LOW 30k needs to happen ASAP before a market downturn, or else Ford will be plagued buy tepid sales. And could really sink the company if they invest too heavily and people are buying other EVs and not Ford's.
 
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I'd only invest in a stock if I believed in the company and/or its mission.

The recent news of Ford's problems and my personal experience with them would say not to buy any stock.

However I did reserve the Mustang because I believe its an attractive EV option by Ford, and ironically like it MORE because it isn't literally branded with a blue oval.

That being said, it looks like a good long term buy if you think Ford can pull off, not only the Mustang, but and EV F150, can borrow a bit from Rivan tech and move a bunch of units over the next 5-10 years...that remains to be seen. Especially if we are near the tail end of a bull market as another poster mentioned. If you're planning on wading out the next ressession and holding Ford for a long term then it may be a good bet.

However in the short term market saturation, range anxiety and attractive EVs in the mid to LOW 30k needs to happen ASAP before a market downturn, or else Ford will be plagued buy tepid sales. And could really sink the company if they invest too heavily and people are buying other EVs and not Ford's.
I always say, if you're willing to buy a company's product you should also buy their stock. Long term investing speaking though. I agree with you. If the market turned tomorrow, I would be much more worried about owning Tesla stock or other brands. We all remembered what happened to GM 12 years ago. I also see ford committing to the EV future with their Rivian investment and 11b in EV funding is key to being a shareholder long term.

I think their partnership with Rivian was very smart. If they can come out with an F150 E it'll be a great hit.
 

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Forward guidance for 2020 is weak. Don't expect anything great in the way of capital appreciation for the next year or so.

Still, long term it will gain and it is earning 7% dividend at current market price while you wait.

The Mach-e volume will be limited by battery availability. I assume that will change eventually. It has the Halo car aspect for now and will demonstrate what Ford can do.

The F150 EV and variants is the really important one for Ford. An EV can reduce operating costs.

Disclosure: I own Ford stock.
 
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Forward guidance for 2020 is weak. Don't expect anything great in the way of capital appreciation for the next year or so.

Still, long term it will gain and it is earning 7% dividend at current market price while you wait.

The Mach-e volume will be limited by battery availability. I assume that will change eventually. It has the Halo car aspect for now and will demonstrate what Ford can do.

The F150 EV and variants is the really important one for Ford. An EV can reduce operating costs.

Disclosure: I own Ford stock.
I agree with you. I think in the short term, it will continue to decline or settle at minimum. The 7.5% dividend is just great. I will be reinvesting those dividends as the stock is so cheap, hopefully like you said in two years they will start to appreciate if not start early 2021 with maybe a compelling F series EV.
 

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A coworker has a Mach E reservation, but last week was worried if the company would survive. For now he was keeping the reservation. I hope he does, and think the Mach E will be great. He is hoping for 320+ range based on some articles. That would be great.
 

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I have only 4 shares of ford stock. But did only get it because of the Mach E and the other BEVs they coming out with. I do see the stock rising once they get settled in the electric market
 
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The reason the stock is so low is their financials are really bad. Last quarter was a disaster with a 1 billion loss for the quarter. Kind of scary actually.

https://www.marketwatch.com/story/ford-reports-17-billion-quarterly-loss-2020-02-04
Ford has 34B cash on hand, no worries there. You have to remember they have invested heavily into EV's and that they tried launching a product last year that had many flaws due to a factory retrofit. Ford has a huge amount of cash to pull from so It doesn't worry me in the slightest.

They went from making 3.6 billion in 2018 to 47 million in 2019 because of the bad Q4 results. They are working on rebuilding their brand and company for the future with the new F150, Bronco, and Mach E.

I always like to use Tesla as a sanity check. They haven't made a fiscal GAAP profit since being founded, but yet are worth 170 billion. People forget that the EV market only makes up about 2 million vehicles a year, less than half of what Ford sales annually and majority of that market is in china/europe. Tesla only made 400,000 out of those 2 million last year with declining model s/x sales by 40%.

As soon as Ford announces any good news that they are back on track, their stock will jump. I have no reason to believe otherwise, they've been in business for over 100 years.
 
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mark360

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A coworker has a Mach E reservation, but last week was worried if the company would survive. For now he was keeping the reservation. I hope he does, and think the Mach E will be great. He is hoping for 320+ range based on some articles. That would be great.
That is hilarious, they are so successful. Does he realize the F series truck sales 1,000,000+ copies per year, the best selling vehicle in the world? Ford isn't going anywhere! 😉
 

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That is hilarious, they are so successful. Does he realize the F series truck sales 1,000,000+ copies per year, the best selling vehicle in the world?
I think he just saw some clock bait headlines.
 
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