Ford shares drop 3% in the week of July 5


Ford’s share value fell nearly three percent during July 5e, 2021 – July 9e, calendar 2021. Shares closed the week at $ 14.48, which is down $ 0.45 per share, or 3 percent, from the previous week’s closing value of $ 14.93 .

Movement and range

Ford Stock Values ​​- July 5 – July 9, 2021
Dated Open Close / Last High Low
07/09/2021 $ 14.44 $ 14.48 $ 14.58 $ 14.27
08/07/2021 $ 13.96 $ 14.06 $ 14.23 $ 13.74
07/07/2021 $ 14.41 $ 14.23 $ 14.46 $ 14.02
07/06/2021 $ 14.87 $ 14.50 $ 14.88 $ 14.39
  • The New York Stock Exchange was closed for Independence Day on Monday, July 5e, 2021.

By comparison, shares of Ford’s cross-city rival – General Motors Company – fell $ 0.20 a share, or 0.3%, over the same period.

Ford Stock Factors

The decline in the value of Ford shares during the week comes after Ford shares fell nearly 2% last week, following a 4% gain the week before. Ford’s share value has fluctuated in recent months, but remains significantly higher than the $ 9.00 per share figure that closed the first week of trading in 2021. The investment industry appears to be gradually warming up until ‘At The Blue Oval, as major financial institutions such as Barclays have upgraded Ford’s stock rating due to the company’s continued focus on electrification.

There was no major news during the week, but a detailed report of the Detroit Free Press described supplier Webasto’s immense struggle to produce hard tops for the 2021 Ford Bronco. The recently launched all-terrain vehicle, like almost all North American Ford models, has been hit hard by supply chain issues linked to COVID-19. Virtually all assembly plants in North America will be closed for at least two weeks in July 2021, and some will also cut production in August. These latest setbacks are yet again due to the continued shortage of chips, which has been a thorn in Ford’s side since early 2021, with no apparent end in sight. FoMoCo’s latest sales figures, which the company leaked last week, perfectly illustrate The Blue Oval’s rather unfortunate situation. While sales are up 5% in the first six months of 2021, that improvement is pale compared to what competitors have experienced in the same time frame.

Macroeconomic Factors in Ford Stock Value – Strategy

Ford CEO Jim Farley has consistently described the future of The Blue Oval since taking office in October 2020. Key goals and organizational changes for the company include:

  • An expansion and spinoff for Ford’s premier commercial vehicle business with a suite of software services that drive loyalty and recurring revenue streams.
  • Deliver compelling all-electric vehicles unique to Ford globally, including Ford Transit, Ford F-Series, Ford Mustang, SUV and Lincoln.
  • Addition of more affordable vehicles to Ford’s global lineup, including in North America.
  • Increase the amount of money spent on the development of electric vehicles to $ 30 billion by 2025.
  • Switch Ford of Europe to zero-emission vehicles by 2027 and fully switch to full electric vehicles by 2030.
  • The launch of Ford Ion Park, a facility designed to facilitate R&D initiatives on battery production.
  • An investment in Solid Power, a producer of semiconductor batteries.
  • BlueOvalSK, a joint venture between Ford and SK Innovation, Ford’s preferred supplier of batteries for electric vehicles.
  • Transform Lincoln into a fully electrified luxury division by 2030.
  • A partnership with Google that will transform the company’s manufacturing operations and see future Ford Motor Company vehicles sporting Android-powered infotainment systems.

Macroeconomic Factors in Ford Stock Value – Sales

Ford’s first quarter sales increased one percent to 521,334 units in the US market. Sales increased at Ford while Lincoln saw a slight drop in volume during the same period. However, retail sales of Ford and Lincoln brand vehicles increased during this period.

Notably, the Ford F-Series continued to dominate its segment, as did the Ford Transit.

Macroeconomic Factors in Ford Stock Value – Products

Ford’s stock value rose significantly in mid-May after Ford officially unveiled the 2022 Ford F-150 Lightning, the first all-electric pickup in the F-Series. Stock values ​​also saw further gains. investors following this announcement, and the debut of the Ford Maverick 2022 pickup truck undoubtedly also contributed to a period of solid growth for the Ford stock which has just ended. Since their respective revelations, the two pickups have accumulated impressive amounts of pre-orders.

Prior to these product announcements, several other leading Ford vehicles reached dealer showrooms. The 2021 Ford Bronco Sport began rolling out to dealerships at the end of November 2020 and has steadily moved up the sales rankings since that date, a trend that has strengthened very recently, as Ford moved 14,947 units of the Bronco Sport in May 2021. In addition, Ford regularly rolls out the all-new 2021 F-150 – its most profitable and revenue-generating product. The all-new half-ton full-size pickup turns super fast. The truck, which faces a limited supply, comes with a significant amount of updates and new features, along with an all-new exterior and interior. An all-new third-generation F-150 Raptor will join the F-150 lineup later this year, while the Ford F-150 Lighting will follow suit in spring 2022.

Ford is also currently working on a global rollout of the 2021 Ford Mustang Mach-E, a four-door sedan inspired by the legendary Mustang pony car. More than anything else, the Mustang Mach-E demonstrates that Ford is not afraid to redefine legendary nameplates and recreate them in new body styles and new vehicle types.

Production of the Mach-E began in late October 2020, and the model has since found a following in its home market, although sales are held back due to production constraints. Ford delivered its first three units in December 2020 and 6,614 units in the first quarter of 2021. Since then, the electric crossover has made steady inroads into the Scandinavian electric vehicle market and recently became the best-selling vehicle in Norway in May. . Automotive outlets and industry experts praised the electric vehicle for its beauty, engaging driving dynamics, premium interior, and intelligent engineering. Additionally, preliminary reports suggest that the vehicle is already eating into Tesla’s market share, which would be a significant achievement, especially considering the relatively short time the Mach-E has been on the market. In June, the Mustang Mach-E first sold to its gasoline-powered counterpart. The Mustang Mach-E scored yet another victory in early July, when Car and driver named the crossover its 2021 EV of the Year.

The 2021 Ford Mustang Mach-E is part of a four-pronged blade that Ford hopes to increase its market share in North America this year and beyond, as the company has largely shifted from sedans and passenger vehicles. utility vehicles, trucks and electrified models. That said, all of the aforementioned models have significant potential to resonate with car buyers, and their reception will almost certainly have an impact on Ford’s stock value in the months to come, provided the company can make a difference. build up a regular supply.

Macroeconomic Factors in Ford Stock Value – Events

The Blue Oval has been disproportionately affected by the current chip shortage, which the company says will cut second-quarter 2021 production by 50%. Unfortunately, the closures will also affect the start of the third quarter as well, as the company recently announced another round of schedule changes that will see virtually all North American assembly plants closed for two weeks or more until July 2021. Ford expects to take $ 1 billion to $ 2.5 billion hit its bottom line as a direct result of the shortage.

Shortages of independent parts 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 push the introduction of some hardtop back to the 2023 model year. cannot reach dealers early enough as reservation holders are desperate to get the hot segment.

Outside of North America, Ford faces daunting challenges. India and South America continue to weigh heavily on the company’s financial health. Ford Credit is currently shutting down operations in both regions, and the automaker has been forced to spend a hefty sum in South America as it begins to shut down several of its assembly plants in Brazil. A more substantial decision on Ford’s future in India is expected later this year.

Micro Factors of Ford Stock Value

Ford announced several recalls for the 2021 Ford F-150 last month, due to issues with faulty driveshafts and damaged steering gears. Earlier this year, the company recalled more than 3 million Ford Motor Company vehicles over safety concerns with their Takata airbags.

There have been several high-level personnel changes at Ford recently. The company has added Steven Crowley and Jon Huntsman, two former political agents, to its roster of officers, and both will be instrumental in improving the company’s relationship with the federal government going forward. There was also a major change from the automaker, with Ken Washington recently announcing his intention to work for online retailer Amazon. However, Ford recently stripped an Amazon executive from the company, in an interesting turn of events.

Year-to-date equity returns

Ford Stock Values ​​- January – July 2021
Month Aperture value
January 4th $ 8.52
February 1st $ 10.83
1st of March $ 11.98
April 1st $ 12.17
May 3 $ 11.63
June 1st $ 14.81
1st of July $ 14.91

The value of Ford’s stock has risen significantly since January 2021, increasing by 70%, or $ 5.96 per share, at the time of writing. Gains came in steadily throughout the year, but jumped a bit in June before declining slightly at the end of the month. Currently, the stock is down from a high of $ 15.99 in 2021, which was the per share figure at the close of trading on June 3.rd, 2021

We’ll be there to report the latest developments regarding Ford stock, so be sure to subscribe to Ford Authority for Ford stock news and 24-hour Ford news coverage.

  • Contest of the month: 2021 Ford Mustang Shelby GT500 plus $ 25,000 in cash. Details here.

About Frances R. Smith

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