Ford Motor Company (NYSE:F)

CAPS Rating: 4 out of 5

From its assembly lines in the early 1900s to the Mustang and the F-Series trucks, Ford is an American car-making icon.

Recs

1
Player Avatar Crazylegs52 (< 20) Submitted: 9/18/2012 12:13:53 PM : Outperform Start Price: $10.18 F Score: +32.68

Low P/E, great new product line, high opportunity in Asia

Member Avatar mjs504 (50.54) Submitted: 9/19/2012 9:00:53 AM
Recs: 0

Ford management needs to continue to innovate and develop cost structures that make them consistently competitive and profitable. And this is exactly what they are doing! As an example, I am looking at the CAW situation and hoping that Ford sticks to their guns and reiterates how manufacturing in Canada needs to be more cost effective for sustainability.

Europe will work itself out after the union hits bottom (uggghh). Also, cost restructuring will be the repeated theme that will allow European profits and margins to grow.

Weighing the most on Ford (besides the European bloodbath) is the large Chinese investment (topping $5 billiion). Investors are still waiting for a return, though it's still too early for this.

What's benefited Ford over the past 3-4 years is their ability to adapt to demand and stay one step ahead of competitors. The question you have to ask is "How will Ford continue to stay one step ahead of the pack?"

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