Is Ford stock a good buy now?
The case for buying Ford stock right now
There are two things that make Ford’s stock especially interesting right now: It’s cheap.
Ford is trading at just 6.5 times its anticipated 2020 earnings.
That’s low: we’d normally expect a healthy automaker to be trading around 10 times earnings.
What is the future of Ford stock?
The good news for investors is that Ford’s stock could be getting ready to grow: Its P/E ratio (stock price divided by earnings per share) as of this writing is 23, and has been climbing since the beginning of 2019 after being mostly flat since 2016.
Can Ford bounce back?
To put it more simply: Ford doesn’t expect to improve compared with a year for which it had to make a lot of excuses, while GM says it will bounce back. This and $600 million in bonuses paid to UAW members to sign a new labor deal help explain the collapse in Ford’s quarterly operating margin to 1.2%.
Why is Ford stock going down?
Shares of Ford Motor Company (NYSE:F) were down sharply on Monday, as a collapse in oil prices and growing concerns about the novel coronavirus, COVID-19, sparked a broad-based market sell-off. As of 10 a.m. EDT, Ford’s shares were down about 7% from Friday’s closing price.