More than a week after the event, Ford (F) shares surged Tuesday morning as Wall Street continued to pour in positive reviews of Ford’s Capital Markets Day.
Jefferies equity analyst Philippe Fouchois upgraded Ford shares to buy from hold on Tuesday, raising his price target to $16 from $13.
“Last week’s investor event in Dearborn added confidence that Ford finally has a plan and team in place to address the execution underperformance that has plagued the stock for years,” Ushova said in a client note. wrote in
The traditional automaker’s share price has risen since it hosted Capital Markets Day on May 22, where it shed light on a new structure that separates electric vehicles from its traditional gasoline-powered vehicle business. I was guessing.
A few days later, Ford announced a partnership with Tesla, giving Ford owners access to over 12,000 Tesla Superchargers in the United States and Canada.
Ford’s shares are now up nearly 10% in the past five trading sessions as optimism about Ford’s rebound has echoed.
“Ford’s strategy, which focuses on its strengths, is a down-to-earth ‘back to basics,'” Ushova wrote.
Ford’s new business structure will consist of three divisions: Ford Blue (conventional vehicles), Ford Model e (electric vehicles) and Ford Pro (commercial vehicles). Houchova and Jeffries said Ford’s Model e division could reach profitability in 2025, while the automaker’s introduction of new “second-generation” vehicles could push sustainable profitability through 2026. I see the possibility of being pushed back.
The company’s choice to build targeted vehicle models, rather than building EVs of all sizes in traditional units, will benefit Ford, Jeffries argued.
Ford’s second-generation EV line will include a new Lightning pickup and three-row crossover, according to Ford CEO Jim Farley.
“We don’t want to make generic cars anymore,” Farley told Yahoo Finance on Capital Markets Day. “We don’t want to be everything for everyone.”
The key to Ford’s push for EVs and electrification in general is how easy it is for customers to charge their vehicles. Wall Street analysts agree that Ford and Tesla’s deal last week is a step in the right direction.
“We believe this will be a definite plus for EV owners in improving the user experience,” Goldman Sachs’ Mark Delaney said in a note to clients Monday. “As much as it helps Ford sell more EVs, it also highlights the importance of making a profit on the sale of those vehicles. We discussed introducing EVs that can be recharged (and have smaller batteries).” It’s been profitable at a recent investor day, and we think this step to beef up our charging network is a step towards that. I’m here. ”
Senior reporter Plas Subramanian contributed to this report.
Josh is a reporter for Yahoo Finance.
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