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Ford Motor Company (F) Dips More Than Broader Market: What You Should Know

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The latest trading session saw Ford Motor Company (F - Free Report) ending at $9.88, denoting a -1.5% adjustment from its last day's close. The stock fell short of the S&P 500, which registered a loss of 1.07% for the day. Meanwhile, the Dow lost 0.97%, and the Nasdaq, a tech-heavy index, lost 1.19%.

Shares of the company have depreciated by 9.88% over the course of the past month, underperforming the Auto-Tires-Trucks sector's gain of 19.11% and the S&P 500's loss of 0.36%.

The upcoming earnings release of Ford Motor Company will be of great interest to investors. The company is predicted to post an EPS of $0.37, indicating a 27.59% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $42.98 billion, indicating a 0.74% decrease compared to the same quarter of the previous year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.80 per share and a revenue of $171.82 billion, representing changes of -10.45% and +3.51%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Ford Motor Company. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.71% lower. Currently, Ford Motor Company is carrying a Zacks Rank of #5 (Strong Sell).

From a valuation perspective, Ford Motor Company is currently exchanging hands at a Forward P/E ratio of 5.58. This valuation marks a discount compared to its industry's average Forward P/E of 11.68.

It is also worth noting that F currently has a PEG ratio of 1.84. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Automotive - Domestic industry had an average PEG ratio of 1.75.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 149, positioning it in the bottom 41% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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