Stock Market Cafe
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Stock Market Cafe
No Result
View All Result
Home Trading News

Ford Stock Beat Tesla Last Year. Here’s What It Will Do Next.

by
January 5, 2022
in Trading News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter
Text size

Ford stock is on a tear. After rocketing in 2021, and big start to 2022, here’s what could happen next.
Paul Ellis/AFP via Getty Images

One automotive stock is on fire as investors get more excited about rising electric-vehicle sales in the U.S., and rising EV production at the company.

The stock, of course, is Ford Motor (ticker). Ford has been out Tesla-ing Tesla (TSLA) lately. Ford stock ended Tuesday with a gain worthy of an Elon Musk smirk after Ford said it would double the annual production target of the all-electric F-150 pickup truck.

RELATED POSTS

PM Boris Johnson expected to resign after more than 50 MPs quit government

Stock futures are higher following third straight day of gains for the S&P 500

Ford stock surged 11.7% to $24.31 Tuesday, its highest close since Aug. 10, 2001, according to Dow Jones Market Data. The S&P 500 slipped 0.1%, while the Dow Jones Industrial Average fell 0.6%.

Ford stock is now up 17% so far in 2022 after rising 136% in 2021. Tesla stock, for its part, is up 9% so far in 2022, after a 50% gain in 2021.

Investors may be wondering if Ford stock can keep rising. The answer, of course, is that depends on many factors, including Ford management decisions and the overall economy.

Newsletter Sign-up

The Barron’s Daily

A morning briefing on what you need to know in the day ahead, including exclusive commentary from Barron’s and MarketWatch writers.

History, however, favors another gain in 2022. Ford stock gained more than 130% in a year back in 1982. Ford stock went up in the six years after that, gaining another 484% in total by the end of 1988.

Ford stock also gained 337% in 2009, when the financial crisis was winding down. Shares added another 68% in 2010, but fell 36% in 2011. The streak didn’t last as long as the 1980s run.

Looking back, Ford stock has gained triple digits in three years: 1982, 2009, and 2021.

This is all just some fun with numbers. Numerology isn’t an investment thesis. But there are a lot of interesting numbers: Ford stock has risen 22 out of the past 40 years. The S&P 500 has ended 30 out of the past 40 years with gains. Ford stock has outperformed the S&P 500 15 of the past 40 years, including 2021.

Tesla stock doesn’t have the same history as Ford. Tesla shares have gained triple digits two times in the past 11 years—2013 and 2020, and have only fallen in one year, 2016. Tesla stock has outperformed the S&P 500 in nine of the past 11 years.

There is another way Ford stock has become like Tesla: Analyst price targets. The average price target for Ford stock is about $20, implying downside of about 18%. Tesla stock typically trades at a premium to what Wall Street expects; the average target price for Tesla stock is now just under $900, implying a drop of about 22% from recent levels.

For all of Ford’s recent gains, Tesla is still Tesla. It’s worth roughly 12 times more than Ford, and trades at about 130 times estimated 2022 earnings per share. Ford stock trades for about 11 times estimated 2022 EPS.

Write to Al Root at allen.root@dowjones.com

ShareTweetPin

Related Posts

PM Boris Johnson expected to resign after more than 50 MPs quit government

by
July 7, 2022
0

British Prime Minister Boris Johnson attends a news conference during a NATO summit in Madrid, Spain June 30, 2022. Yves...

Stock futures are higher following third straight day of gains for the S&P 500

by
July 7, 2022
0

U.S. stock futures were slightly higher on Thursday morning as investors the market attempted to keep climbing its way out...

U.S. Treasury yields extend gains as bond markets continue to flash recession warning signal

by
July 7, 2022
0

U.S. Treasury yields were higher on Thursday morning, extending gains even as the closely watched 2-year/10-year yield curve remained inverted...

Bed Bath & Beyond’s new CEO bets big that the company won’t go under

by
July 7, 2022
0

Yahoo Finance Biden travels to Ohio to highlight $86 billion for troubled retirement plans The American Rescue Plan is best...

Shell to build Europe’s ‘largest’ renewable hydrogen plant to help power Dutch refinery

by
July 7, 2022
0

In this article AI-FR ENR-DE BP BP.-GB SHEL-GB On Wednesday, Shell said the Holland Hydrogen I facility would be "Europe's...

Next Post

Asia's top risk in 2022 will be U.S.-China tensions over Taiwan, says political risk analyst

Asia-Pacific stocks mixed; tech stocks under pressure amid rising U.S. bond yields

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:

By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • Crocs sees fourth-quarter sales up 42%, CEO Andrew Rees says 2021 was ‘exceptional year’

    0 shares
    Share 0 Tweet 0
  • Buying a car from the factory sounds expensive, but it can actually save you money. Here’s how to do it.

    0 shares
    Share 0 Tweet 0
  • Roth TSP vs. Roth IRA: How Do They Compare?

    0 shares
    Share 0 Tweet 0
  • The states that won’t tax military retirement in 2022

    0 shares
    Share 0 Tweet 0
  • Allbirds stock has plunged 50% in two months, now one top analyst says buy it

    0 shares
    Share 0 Tweet 0
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by www.stockmarket-cafe.com
No Result
View All Result
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy

All rights reserved by www.stockmarket-cafe.com