Ford Motor (NYSE:F) Shares Down 18% Following Weak Earnings

Ford Motor (NYSE:F) shares fell 18% during trading on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $11.20 and last traded at $11.21. 106,511,758 shares changed hands during trading, an increase of 104% from the average session volume of 52,204,531 shares. The stock had previously closed at $13.67.

The auto manufacturer reported $0.47 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.64 by ($0.17). The company had revenue of $47.81 billion for the quarter, compared to analyst estimates of $47.79 billion. Ford Motor had a net margin of 2.21% and a return on equity of 17.63%. The firm’s revenue was up 6.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.72 EPS.

Wall Street Analyst Weigh In

Several brokerages have recently commented on F. Royal Bank of Canada raised their target price on Ford Motor from $12.00 to $13.00 and gave the company a “sector perform” rating in a research note on Thursday, April 25th. Barclays decreased their price objective on Ford Motor from $17.00 to $16.00 and set an “overweight” rating for the company in a report on Thursday. Citigroup lifted their price target on shares of Ford Motor from $16.00 to $18.00 and gave the company a “buy” rating in a research report on Thursday, May 2nd. Sanford C. Bernstein began coverage on shares of Ford Motor in a report on Thursday, May 23rd. They set an “outperform” rating and a $16.00 price objective on the stock. Finally, UBS Group lifted their price objective on shares of Ford Motor from $13.00 to $14.00 and gave the company a “neutral” rating in a report on Thursday, April 25th. One research analyst has rated the stock with a sell rating, eight have given a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat, Ford Motor has a consensus rating of “Hold” and an average target price of $14.10.

Insider Activity

In related news, Director Jon M. Huntsman, Jr. sold 81,234 shares of the company’s stock in a transaction dated Friday, May 24th. The shares were sold at an average price of $12.09, for a total value of $982,119.06. Following the transaction, the director now owns 168,601 shares in the company, valued at approximately $2,038,386.09. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 0.80% of the company’s stock.

Institutional Trading of Ford Motor

Several large investors have recently added to or reduced their stakes in the business. Newport Trust Company LLC lifted its position in Ford Motor by 4.5% during the fourth quarter. Newport Trust Company LLC now owns 155,177,214 shares of the auto manufacturer’s stock valued at $1,891,610,000 after purchasing an additional 6,667,808 shares in the last quarter. Charles Schwab Investment Management Inc. raised its stake in shares of Ford Motor by 0.3% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 87,661,675 shares of the auto manufacturer’s stock worth $1,068,596,000 after buying an additional 269,887 shares during the period. Fisher Asset Management LLC grew its stake in shares of Ford Motor by 6.3% during the 4th quarter. Fisher Asset Management LLC now owns 59,152,154 shares of the auto manufacturer’s stock valued at $721,065,000 after acquiring an additional 3,522,965 shares during the period. Norges Bank purchased a new stake in Ford Motor in the 4th quarter worth approximately $475,899,000. Finally, Dimensional Fund Advisors LP raised its stake in Ford Motor by 2.0% during the 4th quarter. Dimensional Fund Advisors LP now owns 27,314,520 shares of the auto manufacturer’s stock worth $333,014,000 after acquiring an additional 528,823 shares during the period. 58.74% of the stock is currently owned by institutional investors.

Ford Motor Price Performance

The firm has a market cap of $44.75 billion, a PE ratio of 11.56, a P/E/G ratio of 0.89 and a beta of 1.62. The firm’s fifty day simple moving average is $12.59 and its two-hundred day simple moving average is $12.42. The company has a quick ratio of 0.99, a current ratio of 1.17 and a debt-to-equity ratio of 2.32.

Ford Motor Company Profile

Ford Motor Company develops, delivers, and services a range of Ford trucks, commercial cars and vans, sport utility vehicles, and Lincoln luxury vehicles worldwide. It operates through Ford Blue, Ford Model e, and Ford Pro; Ford Next; and Ford Credit segments. The company sells Ford and Lincoln vehicles, service parts, and accessories through distributors and dealers, as well as through dealerships to commercial fleet customers, daily rental car companies, and governments.