In the latest trading session, Ford Motor Company (F) closed at $12.15, marking a -1.22% move from the previous day. This change lagged the S&P 500’s daily loss of 0.09%. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq lost 0.6%.
Prior to today’s trading, shares of the company had gained 4.59% over the past month. This has outpaced the Auto-Tires-Trucks sector’s loss of 3.07% and the S&P 500’s gain of 4.45% in that time.
Investors will be hoping for strength from F as it approaches its next earnings release. The company is expected to report EPS of $0.14, up 160.87% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $32.63 billion, up 4.13% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.08 per share and revenue of $143.5 billion. These totals would mark changes of +163.41% and +23.85%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for F. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 3.17% higher within the past month. F is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that F has a Forward P/E ratio of 11.35 right now. Its industry sports an average Forward P/E of 16.38, so we one might conclude that F is trading at a discount comparatively.
Meanwhile, F’s PEG ratio is currently 1.33. 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. F’s industry had an average PEG ratio of 2.3 as of yesterday’s close.
The Automotive – Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 213, which puts it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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