The Ford Story

Via the WSJ’s MarketBeat blog, I came across this piece on Ford (F) written by Itay Michaeli of Citigroup.

No, although the Q4 miss may (at least temporarily) take some of the premium out of the stock. The Ford investment story has revolved around product, market share gains and robust pricing—metrics that were alive and well in Q4. What we learned is that Ford’s margins weren’t immune from seasonal pressures (as consensus implied) and that commodity/structural costs remain clear 2011 headwinds. Ultimately, if Ford continues to execute on its global strategy, Q4’10 won’t be remembered as a turning point. To that, we remain positive on Ford’s 2011 product cadence, but do believe GM gains an advantage in 2012-14—one of the factors behind our Hold rating on Ford.

Posted by on January 31st, 2011 at 1:03 pm

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