Ford Motor Shares Rise on Raised Guidance Despite Missed Revenue
Shares of Ford Motor Co. rose more than 3% following its second-quarter earnings report, despite missing revenue estimates by $970 million. The company raised its full-year adjusted EBIT guidance to between $10 billion and $11 billion from a previous range of $8.5 billion to $10.5 billion. Ford also increased free cash flow expectations to $6 billion–$7 billion, up $1 billion. The Blue division reported revenue of $26.1 billion for the quarter with improved EBIT performance driven by strong F-Series truck sales. The electric vehicle segment saw a narrower loss compared to prior forecasts and is expected to improve further in 2025. Ford’s guidance excludes potential risks from Middle East tensions or an economic downturn. Analysts responded positively, including Citigroup's Mike Ward who upgraded the stock to 'buy' with a $20 price target. The company remains on track for dividend sustainability and long-term appreciation.
Tickers: $F