Ford is up 32 percent, and why Still sending Buy signal?

Ford Motors

Ford Motor Company (F) is a global automotive and mobility company. The Company’s business includes designing, manufacturing, marketing, and servicing a full line of Ford cars, trucks, and sport utility vehicles (SUVs), as well as Lincoln luxury vehicles. Ford operates through the following three segments: Automotive, Mobility, and Ford Credit.

Ford has Market cap of $26.13 billion with an average volume of 95.38 million shares trading on NYSE per day. Ford has 52-week high of $10.56 and low of $ 3.96. on June 4, 2020, when the stock price jumped up % 6.14, its trading volume also increased to 115.71 million shares which indicates the stock is trending up and there is still room for the stock to go up. The company currently has around 190 thousand employees mostly affected by the corona virus like other businesses.

Analysts have set an average price target of $5.04 for the stock which shows a %23.29 downside to risk. The highest price target for the stock stands at $7 and lowest at $3.50.

Nomura Analyst Anindya Das on May 03, 2020 maintained a sell rating on ford and set price target of $3.50 the stock is currently trading $6.61 per share a more than two times the target stock price. Ford has 3.9 billion outstanding shares, and institutional ownership stands at %50.73 percent. The stock also has %3.75 short interest which is relatively lower compared with its peers including Tesla (TSLA) which has short interest of %11.03. The stock has beta of 1.1 which is higher than the average stock market, which means the stock will be more volatile than the stock market.

Looking at insider transaction, it appears there are more share purchases than selling which also indicates insiders believe the fundamentals are stock. %21 percent of analysts believe the stock will go up and recommends opening position or increase shares in the stock. %68 percent of analysts emphasize on holding the stock and only %11 percent recommends selling the stock. Ford’s China ventures have also shown growth for the month of May with continue recovering from corona virus impacts. The sale of Ford Lincoln Brand in china had increased over %22 percent last month.

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